India Inc sure of VAT from April 1: CII survey

Majority of India Inc feels value added tax (VAT) would be introduced from April 1 while it is divided over the timing of phasing out of central sales tax.

Most CEOs, polled by CII, said the income tax exemption limit should be raised to Rs 1 lakh in the forthcoming budget.

Majority of the CEOs among the the national council members of CII said Sebi's move to not permit promoters to increase their stakes in a company beyond 55% through creeping acquisition without an open offer would not help in enforcing better corporate governance.

87% respondents were certain that the introduction of VAT would be as per schedule from the beginning of the next fiscal following the release of the white paper on VAT last month.

Parthasarthy Shome, advisor to the finance minister, had expressed confidence that VAT would be implemented from April 1. However, Uttar Pradesh and Rajasthan had expressed some reservations over the implementation.

Shome said that Chief Ministers of both the states were in touch with the finance minister over the issue.