Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 150
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Code Context


        trigger_error($message, E_USER_DEPRECATED);

    }
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 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php.'
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deprecationWarning - CORE/src/Core/functions.php, line 311
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Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
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Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 151
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Code Context


        trigger_error($message, E_USER_DEPRECATED);

    }
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 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php.'
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deprecationWarning - CORE/src/Core/functions.php, line 311
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Cake\Http\ActionDispatcher::_invoke() - CORE/src/Http/ActionDispatcher.php, line 120
Cake\Http\ActionDispatcher::dispatch() - CORE/src/Http/ActionDispatcher.php, line 94
Cake\Http\BaseApplication::__invoke() - CORE/src/Http/BaseApplication.php, line 235
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Routing\Middleware\RoutingMiddleware::__invoke() - CORE/src/Routing/Middleware/RoutingMiddleware.php, line 162
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Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
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Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Http\Runner::run() - CORE/src/Http/Runner.php, line 51
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Warning (512): Unable to emit headers. Headers sent in file=/home/brlfuser/public_html/vendor/cakephp/cakephp/src/Error/Debugger.php line=853 [CORE/src/Http/ResponseEmitter.php, line 48]
Code Context
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        LATEST NEWS UPDATES | Age Debate: The tax of all taxes    </title>
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-The Asian Age

Replacing income-tax with a banking transaction tax is an unworkable idea.

The poor will end up paying a lot more: Subhanil Chowdhury

The idea that all taxes in India should be abolished, except import duty, and replaced by a bank..."/>
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-The Asian Age

Replacing income-tax with a banking transaction tax is an unworkable idea.

The poor will end up paying a lot more: Subhanil Chowdhury

The idea that all taxes in India should be abolished, except import duty, and replaced by a bank..." />
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                            <div align="justify">-The Asian Age<br /><br /><em>Replacing income-tax with a banking transaction tax is an unworkable idea.<br /></em><br /><strong>The poor will end up paying a lot more: Subhanil Chowdhury<br /></strong><br />The idea that all taxes in India should be abolished, except import duty, and replaced by a bank transaction tax (BTT) is a deeply flawed one for a number of reasons. First, there are only few countries in the world that do not have income-tax &mdash; oil rich countries like Saudi Arabia, Qatar, the UAE, Bahrain or tax havens like Cayman Islands, Bermuda, Bahamas, etc., fall in this category. India does not have a revenue source like the oil-rich Gulf countries nor can it afford to be a tax haven given its huge population and welfare commitments. Do we want to convert India into an emirate or a tax haven and become a global centre for money-laundering?<br /><br />In the advanced capitalist countries within the OECD group, the average tax-GDP ratio is 34 per cent (in 2014), with Denmark (50.9 per cent) topping the list, followed by France (45.2 per cent) and Belgium (44.7 per cent). The US, which is the largest free market economy in the world, has a tax-GDP ratio of 26 per cent. In contrast, the tax-GDP ratio in India (Central and state taxes combined) was only 16.6 per cent in 2015-16.<br /><br />When the tax-GDP ratio in India is so low, the emphasis of tax reforms should be on widening the direct tax base and effectively taxing corporations and the rich by doing away with myriad exemptions and avenues for tax evasion. The proposed BTT militates against this objective because it proposes a total switch from taxing income and profits to taxing expenditure, and that too through banking transactions. This goes against the very principle on which modern taxation systems have been based &mdash; the ability to pay. The BTT would levy the same rate of taxes on transactions, irrespective of whether the transaction is being conducted by the rich or the poor. This is highly regressive because the consumption propensity of the poor is much higher and hence the poor would end up paying more taxes than the rich.<br /><br />Please <a href="http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html" title="http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html">click here</a> to read more. <br /></div>                                                           
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    <br><a href="http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html" class="re" target="_blank">The Asian Age, 24 November, 2016, http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html</a><div class="clear"></div>
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Replacing income-tax with a banking transaction tax is an unworkable idea.

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Replacing income-tax with a banking transaction tax is an unworkable idea.

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                            <div align="justify">-The Asian Age<br /><br /><em>Replacing income-tax with a banking transaction tax is an unworkable idea.<br /></em><br /><strong>The poor will end up paying a lot more: Subhanil Chowdhury<br /></strong><br />The idea that all taxes in India should be abolished, except import duty, and replaced by a bank transaction tax (BTT) is a deeply flawed one for a number of reasons. First, there are only few countries in the world that do not have income-tax &mdash; oil rich countries like Saudi Arabia, Qatar, the UAE, Bahrain or tax havens like Cayman Islands, Bermuda, Bahamas, etc., fall in this category. India does not have a revenue source like the oil-rich Gulf countries nor can it afford to be a tax haven given its huge population and welfare commitments. Do we want to convert India into an emirate or a tax haven and become a global centre for money-laundering?<br /><br />In the advanced capitalist countries within the OECD group, the average tax-GDP ratio is 34 per cent (in 2014), with Denmark (50.9 per cent) topping the list, followed by France (45.2 per cent) and Belgium (44.7 per cent). The US, which is the largest free market economy in the world, has a tax-GDP ratio of 26 per cent. In contrast, the tax-GDP ratio in India (Central and state taxes combined) was only 16.6 per cent in 2015-16.<br /><br />When the tax-GDP ratio in India is so low, the emphasis of tax reforms should be on widening the direct tax base and effectively taxing corporations and the rich by doing away with myriad exemptions and avenues for tax evasion. The proposed BTT militates against this objective because it proposes a total switch from taxing income and profits to taxing expenditure, and that too through banking transactions. This goes against the very principle on which modern taxation systems have been based &mdash; the ability to pay. The BTT would levy the same rate of taxes on transactions, irrespective of whether the transaction is being conducted by the rich or the poor. This is highly regressive because the consumption propensity of the poor is much higher and hence the poor would end up paying more taxes than the rich.<br /><br />Please <a href="http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html" title="http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html">click here</a> to read more. <br /></div>                                                           
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    <br><a href="http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html" class="re" target="_blank">The Asian Age, 24 November, 2016, http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html</a><div class="clear"></div>
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-The Asian Age

