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BUDGET MAY NOT BRING BIG-BANG TAX REFORMS (because of political compulsions).

Asia Africa Intelligence Wire

| February 01, 2003 | COPYRIGHT 2003 Financial Times Ltd. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan.  All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)Copyright

(From India Business Insight)

The Government of India will be finalising its 2003-2004 Budget by 10 Feb 2003.

According to sources from the Ministry of Finance, the Government is unlikely to introduce sweeping tax reforms in Budget 2003. Tax reforms as recommended by the Kelkar task force (KTF) will be delayed till 2005-2006 owing to political compulsions, which include ensuing Assembly polls in nine States during 2003 and Lok Sabha elections due in 2004.

The Government will accordingly formulate tax proposals that are ...

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