THIS YEAR IS the year of the National Election and there will be a new government. Even if the political composition of that government is the same as the present one, technically, it will be a new government. India is on a trajectory for Amrit Kaal, with an aspirational target of becoming a developed economy (interpreted as high income) in 2047. The year 2024 is roughly midway and is time to take stock and review. Also, the target of a $5-trillion economy will be reached midway—or a few months earlier—into the term of the 2024-29 government. Not to forget Sustainable Development Goals (SDGs), with a terminal goal of 2030; most countries have deviated from this, India less so. Several people will suggest comprehensive reform agendas for the new government. But whatever the case may be, the new government needs to look at the following agendas.
First, there are direct taxes. The ultimate goal of direct tax reform is a simplified system, with removal of exemptions, so that compliance costs and litigation are reduced. For both personal income taxation and corporate taxes, there are two channels, one with fewer exemptions and lower rates. But for both channels, personal and corporate, the fewer-exemption route is not yet attractive enough and needs to be incentivised more. Stated more strongly, one needs a direct tax code with zero exemptions, in the process, unifying personal income rates (which unincorporated enterprises also pay) and corporate taxation. This cannot be accomplished overnight, but the Budget for 202425 can set the tone and timeline.
WITH INDIA BECOMING A MEMBER OF THE UN STATISTICAL COMMISSION IN JANUARY 2024, IT IS TIME TO REVIVE ITS ONCE-RESPECTED STATISTICS SYSTEM
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
"Do what's best for employees"
BEST ADVICE - PANKAJ JATHAR | CEO | NIIT LTD
Your Palate for 2025
What's in store for you in the New Year when you go out for a meal or a drink? We ask industry experts to predict F&B trends for 2025
"RBI'S STANCE SHOULD BE TO KEEP THE RUPEE MORE VOLATILE"
Axis Bank Chief Economist Neelkanth Mishra talks about the rupee, quantitative easing, the Trump impact, and more
"We should strive towards two non-zero GST rates"
Arvind Panagariya, Chairman of the 16th Finance Commission, on further reforms in the economy, the Nehruvian era and its impact on policymaking, cash transfers, and more
A GENERATION MAROONED
This generation is creating new grammar for social and professional existence. They are reimagining the very concept of work, identity, and social belonging
A TIME OF UNCERTAINTY AND OPPORTUNITY
A look at the key trends that will redefine how content will be created, distributed, and consumed
Consciousness Shaping Consumption
India has a dynamic and discerning consumer base, whose consumption pattern is experiencing a significant transformation
THE NIFTY ELEPHANTS
The composition of the Nifty 50 index has undergone notable changes in the past 30 years, with only 11 companies consistently remaining in the index. It is expected to undergo further changes in 2025 with the entry of new-age companies like Zomato
REDEFINING THE DIGITAL AGE
For Bitcoin, its future lies not as a currency but as a cornerstone of the modern financial ecosystem
THE FUTURE OF HEALTHCARE
As AI advances, so will its role in health insurance. In the future, it shall perform a variety of complex tasks, making it more accessible and aligned with individual needs
