While the measures proposed for responsible behaviour of CBDT are laudible & radical simplification is welcome, releasing vast economy locked up in litigation, the Kelkar committee is far too soft on CBDT while focussing only on Revenue mobilisation.
The measures of reduced Corporate tax, GST only on valu addition & giving credit for GST paid on inputs will in the long run create one unified market that India ought to be unshackling complex and porous central-state tax network.
But the end Consumer you and me are given a raw deal through these reform measures throwing incredible 30% tax and addl 16-20 GST on everything we consume, despite ddismal return of services from the GOI.
This clearly a social injustice of robbing Peter to pay Paul.
Who is going to fight on behalf of Individual tax payers, to bring about a reasonable 20,max 25% tax regime for the two tax slabs, by concurrently axing wasteful Govt expenditure? CII? - not a chance!
Lets be clear, that achieving is high growth is possible. But sustaining it is something we have to think about. Dont give example of China... How could China grow... It was only because of industry and industrial exports. In our case Industry contribution to GDP is just around 25 percent and so is agriculture. Instead of basing our numbers on Industry, we tend to base out growth numbers on agriculture.... one poor rainfall years... it will have repelling effect for 2 years... so down the drain goes the numbers projected...
Guys up there think in terms of growth in real out put from mamnufacture that has competitive edge in export market... dont bank on inveisible like the service sector...and agriculture is just a sustainence....
Dont believe that numbers.... statistics are like bikines that hides vitals.
