Budget 2024: ITR deadline should be extended, says Hiren Thakkar of Hiren S Thakkar and Associates
Hiren S Thakkar & Associates Chartered Accountants. In an interview with MintGenie, Thakkar said that in GST, there could be some rationalisation of rates because many basic necessity items are taxed at a higher band of 18 percent like health insurance premiums, ice-creams, biscuits, etc. Edited Excerpts: Budgets before elections are generally populist, and no drastic changes are expected.
In my opinion, importance will be given to job creation, infrastructure spending, and areas focusing on women empowerment. I have two expectations; I hope that double taxation on dividends will be removed, and gold ETFs and silver ETFs will be covered under eligible investments under Section 80C of the Income Tax Act, 1961. It will boost the digitisation of savings.
No, because in the last Budget, the government undertook the rationalisation of income tax slabs and launched a new tax regime in which tax rates were highly reduced, addressing a long-standing need. In GST, there could be some rationalisation of rates because many basic necessity items are taxed at a higher band of 18% like health insurance premiums, ice-creams, biscuits, etc. I consider these incidents as temporary phenomena rather than conclusive ones.
Therefore, based on such news, no changes are expected in budgetary allocations. However, it’s worth noting that freight costs have increased significantly due to a 20-day extension in travel time by using alternative routes. Despite this, the import-substitute theme may remain in focus for the government to boost domestic manufacturing and reduce dollar outflows.
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