New Delhi, Dec. 6 -- The PHD Chamber of Commerce and Industry (PHDCCI) has put forward an extensive set of recommendations to the government, calling for a major overhaul of India's direct tax framework.
The Chamber said these changes are essential to improve compliance, support businesses and strengthen the overall investment climate.
PHDCCI has proposed capping dividend taxation at 20 per cent, noting that companies already pay tax before distributing profits. It believes a cap will reduce the combined tax burden on promoters and support reinvestment.
The Chamber also recommended reinstating the 150 per cent weighted deduction for R&D expenditure, saying India must encourage innovation to stay globally competitive.
The industry body h...