The Union budget turned into a highly charged session on macro-economy for would be managers at IIM Raipur as the institute decided to host a panel discussion on the budget, this Thursday. The lessons and experts views by industry personals and government officials made it a live case study in itself.

The discussion was started by Central Excise, Customs & Service Tax Commissioner, Pradeep Kumar, who spoke on how the budget would be helpful in improving India’s indirect tax collection. Kumar said, there is confusion when the goods get classified for indirect taxes. The budget has tried to streamline several issues and ensured that measures are in place which will encourage people to pay their taxes on time. Several loopholes were taken care of through policies of mandatory e-payment of excise duties and other duties.

Another panellist Anurag Garg, President of Dion Global spoke about the budget’s impact on the growth opportunity of financial services. Garg said that no major reforms were announced by the government this time although it was ready to take bolder steps. There are indications that structural reforms will be brought in, thereby increasing the efficiency in the system.

Garg also said that revamping of the GDR and IDR will have a long term impact. The impact of a single demat account will be mindboggling. The thought out policies for the MSME sector will boost manufacturing activities in the country and create more employment opportunities, he added.

D.S. Mishra, the Additional Chief Secretary quoted Pope Francis, ‘Money must serve, not rule.’ Mishra explained this government seems to have realised that freebies don’t work. Subsidies are now being targeted instead of being freely distributed. It has balanced fiscal discipline with development.

Rajeev Varshney, Commissioner - Income Tax, elaborated on how the budget would be helpful in improving India’s direct tax collection. He compared India with China and pointed out that we are a democratic country and that takes a cost. He mentioned that in a growing economy for revenue mobilisation, it is better that direct taxes are increased in the central revenue, and this is what has been happening. But the poor GDP has reduced the tax: GDP ratio which will have to increase for growth.

Tarun Mishra, the Chief Executive Officer of Covacsis Technologies spoke on how the budget would prove to be conducive for expansion of software industry, IT enabled services and technological innovations.

The discussion concluded with a summary of discussion by Debdatta Pal, an IIM Raipur Professor and an engaging Q&A session.

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