Sop opera: FM announces venture funds

Graduate youth was the target audience, and they would be able to access this fund for small businesses with SIDBI taking all the risk. Singh promised tour operators that 90 per cent of their earnings would be tax free while only 10 per cent would be taxed. Addressing the stock markets, Singh said exemption on dividend distribution tax to open-ended equity oriented scheme of mutual funds should continue for one full year beyond March 2004.

Hoping that stock markets would pay more attention to his announcements Singh also clarified again on Wednesday that exemption on long term capital gain tax on equity would continue beyond March 1, 2004, for another three years. As both dividend distribution tax regime and exemption of long term capital gains tax on equity entail amendments to the Finance Act as they being direct tax measures, Singh promised to carry out necessary amendments with retrospective effect if voted back to power.

Singh also announced a Rs 8 per kg subsidy for tea growers for four months with immediate effect and withdrawal of 8 per cent excise duty on wood particles and fibre board following representation from the industry. Keeping an eye on Assembly elections likely to be held in Maharashtra in near future, Singh declared that the Nagpur airport would be upgraded as international airport with immediate effect.