The Ministry of Finance, Department of Revenue, Tax Research Unit, Government of India, has issued a letter (F. No.334/1/2024-TRU dated June 12, 2024) inviting suggestions from Industry and Trade Associations for the Budget 2024-25 regarding changes in direct and indirect taxes.

As part of the preparation for the Union Budget of 2024-25, the Ministry of Finance seeks the valuable input and perspectives of your Association. You are encouraged to submit suggestions on changes to the duty structure, tax rates, and the expansion of the tax base for both direct and indirect taxes, supported by economic justifications.

Please supplement your suggestions with relevant statistical information on production, prices, and the revenue implications of the proposed changes, along with any additional supporting data. Any request to correct an inverted duty structure for a commodity should include details of the value addition at each manufacturing stage. Suggestions that are not clearly explained or lack adequate justification and statistics may not be considered.

The Government’s policy on direct taxes in the medium term aims to phase out tax incentives, deductions, and exemptions while rationalizing tax rates. It is also desirable to highlight the positive externalities and their quantification arising from your recommendations. Additionally, you may propose measures to reduce compliance burdens, enhance tax certainty, and minimize litigation. Please format your suggestions as follows: