Budget 2012: Assocham's recommendations for power sector

With the Budget 2012 to be presented by the Finance Minister, Pranab Mukherjee on March 16, The Associated Chambers of Commerce and Industry of India ( Assocham) has raised certain issues that pertain to the power sector. The Chamber has also recommended a few measures to the government for addressing the same.

Deduction under section 80-IA to power plants

Recommendation: As per the provision of section 80-IA(4)(iv) of the Act, profit earned by an undertaking is exempted if it begins to generate power up to March 31, 2011. In view of scarcity of power and to promote the power plants, exemption may be continued for another year for the power plants to be commissioned by March 31, 2012.