New York, October 6
Finance Minister Arun Jaitley has
promised a rational tax rate for individuals and bringing down of corporate tax
to 25% flat in four years beginning next fiscal along with removal of
exemptions except those that encourage individual savings.
Addressing students and faculty at
the Columbia University here last night, he said along with a rational rate of
taxation, more banking transactions and making PAN card compulsory for payments
over a threshold limit will go a long way in tackling the problem of domestic
black money.
He also said once the corporate
taxes go down, the exemptions, over there is a bulk of litigations and
discretions, will have to be phased out.
The Finance Minister said the world
needs “additional shoulders” other than China to push growth and this presents
an opportunity for India.
He outlined the roadmap of the
BJP-led Government for the coming months, saying the Goods and Services Tax
(GST) will be a “top priority” and hoped to take the Bankruptcy Code to
Parliament in the winter session.
Referring
to the problem of black money, the Finance Minister said, “The first step is
you rationalise your rates and have rational rate of taxation which helps you
in making sure that people comply. PTI
