Govt. Invites Suggestions From Trade and Industry Associations for Budget 2026-27

F. No.334/10/2025-TRU, Dated 27-10-2025

1. Objective of the Consultation

The Government has invited suggestions from trade and industry associations for the Union Budget 2026-27.

The consultation covers proposed changes in both direct and indirect taxes, with the aim of improving tax policy, rationalising rates, and expanding the tax base.

2. Scope of Inputs Requested

Associations have been asked to submit suggestions on the following:

• Duty Structure

1. 1. Recommendations on Customs and Excise duties.
   2. Requests to correct inverted duty structures.

• Tax Rates – Changes in rates under Direct Tax laws and Indirect Taxes.
• Tax Base Expansion – Proposals to widen the base without adversely affecting industry competitiveness.

3. Data and Justification Requirements

Each suggestion must be supported by relevant quantitative and qualitative data, including:

• Production figures
• Price trends
• Estimated revenue implications for the Government
• Illustration of how the proposal would impact competitiveness, compliance, or ease of doing business

For requests to correct inverted duty structures, the submission must also include:

• Stage-wise details of manufacturing
• Value addition at each stage

This is to help assess whether the duty correction is justified and consistent with domestic value addition objectives.

4. Submission Process and Email IDs

Suggestions must be sent by 10-11-2025 to the appropriate authority as follows:

1. Customs and Central Excise (for commodities outside the ambit of GST) – Email: budget-cbec@nic.in
2. Direct Taxes – Email: ustpl3@nic.in

5. Required Formats and Annexures

All proposals must:

• Follow the prescribed formats issued for:

1. 1. Indirect Taxes (Customs and Central Excise), and
   2. Direct Taxes

• Include a proper justification for the change
• Clearly quantify:

1. 1. Impact on revenue
   2. Positive externalities (e.g. employment generation, domestic manufacturing, export competitiveness, environmental benefit)

• Attach the required Annexure with product-level information wherever applicable

Incomplete, unstructured, or purely demand-based representations (e.g. “reduce rate because industry is stressed”) are discouraged.

6. Key Compliance Points for Associations

• Ensure proposals are evidence-backed, not rhetorical.
• Avoid generic requests; submissions should be specific, measurable, and implementable.
• Respect the deadline of 10-11-2025, as late submissions may not be considered in the Budget exercise.

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