NEW DELHI: Business leaders in India voiced strong demand for targeted tax incentives and manufacturing linked lower tax rate regime in anticipation of the Union Budget 2026 and the implementation of the New Income Tax Act, a report said on Tuesday.
The report from KPMG India said 34 per cent of respondents called for the return of the manufacturing‑linked lower tax rate regime, as many income-tax incentives already expired or approached sunset.
Earlier a lower tax rate of 15 per cent was available u/s 115BAB to manufacturing units.
Meanwhile, 50 per cent respondents wanted the government to focus on targeted sector‑specific incentives, the report said.