Lok Sabha Debates Discussion On The Motion For Consideration Of The Finance (No. 2) Bill, 2019 Moved ... on 18 July, 2019 Seventeenth Loksabha > Title: Discussion on the motion for consideration of the Finance (No. 2) Bill, 2019 moved by Smt. Nirmala Sitharaman and also laid a copy of statement on Background and Justification for the amendments to Prevention of Money Laundering Act, 2002 proposed as a part of Finance Bill (No. 2), 2019 (Discussion Concluded and Bill Passed). HON. SPEAKER: Hon. Member, I will permit you in ‘Zero Hour’. You may discuss with me in my Chamber. अब आइटम नंबर 8, वित्त (संख्यांक 2) विधेयक, 2019 लिया जाएगा । माननीय मंत्री जी, आप बोलिए । …(व्यवधान) THE MINISTER OF FINANCE AND MINISTER OF CORPORATE AFFAIRS (SHRIMATI NIRMALA SITHARAMAN): Sir, I beg to move: “That the Bill to give effect to the financial proposals of the Central Government for the financial year 20192020, be taken into consideration.” माननीय अध्यक्ष : प्रस्ताव प्रस्तुत हुआ : “कि वित्तीय वर्ष 20192020 के लिए केन्द्रीय सरकार के वित्तीय प्रस्तावों को लागू करने के लिए विधेयक पर विचार किया जाए ।” THE MINISTER OF FINANCE AND MINISTER OF CORPORATE AFFAIRS (SHRIMATI NIRMALA SITHARAMAN): Thank you, Sir. Since the hon. Members will be discussing the Finance Bill today, I would just like to start the discussion with a few observations which will elaborate on the kind of things that we are aiming or proposing to do through the Finance Bill that we have brought in the Budget. Sir, the Finance Bill, obviously, is looking at various taxation proposals. The taxation proposals are given in detail with the Budget documents. Broadly, I put them into different compartments so that when the discussion will happen, I shall be here to hear the input being given by hon. Members and, I shall, therefore, not make my introductory remarks too long. To give a broad picture, under direct taxation, about seven Acts are being amended keeping in mind the “MakeinIndia” and furthering the agenda of “MakeinIndia”. It is because today we need a lot more manufacturing within the country. We want to incentivise people to produce things in India. There are several measures under the Direct Taxation that we are taking up. I will just flag them all. I am sure the Members are all doing a great deal of indepth study into them and it might just help the conversation. So, under the Direct Taxation, there are seven Acts, which are being touched, deal with the Payment and Settlement Systems Act, the Black Money Act, the Income Tax Act, the Finance Act of 2016 which relates to the income disclosure scheme, the Finance Act No.2 which is the Securities Transaction Tax, 2004, SFURTI and the Benami Act. So, seven Acts are being touched during this Finance No.2 Bill. I am only mentioning some of them so that it will clearly pointing out the direction in which we want to take the Finance Bill. The provisions are the Reduction in the Corporate Tax rate, incentive to purchase electric vehicles, incentives to startups, boost to affordable housing, incentive to international financial service centre, incentives to certain nonbanking financial companies, interchangeability of PAN and Aadhaar for these purposes, prefiling of the returns, furthering the Government’s agenda on tackling black money, TDS on cash withdrawal from banks, deduction of tax by individuals or HUFs from contract of professional fee payments, compulsory filing of returns, quoting of PAN and Aadhaar, strengthening the thirdparty reporting mechanism, facilities for lowcost electronic payments and so on. On the Direct Taxation, I am not getting into further details but these are the items under which the relevant Acts are being amended. Now, under the Indirect Taxation, seven Acts are being amended so that Indirect Taxation related matters will have a greater simplicity and be effective. The Acts that are being amended are the Customs Act, the Customs Tariff Act, the Goods and Services Act, the Finance Act of 2002 regarding the road cess, the Finance Act of 2018 for the special additional Excise and Central Excise which I have mentioned, CGST and IGST. The GST alone has five different amendments which will have to take place. As a result, there will be an ease of compliance for MSME sector. There will also be an ease of paying taxes. More simplified measures will come in for prompting digital payment and for improving complianc