Budget 2019: HDFC vice-chairman and chief executive Keki Mistry calls for lower taxes to end black money

Mumbai: There is a need to bring down the tax rates from the current high levels as it will help in improving revenue collection and reduce black money generation, according to HDFC vice-chairman and chief executive Keki Mistry. But he was quick to point out he does not expect any changes in tax rates soon as the next budget will be a vote-on-account due to the general elections which are due in April-May. [caption id=“attachment_5848841” align=“alignleft” width=“380”] Keki Mistry. Pic courtesy: TCS website[/caption] There is always going to be a demand from people to get more benefits, reduce taxes but at the same time the government of the day has to take into account fiscal position, Mistry said. “My personal view is that we really need to bring down tax rates because whatever little black money generation happens now is because of high tax rates. If you bring down tax rates, you bring down the inclination of the people not to pay taxes,” Mistry told reporters on the sidelines of an ICAI seminar here on Friday. He said lower tax rates will also help in collecting more money. “We cannot let the fiscal slip too much. The government has to keep that in mind. It’s a close balancing act,” he said. Mistry expects the full budget, which will be presented by the new government to give a lot of focus on the rural economy as it needs a lot of support. “If a spurt is given to the rural economy, it will ultimately translate into all-round economic growth,” he said.     To keep watching India’s No. 1 English Business News Channel – CNBC-TV18, call your Cable or DTH Operator and ask for the Colors Family Pack (inclusive of 24 channels), available for Rs. 35/- per month, or subscribe to the channel for Rs. 4/- per day. To keep watching the Leader in Global Market & Business News – CNBC-TV18 Prime HD, call your Cable or DTH Operator and ask for the Colors Family HD Pack (inclusive of 25 channels), available for Rs. 50/- per month, or subscribe to the channel for Rs. 1/- per day.