India : When we will have actual “One Nation One Tax”?

Please note the intent of this post is to bring awareness to everyone. I am sure you already know about this.

A taxpayer needs to pay Income tax + GST ( 0–28%) on every eligible product & services.

Hi Everyone,

Hope you are doing well. We are proud nationalist with a Nation First mindset. We do believe foundations we can make strong Bharat.

The intent of this email is to give a Taxpayer‘’s perspective ’on the current financial situation and make some recommendations on tax & related services.

Tax is the biggest revenue creator for the government. But it’s equally havoc for the salaried person. It’s sad to see economic honest people being penalized for the wrong deed of people who are not giving their share of taxes.

Having said that, the current situation is not really helping the honest taxpayer citizen.

With the current status less than 10% of the people are paying their taxes. This means that 90% of the people are not paying direct income tax which is one of the major sources of income.

If you do a survey (you should), to find out how many taxpayers are really using these social welfare schemes. Or rather if these social welfare schemes are really applicable for tax payers. You will find hardly Any.

It’s also equally sad that these 90% (non taxpayers) are the beneficiary for most of the social welfare schemes.

Reason: If you are able to pay taxes you should be able to self sustain it.

And as an individual we can. But this looks like killing the chicken which lays the golden egg. Let us explain.

The taxpayer has to pay tax on the every transactions they make. That’s what the GST is all about. It is good from one perspective who are not paying their taxes, they are at least paying the tax in another form. But for the honest taxpayer, it’s a double blow.

A taxpayer needs to pay Income tax + GST ( 0–28%) on every eligible product & services. This is like you earn just to pay taxes. It’s not good.

Another example of LTCG. It’s most amazing part, you invest to get the tax break but if you earn any of the benefit from it, you need to pay LTCG as well. It’s beyond understanding why an honest taxpayer should really pay LTCG on the ELSS (tax break schemes).

The above mentioned examples are few of the pain points we can understand. This is just the layman’s understanding.

I have following questions :

Why as a taxpayer should I pay other forms of taxes?

Shouldn’t GST be removed for the taxpayers?

When we will actually will have One Nation One Tax?

I do believe in the current leadership. This is the team who can take big bold decisions and implement it. We really appreciate the effort government is trying to make to bring people under the tax regime.

But something has to be done to give really tax break to the honest taxpayers. We need to think beyond The standard tax slab rates.

Government should think of how to incentivized the tax paying by not taking any additional taxes like GST for the people who paid their taxes.

This post will serve as reconfirmation for your awareness and take steps in the correct direction.

Thank you

Project Blue Bee