New Delhi, Aug 26 (KNN) From introducing taxation measures to facilitate a lending hand to automotive sector as well as banks and Micro, Small and Medium Enterprises (MSMEs), Union Finance Minister Nirmala Sitharaman announced various measures to bring the economy back on track.

However, some sectors believe that the measures introduced by her will boost the economy, while others are of the view that tax terrorism will scale new highs. KNN India spoke to various industry associations to get their reaction on the announcements made by Finance Minister.

Badish Jindal, President, Federation of Punjab Small Industries Association (FOPSIA):

We welcome the decision taken by Finance Minister for auto sector but somewhere the government missed to decrease the GST on Auto parts from 28% to 18%. The Finance Minister’s statement about clearance of delayed GST refunds shows that online automatic GST refund system is not working properly.

The FOPSIA raised the issue of delayed payments in government sector and today Finance minister accepted that government departments are not obeying delayed payment act.

Nimish Phadke, Managing Director, Federation of Kutch Industries Association (FOKIA):

Surcharge removal on capital gain tax will boost the spirit of investors. The intentions expressed for resolving tax issue of startups, IT related matters is reputation of the one shown in the annual budget. It should turn into concrete action.

Online loan application processing is yet not showing any improvement and getting loans remains a big challenge for corporate and particularly MSMEs. Ease of doing Business still remains a good tag line and its rating methodology an academic process. GST refund to MSME within 30 days should happen as promised.

Intention to enhance employment opportunities is work under progress since long, expecting result oriented actions. My take is that the demand in the market is plummeting because of less spending power with people and hence the measures have to be initiated to spur the demand in the market, short term measures may not help.

Bankim D. Mistry, President, Bombay Small Scale Industries Association (BSSIA):

It's ‘eyewash’ in decent words. Government would do nothing to improve but in fact would siphon out more fiscal treasury funds in name of relaxation and would extort business under sham of exposing tax evasion.

Siddharth Sintre, Entrepreneur:

Every time Prime Minister or Finance Minister speaks and they start announcing welfare benefits, my heart skips a beat that I will have to bear the brunt through more taxes.

Juzer Diwan, Entrepreneur:

More than the measures, it is the trust deficit which is hurting the economy more. There is a lot of adhocism, inconsistency, arrogancy, etc besides browbeating, demonization etc. of businessmen. Unless there is a long term vision with a stable policy, it will be very difficult to chart out any startup /expansion / reorientation plan for any business.

Chetan Hemani, Entrepreneur:

Now they have realized that the economy is actually returning negative growth, they are forced to make these superficial announcements. Nothing much will come out of it. Ground realities will not change. They have no visualization to imagine how their decisions will pan out and what will be the effects.

The finance minister is clueless and depends on bureaucrats for all decisions. And bureaucrats take decisions like they are kings and the rest of us people as their subjects. They will never take decisions that benefits nation and its citizens.

Politicians may have good intentions but the bureaucrats will ensure that those intentions are defeated.

Now Finance Minister has announced that officers should not “fear” while taking decisions, we (the ordinary citizens and small business owners) should be frightened. Tax terrorism will scale new highs.

Nitish Patel, Secretary General, Federation of Gujarat industries:

The measures will address the problems faced by trade industry and share market. Point covered therein will address the issues faced by micro to large. It will give great handholding to the various sectors. Steps were announced after detailed interaction with professionals, industry associations, industrialists, MSMEs, officers from tax, GST and Industries Commissioners. The measures announced will help support sustainance and growth to Indian stakeholders in current global scenario.