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
Cake\Http\ServerRequest::offsetGet() - CORE/src/Http/ServerRequest.php, line 2421
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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
Cake\Http\Server::run() - CORE/src/Http/Server.php, line 98

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
Cake\Http\ServerRequest::offsetGet() - CORE/src/Http/ServerRequest.php, line 2421
App\Controller\ArtileDetailController::index() - APP/Controller/ArtileDetailController.php, line 151
Cake\Controller\Controller::invokeAction() - CORE/src/Controller/Controller.php, line 610
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
Cake\Error\Middleware\ErrorHandlerMiddleware::__invoke() - CORE/src/Error/Middleware/ErrorHandlerMiddleware.php, line 96
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Http\Runner::run() - CORE/src/Http/Runner.php, line 51
Cake\Http\Server::run() - CORE/src/Http/Server.php, line 98

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
            if (Configure::read('debug')) {

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        LATEST NEWS UPDATES | Rahul&#039;s minimum income plan is fatally flawed -SA Aiyar    </title>
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-The Times of India blog

Indira Gandhi&rsquo;s &lsquo;Garibi Hatao&rsquo; swept the polls in 1971. Rahul Gandhi hopes to follow suit with NYAY (Nyuntam Aay Yojana), promising a minimum income of Rs 72,000 per year to the 50 million poorest families. Garibi..."/>
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-The Times of India blog

