Retailers gear up for Budget 2024, seeking tax cuts, green push and digital boost.
With the expected growth rate in mind, retailers are looking forward to specific measures in the Interim Budget 2024. They are expecting government support in terms of taxes and incentives to boost the sector’s growth.
“Reducing gross and services tax (GST) on essential and aspirational appliances to 5-12 per cent will boost affordability and growth across income levels,” said Dr Mahesh Gupta, Chairman, Kent RO Systems.
“Strengthen PLI & Make In India with tax breaks for raw materials, components and machinery upgrades, fueling domestic manufacturing and jobs,” he added.
Gupta also urged the allocation of funds in research and development (R&D) for energy efficiency, smart features, and sustainability to ensure global market leadership. “Offer tax incentives for sustainable practices like recycled materials, energy-efficient technologies and carbon footprint reduction, making green a competitive advantage,” he underlined.
Similarly, Anupam Bansal, Director Retail at Liberty Shoes, also anticipates a budget that simplifies taxation, boosts consumer spending through incentives and invests in digital infrastructure.
“Addressing supply chain challenges, supporting domestic manufacturing, and fostering sustainability will be key,” Bansal stated.
The players present in online retail also looking forward to the upcoming budget and tax reduction policies.
“The majority of booming ecommerce brands are MSMEs and startups. Hence we expect tax concessions and necessary custom duty exemptions,” said Shaily Mehrotra, CEO & Founder, Fixderma.
Speaking about ecommerce she stated that India’s trajectory shows that the country may become the world’s second-largest economy by 2034, with an expected annual gross merchandise value of USD 350 billion by 2030 owing to the increasing penetration of ecommerce in tier two and tier three cities.
“The country’s retail sector is expected to clock 10-13 per cent growth in the new year with players adopting technological advances to cater to luxury as well as value customers while inflation continues to grow,” said Harshil Salot, Co-founder, The Sleep Company.
