All businesses in India with the exception of TATAs (TCS not included) under report their income and are hand in gloves with babus/netas for favors be it land acquisition, use of natural resources, tenders ... you name it.
Corruption is in the Indian gene and cannot be cured easily.
Re: 95%
by Sheetal Kaur on Feb 16, 2011 12:54 AM
That is where the corruption starts from super rich. Super rich are the mother of the invention machine that churns out corruption.
A BIG NO. The rich should not pay more taxes, infact they should pay less. The more money in the right hands, better the wealth distribution. Government of India could never understand this and will never understand this.
Yes they should just as they pay in UK. Even the queen has to declare her Income and pay tax on it. here no one is above the law. UK rates are as follows: Up to £12000 UK pounds you pay 20% tax. From £12 to £33000 you pay 25% tax Above £33000 you pay 40% tax regardless of who you are. Then there is inheritance tax, Capitol gain tax, Gift above £3000 a year is also taxed. There other as well such as money earned in personal insurances is taxed,equities of all kind are taxed matter in fact all earning regardless of where it can from is taxed accordingly Yes there are exemptions such as any money given to children under 12 years old is not taxed and the interest earned is also not taxed. Loans such personal loans carry a tax rebate if not used for any gain such as investing in business. Mortgages also carry tax exceptions. Money won in a national lottery is not taxed at all. first £ 30000 of Redundancy money is exempt from tax after 30000 you pay tax accordingly to bracket it falls in. so rich in India should also pay tax on their Income I would say some where near to UKs 40%.
Re: Should India's super-rich pay more taxes?
by Sheetal Kaur on Feb 16, 2011 12:40 AM
You forgot to mention two things. !, Over paid tax will be refunded to you in a given time and if that limit passes you will be paid interest on it. 2, if you have under paid the the extra tax will be collected in installments in the current financial year. It is the duty of every working citizen to fill a tax return, tax office do not have obligation to check what you are paying they go by the figures supplied by the employers. example your if you wear a suit to office then that is tax exemption as work related expense same is a factory workers overalls, boots and other protective equip ment you tools etc. You need to tell all that to tax people they don't get a dream. And if you don't yo are the looser. You also need to tell the taxman that you have got married so that your tax allowance increased accordingly an yes there is a tax refund for the no of months those have passed in the financial year you got married. Financial starts on 5th April so if one gets married in January then they get 1 months refund and if in December then it is 12 months refund. So is for every child born your allowance increase and the mother gets a child allowance until the child is 18 years old.
A BIG NO. The rich should not pay more taxes, infact they should pay less. The more money in the right hands, better the wealth distribution. Government of India could never understand this and will never understand this.
Re: NO
by Sheetal Kaur on Feb 16, 2011 12:45 AM
Tax money is the Share holding of the public which is used for the betterment of the country. Tax pays for the Infrastructure
Re: Re: NO
by Sheetal Kaur on Feb 16, 2011 12:51 AM
Defense,education and much more. Unfortunately in India tax is seen as income for Netas and Babus only. The think it is their personal property and is only there to line up their pockets and fatten their bank balance.
The real super rich, like Raja, Karunanidhi, Kalmadi, Sonia and a host of other politicians would not even declare their super high income. What is the use of penalizing the honest ones?
In my opinion, govt must legalize corruption revenues and allow its conversion to white money with a higher tax rate of say 50%. This is the only solution because our several years of governance has proven that corruption is immortal - as they say it for a soul in Bhagwad Geeta.
Re: Real Super Rich
by Sonu A on Feb 15, 2011 11:44 PM
Kalaignar and S"G" still wont pay even if tax was .005% to legalize their money stashed in Swiss heavens.. so just dream on
Its official in India 60 years as retirement age and thereafter they are considered as senior citizen for aii purpose except for income tax. I have never understood the logic behind categorising the age group between 60 and 65 years as any other tax payers when they are retired. I think better sense prevail in these dumb politicains, babus and ministers to correct their policy.
Re: Retirement age
by prem k on Feb 15, 2011 03:48 PM
Logic is simple. There are many individuals between 60 and 65 years of age and govt does not want to lose the tax revenue from these people. Of course if these people lobby very strongly, IT dept may reduce the age for senior citizens - but not before the election year.
Re: Retirement age
by Ajit Birdi on Feb 16, 2011 12:25 AM
That is standard in any country. At 60 one can retire from work and get a work related pension or they can leave the cash upt the age of 65 and let grow for another five years and get a bit better pension. Pensions is Income and is taxed accordingly. In UK pension has a flat rate of 20% tax regardless of what one gets. And if one still works and draws an income that extra income is also taxable which is deducted by the employer under PAYE (Pay As You Earn) scheme.
In the last financial budget our great honble Finance minister Sri jukat babu pranab mukherjee helped richest business houses like AMBANI, TATA, BIRLA by creating new income tax slab which helped these industry houses to save nearly Rs.20,000/- crores (per industry house) and did not consider the long demand of AAM JANATAS (for senior citizens) long demand to consider the seniority age at 60 instead of 65 at the time of calculation Income tax for senior citizens. BUT THIS GREAT FINANCE MINISTER IGNORED LOW MIDDLE CLASS PEOPLE'S (SENIOR RETIRED CITIZENS) PRUDENT DEMAND AND PREFER TO HELP BIG BUSINESS HOUSES LIKE AMBANI.
