With the unveiling of the Union Budget 2016 just around the corner, the Infotech Software Dealers Association (ISODA), the pan India association of Software Re-sellers in the country has pointed out its key expectations from the yet to be tabled Budget.
”We expect the government to introduce GST at the earliest with a moderate rate with clear guidelines on input credit for simplicity and ease of business in Small and medium businesses,” says Kavita Singhal, Chairperson, ISODA.
The massively delayed GST bill has remained a longstanding of not just the channel industry but almost of every retailer in the country. The association further believes that TDS should be abolished on reselling of softwares and that the center should allow input credit for Swachh Bharat Cess.
”TDS should be abolished on reselling/trading of software and should be limited to IT services. At present the Swachh Bharat Cess is charged in every transaction and gets added in the cost which is why we expect the centre to allow input credit for Swachh Bharat Cess .We also expect a simplification of taxation processes with clear guidelines on implementation and assessment of various taxes at the ground level,”added Singhal.
Other primary expectations of the association from the upcoming budget include-:Replacing Inspector Raj for audits with online assessments;easing the lending costs for SMB space;encouragement of SMEs by the government via allocating 25% its spendings for the sector and provision of tax holidays for SMEs aligning with Make in India and Skill India Initiatives.