New Delhi, Jan 13 (KNN) Recognising the significance of the MSME sector, the government has introduced various policies, incentives, and support schemes in recent budgets to boost its growth, including access to credit, subsidies, and ease of doing business.

Proposed in the upcoming budget is a one-time special tax incentive for MSMEs investing in technology-related services, aiming to reduce IT costs, infrastructure overheads, and operational expenses. This move is expected to encourage more businesses to undergo digital transformation.

Recognising the manufacturing sector's role in employment generation and economic growth, the budget could offer special incentives for investments in plant and machinery, fostering growth in rural economies and supporting the 'Aatmanirbhar Bharat' vision.

In line with current MSME regulations, the government might consider increasing the turnover threshold limit under presumptive taxation, providing relief to micro-enterprises.

As the backbone of the Indian economy, the MSME sector eagerly anticipates the Union Budget 2024-25 to enhance its value proposition, increase outreach, and contribute to financial inclusion. 

Key expectations include improved access to finance, tax reforms, and special incentives, all crucial for fostering growth and sustainability towards achieving India's goal of becoming a $5-trillion economy.

(KNN Bureau)