Page 11 - Banking Finance July 2022

ROUNDUP

Industry

EV fire due to mad rush for Gadkari proposes setting people, culture and society and brings
prosperity through socio-economic de-
biz: Bajaj up of innovation Bank for
velopment.
An environment that promotes a "mad
new ideas
rush" to get into the electric vehicles
Union Minister for Road Transport and FY23 direct tax mop-up
(EV) business is more worrying than
Highways Nitin Gadkari has proposed
such two-wheelers catching fire, said rises 45% so far
setting up of Innovation Bank for new
Rajiv Bajaj, managing director of Bajaj Reflecting an uptick in economy, net
ideas, research findings and technolo-
Auto. direct tax collections between April
gies to focus on 'Quality' in infrastruc-
and mid-June
Buyers will not be put off by fires be- ture development.
cause they can figure out reliable jumped 45 per cent to over Rs 3.39
Virtually addressing the inaugural func-
brands, but the authorities must not lakh crore, the Income Tax department
tion of the 222nd Mid-Term Council
dilute quality norms, Bajaj told report- said. The improved collections are
Meeting of the Indian Roads Congress
ers after the inauguration of a Chetak mainly due to a 47% growth in TDS
(IRC), he said new initiatives are ex-
Technology' facility in Akurdi near mop-up and a 33 per cent rise in ad-
pected from IRC, Innovation should be
Pune. vance tax realisation for April-June
the focus area for all Engineers.
quarter.
"What concerns me more is the envi-
He said IRC should develop a World-
ronment that has promoted this mad The net direct tax collection of over Rs.
class state-of-art laboratory with the
gold rush (to get into EVs). When the 3.39 lakh crore included Corporation
help of IITs and global institutions in
flower doesn't bloom, you don't fix the Tax (CIT) of over Rs 1.70 lakh crore and
the world, according to a release by
flower, you fix the environment. Why Personal Income Tax (PIT), including
the Ministry of Road Transport and
is this happening in the EV world? Why Security Transaction Tax (STT), of more
Highways.
are people who have no business to be than Rs 1.67 lakh crore.
in the EVs, are in the business? Gadkari said infrastructure develop-
"The figures of direct tax collections for
ment has an important role in fulfilling
"This must be fixed and understood. the financial year 2022-23, as on June
the vision of Prime Minister Narendra
It's partly the incentives and partly 16, 2022, show that net collections
Modi to make India a 5 trillion-dollar
because the relevant authorities in the are at Rs.3,39,225 crore compared to
economy and road infrastructure is di-
government have diluted the norms," Rs.2,33,651 crore over the correspond-
rectly linked to the prosperity of that
said Bajaj," referring to low-speed (up ing period of the preceding year, rep-
region.
to 50kmph) vehicles that do not go resenting an increase of 45 per cent
through testing or validation. He said road infrastructure connects over the collections of the preceding
BANKING FINANCE | JULY | 2022 | 11