New York, June 19 (IANS) With Finance Minister Arun Jaitley here allaying concerns of American investors that India will not make retrospective tax demands, the US-India Business Council (USIBC) said on Friday the first year of the Narendra Modi government has seen a positive response “from investors across the board”.
“The past year has seen a positive affirmation for Prime Minister Modi’s ‘minimum government, maximum governance’ agenda from investors across the board,” USIBC president Mukesh Aghi said at a reception here in honour of the finance minister.
“The council and its membership eagerly await the passage of critical legislation in the areas of taxation and the land acquisition bill,” he added.
Jaitley had earlier said in an interaction at the Council on Foreign Relations here: “I have no difficulty in saying that any decision which is retrospective, except in some very unusual circumstances, which creates fresh liabilities is certainly not acceptable.
“Therefore, ever since the present government has been formed, we said it when we were not in government and therefore we’ve lived up to our word, this government will not legislate anything that is retrospective.”
USIBC chairman and MasterCard chief executive Ajay Banga said: “What investors need in return is continued clarity of the rules of the road – especially in areas like taxation, intellectual property, and improved ease of doing business.”
“The recent commissioning of Azure Power’s 100 MW solar projects, the largest under the National Solar Mission, in record time is an excellent testament to improvements in the regulatory environment and ease of doing business in India,” said Azure Power chief executive Inderpreet Wadhwa.
“Amway is proud of its Rs.550 crore investment in manufacturing in support of the Make in India campaign,” said Amway chairman Steve Van Andel.
The finance minister, accompanied by a high-power business delegation, is on a 10-day visit to the US during which he will meet US Treasury Secretary Jacob Lew, foreign institutional investors (FIIs) and US industry leaders.
Jaitley’s itinerary embraces New York, Washington and San Francisco.