The Gujarat State Small Industries Federation has submitted a 23-point charter of demands to Union Finance Minister Pranab Mukherjee for consideration in the Union Budget 2009-10.

In a letter written to Mukherjee, Federation president Atul Kapasi has sought a separate sub-target of credit for MSE (medium and small enterprise) sector under the priority sector lending, besides an increase in credit limit by 15 per cent for MSE and doubling of timeframe for reckoning of MSE as non-performing credit from 90 days to 180 days.

The Federation has also requested for a liberal, one-time settlement scheme for MSE to settle Non Performing Assets (NPA).

Apart from asking for concessions in various interest regimes, the Federation has sought doubling of exemption limit to Rs 3 crore and eligibility limit from Rs 4 crore to Rs 5 crore under general excise exemption scheme.

Exemption from fringe benefit tax, service tax (for MSE providing business auxiliary services) and enhancement of exemption limit from service tax from Rs 10 lakh to Rs 20 lakh has also been sought.

The Federation has urged for a uniform electricity duty in all states to prevent unhealthy competition among states.

It has also sought full exemption from excise duty, VAT and local taxes for setting up of effluent treatment plants, besides 50 per cent subsidy on the cost of setting up of these plants.