Indira Gandhi&rsquo;s &lsquo;Garibi Hatao&rsquo; swept the polls in 1971. Rahul Gandhi hopes to follow suit with NYAY (Nyuntam Aay Yojana), promising a minimum income of Rs 72,000 per year to the 50 million poorest families. Garibi..." />
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                            <div align="justify">-The Times of India blog<br /><br />Indira Gandhi&rsquo;s &lsquo;Garibi Hatao&rsquo; swept the polls in 1971. Rahul Gandhi hopes to follow suit with NYAY (Nyuntam Aay Yojana), promising a minimum income of Rs 72,000 per year to the 50 million poorest families. Garibi Hatao flopped badly. So will NYAY unless totally rethought.<br /><br />Indian parties have a consensus on cash grants to the needy. Schemes in Telangana, Odisha and Jharkhand have been followed by Modi&rsquo;s PM-Kisan, costing Rs 75,000 crore per year. Achieving that without fiscal profligacy is difficult. Rahul&rsquo;s NYAY will cost almost five times more, Rs 360,000 crore, or 1.8% of GDP.<br /><br />Horrendous problems and leakages will arise in identifying the poorest 20%. India has no income surveys. People will hide their true income to qualify, so the biggest liars will be the biggest gainers. Income certificates from sarpanches or officials will breed huge corruption. Many poor people live in remote non-electric unbanked areas, almost unreachable by cash transfers. NYAY will make the bottom 20% richer than the lower middle 20-40%, who will, rightly, howl that this is arbitrary and unfair.<br /><br />How will Rahul finance NYAY? Not by a big GST hike: that could be almost as inflationary as printing notes. Besides, he has long said indirect taxes (especially on auto fuels) are too high. He could raise corporate tax rates. But that will ruin the existing policy of lowering the tax rate plus cess/surcharge (34.5% for large companies today) to 25% to compete with other Asian nations. India must be tax competitive to take on China (15-25% corporate tax) in the RCEP (Regional Comprehensive Economic Partnership) free trade area.<br /><br />Today&rsquo;s entire income tax collection is barely 2% of GDP.&nbsp; Doubling this is impossible quickly. History shows that, beyond a point, high tax rates produce a black economy, not revenue. Indira Gandhi raised income tax to 97.75% but got no tax bonanza. By contrast Manmohan Singh and Chidambaram slashed it in the 1990s from 50% to 30%, yet improved the income tax/GDP ratio, by inducing more tax honesty.<br /><br />Please <a href="https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/" title="https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/">click here</a> to read more. <br /></div>                                                           
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    <br><a href="https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/" class="re" target="_blank">The Times of India, 31 March, 2019, https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/</a><div class="clear"></div>
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Indira Gandhi&rsquo;s &lsquo;Garibi Hatao&rsquo; swept the polls in 1971. Rahul Gandhi hopes to follow suit with NYAY (Nyuntam Aay Yojana), promising a minimum income of Rs 72,000 per year to the 50 million poorest families. Garibi..."/>
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Indira Gandhi&rsquo;s &lsquo;Garibi Hatao&rsquo; swept the polls in 1971. Rahul Gandhi hopes to follow suit with NYAY (Nyuntam Aay Yojana), promising a minimum income of Rs 72,000 per year to the 50 million poorest families. Garibi..." />
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    <h1 class="cat-box-title">Rahul&#039;s minimum income plan is fatally flawed -SA Aiyar</h1>
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                            <div align="justify">-The Times of India blog<br /><br />Indira Gandhi&rsquo;s &lsquo;Garibi Hatao&rsquo; swept the polls in 1971. Rahul Gandhi hopes to follow suit with NYAY (Nyuntam Aay Yojana), promising a minimum income of Rs 72,000 per year to the 50 million poorest families. Garibi Hatao flopped badly. So will NYAY unless totally rethought.<br /><br />Indian parties have a consensus on cash grants to the needy. Schemes in Telangana, Odisha and Jharkhand have been followed by Modi&rsquo;s PM-Kisan, costing Rs 75,000 crore per year. Achieving that without fiscal profligacy is difficult. Rahul&rsquo;s NYAY will cost almost five times more, Rs 360,000 crore, or 1.8% of GDP.<br /><br />Horrendous problems and leakages will arise in identifying the poorest 20%. India has no income surveys. People will hide their true income to qualify, so the biggest liars will be the biggest gainers. Income certificates from sarpanches or officials will breed huge corruption. Many poor people live in remote non-electric unbanked areas, almost unreachable by cash transfers. NYAY will make the bottom 20% richer than the lower middle 20-40%, who will, rightly, howl that this is arbitrary and unfair.<br /><br />How will Rahul finance NYAY? Not by a big GST hike: that could be almost as inflationary as printing notes. Besides, he has long said indirect taxes (especially on auto fuels) are too high. He could raise corporate tax rates. But that will ruin the existing policy of lowering the tax rate plus cess/surcharge (34.5% for large companies today) to 25% to compete with other Asian nations. India must be tax competitive to take on China (15-25% corporate tax) in the RCEP (Regional Comprehensive Economic Partnership) free trade area.<br /><br />Today&rsquo;s entire income tax collection is barely 2% of GDP.&nbsp; Doubling this is impossible quickly. History shows that, beyond a point, high tax rates produce a black economy, not revenue. Indira Gandhi raised income tax to 97.75% but got no tax bonanza. By contrast Manmohan Singh and Chidambaram slashed it in the 1990s from 50% to 30%, yet improved the income tax/GDP ratio, by inducing more tax honesty.<br /><br />Please <a href="https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/" title="https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/">click here</a> to read more. <br /></div>                                                           
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    <br><a href="https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/" class="re" target="_blank">The Times of India, 31 March, 2019, https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/</a><div class="clear"></div>
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Indira Gandhi&rsquo;s &lsquo;Garibi Hatao&rsquo; swept the polls in 1971. Rahul Gandhi hopes to follow suit with NYAY (Nyuntam Aay Yojana), promising a minimum income of Rs 72,000 per year to the 50 million poorest families. Garibi..."/>
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-The Times of India blog

