The move is estimated to result in Rs 1.45 lakh crore in revenue loss for the government during 2019-20.
The share of direct taxes to India's total tax revenues peaked at 61 per cent in 2009-10.
The scheme is being implemented in a hurry without considering the concerns of the majority of the stakeholders, said the letter.
The government should take these measures, although this may increase the fiscal deficit, said the Godrej Group Chairman.
There has been a clamour for raising income tax exemption limit to push demand and consumption to boost economy.
Government slashed the income tax rate for companies by almost 10 percentage points to 25.17 per cent.
Some key IT regions like Delhi and Bengaluru have been impacted so badly that their growth rate stood at -7.0 and -2.9 per cent, respectively.
The blue print for the stimulus is ready that would be announced by FM Nirmala Sitharaman in the next few days, an official said.
CBDT has laid down a new criteria to ensure only 'deserving cases get prosecuted'.
Govt increased surcharge from 15 per cent to 25 per cent on taxable income between Rs 2 crore and Rs 5 crore.