Replacing income-tax with a banking transaction tax is an unworkable idea.

The poor will end up paying a lot more: Subhanil Chowdhury

The idea that all taxes in India should be abolished, except import duty, and replaced by a bank..."/>
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Replacing income-tax with a banking transaction tax is an unworkable idea.

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                            <div align="justify">-The Asian Age<br /><br /><em>Replacing income-tax with a banking transaction tax is an unworkable idea.<br /></em><br /><strong>The poor will end up paying a lot more: Subhanil Chowdhury<br /></strong><br />The idea that all taxes in India should be abolished, except import duty, and replaced by a bank transaction tax (BTT) is a deeply flawed one for a number of reasons. First, there are only few countries in the world that do not have income-tax &mdash; oil rich countries like Saudi Arabia, Qatar, the UAE, Bahrain or tax havens like Cayman Islands, Bermuda, Bahamas, etc., fall in this category. India does not have a revenue source like the oil-rich Gulf countries nor can it afford to be a tax haven given its huge population and welfare commitments. Do we want to convert India into an emirate or a tax haven and become a global centre for money-laundering?<br /><br />In the advanced capitalist countries within the OECD group, the average tax-GDP ratio is 34 per cent (in 2014), with Denmark (50.9 per cent) topping the list, followed by France (45.2 per cent) and Belgium (44.7 per cent). The US, which is the largest free market economy in the world, has a tax-GDP ratio of 26 per cent. In contrast, the tax-GDP ratio in India (Central and state taxes combined) was only 16.6 per cent in 2015-16.<br /><br />When the tax-GDP ratio in India is so low, the emphasis of tax reforms should be on widening the direct tax base and effectively taxing corporations and the rich by doing away with myriad exemptions and avenues for tax evasion. The proposed BTT militates against this objective because it proposes a total switch from taxing income and profits to taxing expenditure, and that too through banking transactions. This goes against the very principle on which modern taxation systems have been based &mdash; the ability to pay. The BTT would levy the same rate of taxes on transactions, irrespective of whether the transaction is being conducted by the rich or the poor. This is highly regressive because the consumption propensity of the poor is much higher and hence the poor would end up paying more taxes than the rich.<br /><br />Please <a href="http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html" title="http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html">click here</a> to read more. <br /></div>                                                           
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    <br><a href="http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html" class="re" target="_blank">The Asian Age, 24 November, 2016, http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html</a><div class="clear"></div>
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Age Debate: The tax of all taxes

Published on Nov 25, 2016   Modified on Nov 25, 2016

-The Asian Age Replacing income-tax with a banking transaction tax is an unworkable idea. The poor will end up paying a lot more: Subhanil Chowdhury The idea that all taxes in India should be abolished, except import duty, and replaced by a bank transaction tax (BTT) is a deeply flawed one for a number of reasons. First, there are only few countries in the world that do not have income-tax — oil rich countries like Saudi Arabia, Qatar, the UAE, Bahrain or tax havens like Cayman Islands, Bermuda, Bahamas, etc., fall in this category. India does not have a revenue source like the oil-rich Gulf countries nor can it afford to be a tax haven given its huge population and welfare commitments. Do we want to convert India into an emirate or a tax haven and become a global centre for money-laundering? In the advanced capitalist countries within the OECD group, the average tax-GDP ratio is 34 per cent (in 2014), with Denmark (50.9 per cent) topping the list, followed by France (45.2 per cent) and Belgium (44.7 per cent). The US, which is the largest free market economy in the world, has a tax-GDP ratio of 26 per cent. In contrast, the tax-GDP ratio in India (Central and state taxes combined) was only 16.6 per cent in 2015-16. When the tax-GDP ratio in India is so low, the emphasis of tax reforms should be on widening the direct tax base and effectively taxing corporations and the rich by doing away with myriad exemptions and avenues for tax evasion. The proposed BTT militates against this objective because it proposes a total switch from taxing income and profits to taxing expenditure, and that too through banking transactions. This goes against the very principle on which modern taxation systems have been based — the ability to pay. The BTT would levy the same rate of taxes on transactions, irrespective of whether the transaction is being conducted by the rich or the poor. This is highly regressive because the consumption propensity of the poor is much higher and hence the poor would end up paying more taxes than the rich. Please click here to read more.

The Asian Age, 24 November, 2016, http://www.asianage.com/opinion/oped/241116/age-debate-the-tax-of-all-taxes.html

Tagged with: Income Tax Tax rates Tax Revenue Tax/GDP ratio Taxation Taxpayers

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