USIBC seeks PLI for media, entertainment
US India Business Council for reforms for reducing bureaucratic hurdles
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Enhance EoDB
- Liberalising satellite communications industry
- An exemption via tax collected at source for ESOPs
- Reducing friction in flow of capital between two countries
- Removing curbs on perishable goods shipped via courier
- Eliminating value restrictions on courier exports exceeding Rs5 lakh
Washington: A top India-centric American trade body on Sunday recommended that the Indian government should introduce production-linked incentives for the media and entertainment industry in the upcoming Budget. The trade body also called for steps to level the playing field between Indian and foreign companies. Ahead of the annual Budget presentation by Union Finance Minister Nirmala Sitharaman on July 23, the US India Business Council (USIBC) pitched for liberalising the satellite communications industry and taking measures to create a level playing field for Indian and foreign financial services firms and reduce friction in the flow of capital between the two countries.
Proposing eliminating value restrictions on courier exports exceeding Rs5 lakh to streamline processes and foster greater efficiency, USIBC, in its memorandum to the Union Finance Ministry, suggested removing restrictions on perishable goods shipped via courier to ensure swift clearance, supporting perishable trade dynamics and integrating a single window system for courier shipments to enhance operational ease and reduce bureaucratic hurdles. “Firstly, we propose to issue a clarification regarding Input Tax Credits (ITC) under the Reverse Charge Mechanism (RCM) under the Goods and Services Tax (GST) on payment to expatriate employees. Secondly, we recommend that the concerned authority may issue appropriate clarification on eligibility of ITC on medical insurance to employees. “Thirdly, we suggest issuing an appropriate interpretation clarifying taxability (GST) of the Employee Stock Purchase Plan (ESPP)/Employee Stock Option Plan (ESOP) provided by a company to its employees through its overseas holding company,” it said.
USIBC also recommended providing an exemption via tax collected at source (TCS) for the ESOP and other similar employee benefit schemes where remittances are made through the employer.
