Tax exemption sought on road safety investment

5 Dariya News

New Delhi 24-Jun-2014

The International Road Federation (IRF) Tuesday urged union Finance Minister Arun Jaitley to extend 100 percent income tax exemption for industry, corporate houses, NGOs, inpiduals and media investments in the road safety programmes."Extending 100 percent exemption in the union budget for the financial year 2014-15 will help motivate people to donate generously for road safety activities," said K.K. Kapila, chairman of the IRF, in a statement."We have requested the finance minister to extend 100 percent income tax exemption for road safety investments from the present 50 percent on the lines of concessions extended under provision of Section 82 of the proposed Direct Tax Code for incentives to companies," he added.

The second United Progressive Alliance government in the union budget for the financial year 2012-13 allowed income tax exemption of 50 percent on the amount that people and entities contribute for road safety activities.India accounts for 10 percent of global road accidents with about 1.38 lakh fatalities every year, which is the highest in the world.The IRF has also urged Jaitley to include road safety in the Corporate Social Responsibility (CSR) provisions in the recently revised companies bill specifying CSR activities that can be carried out under distinct heads.