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Muted Budget - Mr Shrutam Desai, CO-Founder, Onlymobiles.com

Posted On: 2017-02-01 21:08:36

However, there are no direct announcements made with respect to e-commerce sector, i will call it a muted budget but the expectations were also on lower side as we are expecting major reforms only during the GST announcements and subsequent rollout. there are two notable announcements made which will eventually help e-commerce companies (esp those who are in nascent stage) - 01) reduced income tax for people whose income is less than 5L - this will increase the net income of the salaried class and may help to increase the consumption. 02) reduced corporate tax from 30% to 25% - with annual turnover of less than 50 Crore.

However, we should also note that ample focus have been placed on improving infrastructure - which eventually bring down the logistic expenses for the e-commerce companies. the result may not be visible in short period but it is govt's message that they are prioritising the transportation sector.


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