Budget 2014: Expect single-window clearance for large infra projects and real-estate projects

From revising the interim budget fiscal deficit target upwards to a roadmap to recapitalize public-sector banks, Anand Rathi Institutional Research has many expectations from Finance Minister Arun Jaitley's maiden budget. Here is a list of the other expectations:

1 For technology, we expect reduction in MAT and lowering of dividend tax from foreign subsidiaries.

2 For consumer & retail, we expect increase in excise-duty for cigarettes and increased government spending in rural areas.

3 For auto and auto parts, the most important budget expectation has been met - the reduced excise duty extended till Dec-end. We expect thrust on infrastructure development.

4 For healthcare, MAT on SEZ / EOU units might be reversed and MAT may not be applicable to profit from SEZ units.

5 For industrials, single-window clearance would help large infrastructure projects. There could be increased outlay for urban infrastructure.

6 For cement & building materials, greater infrastructure investments could revive cement demand; we expect single-window clearance for large infra projects and real-estate projects.

7 For construction, there could be increase in government spending on infrastructure and existing schemes. Also, we expect higher limit for tax-free bonds by government agencies for long-term infrastructure financing.

8For metals, higher infrastructure investments and capex trajectory, together with incentivising of end-product consumption, could revive steel demand.

9 For textiles, we expect capital-investment incentives under the Technology Up-gradation Fund.