ArthaKranti - Proposal to revise taxation system in India : Fly Or Die?
@thebigk
•
Oct 27, 2024
Oct 27, 2024
1.1K
ArthaKranti - a Pune based organisation has been proposing an alternative to the flawed taxation system in India. The proposal simplifies the entire taxation system to just on type of tax, called 'transaction tax'. It would be a simple, single point tax that'd be deducted at the source of transaction. The overall proposal is as follows -
Do you think ArthaKranti is a proposal that should fly or should it die? Do you see any obvious errors in the proposal? Do you think it's possible? Justify your stand.
- Withdraw existing taxation system completely. The only exception to this will be the customs and import duties that the official website claims that 'act as international trade balancer'.
- Introduce transaction tax for every transaction that routes through the bank. This could be about 2%, with Central, State and Local government bodies receiving ~0.70%, 0.60% and 0.35% respectively. The bank will have the remaining share; say 0.35%.
- Important: Removal of high denomination currency: above Rs. 50.
- Cash transaction will not attract any transaction tax.
- No legal protection to transactions that are above Rs.2000.
Do you think ArthaKranti is a proposal that should fly or should it die? Do you see any obvious errors in the proposal? Do you think it's possible? Justify your stand.
