Finance Minister Jaswant Singh said on Thursday that the tax cuts announced on Thursday would not have any major impact on revenue and the government was expecting much better growth in the third quarter.
"Every tax measure has certain implications. The impact on revenue will be temporary. These measures will, in fact, greatly enhance growth and stimulate investment," he said.
Singh said that the measures announced on Thursday were not done with an eye on the impending election but they were part of a continuous exercise and would not have any impact on the budgetory process.
"These steps have not been taken in a fit of amnesia...budgetory process ko koi chot nahin aayi hai (budgetory process has not been hurt). Revenue outlook is very positive," the minister said before leaving for a meeting of the National Democratic Alliance.
He said any delay in these economic initiatives would have delayed the prospects of economic growth.