New Delhi, Apr 30 (KNN) The Institute of Chartered Accountants of India (ICAI) has submitted its Pre-Budget Memorandum 2024 to the Central Board of Direct Taxes (CBDT), ahead of the full budget presentation for the financial year 2024-25 by the new government after the Lok Sabha election results.

In its memorandum, ICAI has proposed several tax incentives and deductions.

The memorandum emphasises tax incentives for entities engaged in green projects and skill development activities. It proposes exempting or offering a concessional tax rate on interest income earned by subscribers of green bonds issued by such entities.

Another key proposal is to introduce a separate provision for deduction of expenses related to the education of a girl child under both the default and alternative tax regimes.

For business taxation, ICAI has recommended aligning tax audit provisions with presumptive income provisions, further simplification of the presumptive income regime, and increasing the threshold for computation of allowable remuneration of partners.

Regarding personal taxation, ICAI has suggested provisions for deduction of mediclaim premium under the default regime, regular enhancement of standard deduction, and an option for joint taxation for married couples.

Additionally, the memorandum proposes rationalisation of the provisions relating to taxation of charitable trusts.

ICAI President Ranjeet Kumar Agarwal stated, "In order to enhance green finance and encourage green projects, we have advocated for special incentives to entities undertaking green projects and propose exemption for interest income of subscribers of green bonds issued by such entities."

(KNN Bureau)