The Hindu Business Line : Exemption on packaged software will benefit consumers, industry

From a macro view, the Budget does look promising. The focus on agriculture, technical education, rural development and infrastructure segments in the country will lead to overall development and increase in our GDP.

But, I find the Budget addressing only 60 per cent of the issues. The 6.7 per cent GDP in the current economic scenario is indeed good compared to other emerging countries.

From a PC industry point of view, there is no direct benefit as such – the Government could have introduced programmes for PC affordability and broadband implementation. The Budget also lacks support for medium and large enterprises as corporate taxes remain same.

On the positives, we welcome the initiatives such as the Unique ID programme and Mission in Education through ICT. The exemption on packaged software will reduce the cost of technology to the end-customer. This will not only help the IT industry, but also support the anti-piracy movement.

Abolition of fringe benefit taxes, removal of the surcharge and increase in tax exemption limits in personal income-tax are good moves to ensure more money in the hands of the common man during a recession.

Also, presumptive taxation benefits and other social reforms will drive growth of small business in India – this is a boost to entrepreneurs, especially those in non-metro cities. These proposals are in the right direction for the benefit of the PC industry – consumers would be more willing to spend on PCs, while small businessmen will be encouraged to invest in computing solutions, including PCs and legal software.

Amar Babu, Managing Director, Lenovo India