The Hyderabad Chamber of Commerce and Industry (HCCI) in its budget proposals presented to the federal Commerce Ministry suggested that customs duty may be waived off from ship-breaking industry to create stability in price structure of iron and development of ship-breaking industry.
The chamber also suggested that sub-section 8 and word 'except' edible oil may be withdrawn as it creates problems in adjustment of withholding tax. Similarly, surcharge on ware housing may be scrapped, while regulatory duty on import of edible oil may be minimised.
The chamber also suggested that a ban should be imposed on export of raw cotton, while the sale tax on import of raw material should be reduced by 5 percent, while general sales tax on textile products should also be reduced to 10 percent from the present 15 percent.
It also suggested that the sales tax on all products should be reduced to 10 percent, while the facility of amnesty might be extended for another two years. The HCCI also suggested that Section 73 of the Sales Tax Act might be terminated while those companies whose accounts were audited continuously for five years their audit should be carried out after every three years and the auditors might be directed to carry out audit in accordance with the parameters agreed upon by the FPCCI and government.
Referring to the audit parameters the chamber suggested that the parameters for retail might be on sales tax registers, sales invoice return, minimum payment challan and utility bills.
The HCCI also suggested that the sales tax on bangle industry and central excise duty should be completely waived off.
The chamber also suggested that import duty on wood for housing projects might be scrapped. The customs duty on the import of chemicals, especially cobalt metals and cadmium metals, zinc, lead, copper, sodium sulphide should also be scrapped.