Indira Gandhi&rsquo;s &lsquo;Garibi Hatao&rsquo; swept the polls in 1971. Rahul Gandhi hopes to follow suit with NYAY (Nyuntam Aay Yojana), promising a minimum income of Rs 72,000 per year to the 50 million poorest families. Garibi..." />
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    <h1 class="cat-box-title">Rahul&#039;s minimum income plan is fatally flawed -SA Aiyar</h1>
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                            <div align="justify">-The Times of India blog<br /><br />Indira Gandhi&rsquo;s &lsquo;Garibi Hatao&rsquo; swept the polls in 1971. Rahul Gandhi hopes to follow suit with NYAY (Nyuntam Aay Yojana), promising a minimum income of Rs 72,000 per year to the 50 million poorest families. Garibi Hatao flopped badly. So will NYAY unless totally rethought.<br /><br />Indian parties have a consensus on cash grants to the needy. Schemes in Telangana, Odisha and Jharkhand have been followed by Modi&rsquo;s PM-Kisan, costing Rs 75,000 crore per year. Achieving that without fiscal profligacy is difficult. Rahul&rsquo;s NYAY will cost almost five times more, Rs 360,000 crore, or 1.8% of GDP.<br /><br />Horrendous problems and leakages will arise in identifying the poorest 20%. India has no income surveys. People will hide their true income to qualify, so the biggest liars will be the biggest gainers. Income certificates from sarpanches or officials will breed huge corruption. Many poor people live in remote non-electric unbanked areas, almost unreachable by cash transfers. NYAY will make the bottom 20% richer than the lower middle 20-40%, who will, rightly, howl that this is arbitrary and unfair.<br /><br />How will Rahul finance NYAY? Not by a big GST hike: that could be almost as inflationary as printing notes. Besides, he has long said indirect taxes (especially on auto fuels) are too high. He could raise corporate tax rates. But that will ruin the existing policy of lowering the tax rate plus cess/surcharge (34.5% for large companies today) to 25% to compete with other Asian nations. India must be tax competitive to take on China (15-25% corporate tax) in the RCEP (Regional Comprehensive Economic Partnership) free trade area.<br /><br />Today&rsquo;s entire income tax collection is barely 2% of GDP.&nbsp; Doubling this is impossible quickly. History shows that, beyond a point, high tax rates produce a black economy, not revenue. Indira Gandhi raised income tax to 97.75% but got no tax bonanza. By contrast Manmohan Singh and Chidambaram slashed it in the 1990s from 50% to 30%, yet improved the income tax/GDP ratio, by inducing more tax honesty.<br /><br />Please <a href="https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/" title="https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/">click here</a> to read more. <br /></div>                                                           
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    <br><a href="https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/" class="re" target="_blank">The Times of India, 31 March, 2019, https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/</a><div class="clear"></div>
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Home हिन्दी

Rahul's minimum income plan is fatally flawed -SA Aiyar

Published on Mar 31, 2019   Modified on Mar 31, 2019

-The Times of India blog Indira Gandhi’s ‘Garibi Hatao’ swept the polls in 1971. Rahul Gandhi hopes to follow suit with NYAY (Nyuntam Aay Yojana), promising a minimum income of Rs 72,000 per year to the 50 million poorest families. Garibi Hatao flopped badly. So will NYAY unless totally rethought. Indian parties have a consensus on cash grants to the needy. Schemes in Telangana, Odisha and Jharkhand have been followed by Modi’s PM-Kisan, costing Rs 75,000 crore per year. Achieving that without fiscal profligacy is difficult. Rahul’s NYAY will cost almost five times more, Rs 360,000 crore, or 1.8% of GDP. Horrendous problems and leakages will arise in identifying the poorest 20%. India has no income surveys. People will hide their true income to qualify, so the biggest liars will be the biggest gainers. Income certificates from sarpanches or officials will breed huge corruption. Many poor people live in remote non-electric unbanked areas, almost unreachable by cash transfers. NYAY will make the bottom 20% richer than the lower middle 20-40%, who will, rightly, howl that this is arbitrary and unfair. How will Rahul finance NYAY? Not by a big GST hike: that could be almost as inflationary as printing notes. Besides, he has long said indirect taxes (especially on auto fuels) are too high. He could raise corporate tax rates. But that will ruin the existing policy of lowering the tax rate plus cess/surcharge (34.5% for large companies today) to 25% to compete with other Asian nations. India must be tax competitive to take on China (15-25% corporate tax) in the RCEP (Regional Comprehensive Economic Partnership) free trade area. Today’s entire income tax collection is barely 2% of GDP.  Doubling this is impossible quickly. History shows that, beyond a point, high tax rates produce a black economy, not revenue. Indira Gandhi raised income tax to 97.75% but got no tax bonanza. By contrast Manmohan Singh and Chidambaram slashed it in the 1990s from 50% to 30%, yet improved the income tax/GDP ratio, by inducing more tax honesty. Please click here to read more.

The Times of India, 31 March, 2019, https://timesofindia.indiatimes.com/blogs/Swaminomics/rahuls-minimum-income-plan-is-fatally-flawed/

Tagged with: Minimum Income Guarantee Nyunatam Aay Yojana Direct Income Support Income Support Scheme

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