Pharma industry seeks R&D tax benefit from budget
The pharmaceutical industry has called on the Government to extend the tax benefits available for R&D to pharmaceutical companies by five more years, a top industry official said.
By PTI |
MUMBAI: The pharmaceutical industry has called on the Government to extend the tax benefits available for R&D to pharmaceutical companies by five more years, a top industry official said.
"We have urged the Government to allow tax benefits under Sec 81 AB for pure R&D facilities, which does not have any manufacturing or sales but only research. The industry seeks extension of this for five more years. This clause expired in March 2007," Nicholas Piramal India Director-Strategic Alliances Swati Piramal told reporters on the sidelines of a conference here today.
Without tax exemption, the domestic pharmaceutical industry would have to incur huge expenditure, and that an extension till FY13 would help the industry in long-term planning and research to face competition, she said.
The R&D expenditure of pharmaceutical industry has gone up considerably. After the patent law, Indian pharmaceutical industry has started investing substantially in R&D.
"We have urged the Government to allow tax benefits under Sec 81 AB for pure R&D facilities, which does not have any manufacturing or sales but only research. The industry seeks extension of this for five more years. This clause expired in March 2007," Nicholas Piramal India Director-Strategic Alliances Swati Piramal told reporters on the sidelines of a conference here today.
Without tax exemption, the domestic pharmaceutical industry would have to incur huge expenditure, and that an extension till FY13 would help the industry in long-term planning and research to face competition, she said.
The R&D expenditure of pharmaceutical industry has gone up considerably. After the patent law, Indian pharmaceutical industry has started investing substantially in R&D.
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