New Delhi, February 01, 2020: There are two good highlights of the budget for the corporate sector. Hundred percent tax emption for sovereign wealth funds for their investments in the infrastructure sector is expected to give a boost to the infra investments in India.
The tax dispute settlement scheme is a positive move that has the potential for quick fund infusion into Government coffers before March-end. There are also several welcome measures to give the start-up sector a big boost. With the tax changes for the middle class, the already complex tax framework has become even more complicated.
The budget did not provide much relief for the healthcare sector. The increase in overall outlay to Rs 69,000 crore, up from Rs 62,659 crore last year, is clearly inadequate considering the health challenges facing the country and the stated goal of turning India into a caring society.
The viability gap funding window for setting up hospitals in 112 aspirational districts and establishing medical colleges in district hospitals are significant steps to make healthcare more accessible and affordable. The focus on wellness and preventive healthcare is encouraging. The initiatives announced, such as Rs 35,600 crore for nutrition-related programmes, will help reduce the disease burden and improve maternal mortality rate over the long term.
With respect to the scheme related to medical devices, unfortunately, we still do not have the indigenous capability to manufacture high-quality devices here in India and thus by imposing cess, it will ultimately make healthcare services more expensive.
Corporate Comm India (CCI Newswire)
