New Delhi, Jan. 12: Left trade unions in a meeting with finance minister P. Chidambaram today gave a budget recipe, which seeks to turn the clock back ? higher corporate and income tax rates, higher customs duty on imported liquor and cars, re-imposition of a tax on wealth, a surcharge on air travel and even a repeal of the Fiscal Responsibility Act so that the government can spend more than it earns with greater ease.

?It has to be a people?s budget,? AITUC chief and CPI leader Gurudas Dasgupta said, explaining their demands after the meeting with Chidambaram.

The Left unions, who met the finance minister along with the Congress and the BJP trade unions, also opposed divestment of state-run firms, raising the FDI cap in sectors like banking, insurance and aviation besides restoration of the 9.5 per cent interest rate on EPF.

The unions also sought provision of more funds in social sectors, including 10 per cent of the budget on education, social security for agricultural, unorganised and organised workers, setting up of the Sixth Pay Commission, wage boards for different sectors, including the newspaper industry, progressive hike in corporate tax and higher income tax rate for those earning over Rs 10 lakh.

?India?s budget is for Rs 200,000 crore; we want it to be enlarged to Rs 250,000 crore,? Dasgupta said. This, he said, could be done through higher taxes and larger fiscal deficits.

Citu president M. K. Pandhe said, ?We oppose the setting up of a pension regulator and the new defined contribution scheme, where the pension contribution of the government is curtailed.?

Economists lobby for more FDI

Top economists who met the finance minister today made out a case for easier FDI norms to push investment and growth rates.

?We suggested that the current policy bias towards investment by foreign funds should be reversed to favour foreign direct investors as the second form of investment is more stable,? explained B. B. Bhattacharya, head of the Institute of Economic Growth.

?FDI can play a great role in increasing the GDP growth from 6.5 to 7.5 per cent,? ICRIER director Arvind Virmani said after the pre-budget meeting with the finance minister.