India News
Tax Collection Woes of the Government

[vc_row][vc_column][vc_column_text]By Parsa Venkateshwar Rao Jr
Finance Minister Arun Jaitley in his 2017-18 Budget speech in the Lok Sabha on Wednesday explained the rationale of demonetisation and the push towards digital transactions by citing the tax evasion figures of those who do not file returns at all and those who under-quote their profits.
He said of the 4.2 crore who were employed in the organised sector, only 1.74 crore files tax returns, and out of the 5.6 crore individual enterprises and firms doing small business, only 1.81 crore filed returns. And among the 13.94 lakh companies which are registered till March 31, 2014, only 5.97 lakh companies filed returns for 2016-17. And of the 5.97 lakh companies which have filed returns, 2.76 lakh companies have shown losses or zero income. Among those which showed profit, 2.85 lakh companies have shown less than Rs 1 crore in profit, 28,667 have shown profits between Rs 1 crore and Rs 10 crore, and only 7781 companies showed more than Rs 10 crore in profit.
Of the 3.7 crore individuals who have filed tax returns in 2015-16, 99 lakh showed the exemption limit of Rs 2.5 lakh per annum, 1.95 crore showed an annual income between Rs 2.5 lakh and Rs 5 lakh, 52 lakh showed income between Rs 5 lakh and Rs 10 lakh and only 24 lakh showed annual income more than Rs 10 lakh. And of the 76 lakh who showed income above Rs 5 lakh, 56 lakh were in the salaried class. Only 1.72 lakh showed income of more than Rs 50 lakh per annum.
Jaitley in his speech said, “We can contrast this with the fact that in the last five years, more than 1.25 crore cars have been sold, and the people who flew abroad, either for business or tourism, is 2 crore in the year 2015. From all these figures we can conclude that we are largely a tax non-compliant society.”
And he argues, “The predominance of cash in the economy makes it possible for the people to evade their taxes. When too many people evade taxes, the burden of their share falls on those who are honest and compliant.”
Then he referred to the preliminary analysis of data with regard to deposits in the Rs 1000 and Rs 500 denominations: “During the period November 8 to December 30 , 2016, deposits between Rs 2 lakh and Rs 80 lakh were made in 1.09 crore accounts with an average deposit size of Rs 5.03 lakh. Deposits of more Rs 80 lakh were made in 1.48 lakh accounts with average deposit size of Rs 3.31 crores.”
He concluded: “This data mining will help us immensely in expanding the tax net as well as increasing the revenues, which was one of the objectives of demonetisation.”
Lead Picture: The Union Minister for Finance and Corporate Affairs, Arun Jaitley along with the Minister of State for Finance and Corporate Affairs, Arjun Ram Meghwal arrives at Parliament House to present the General Budget 2017-18, in New Delhi. Photo: PIB[/vc_column_text][/vc_column][/vc_row]
India News
On completing nine years in office, Prime Minister Narendra Modi says he’ll continue to improve lives
The BJP has planned a special contact campaign across the country.

Prime Minister Narendra Modi on Tuesday said his government, which completed nine years in office on May 30, will continue to take decisions to improve the lives of people like it had over the last nine years.
In a tweet, the PM said he was filled with humility and gratitude on the ninth anniversary of his government. He said he would continue to work harder towards the vision of a developed India.
The BJP has planned a special contact campaign across the country. The party said in a statement the country had seen unprecedented growth and development in every sector with the mantra of Nation First over the past nine years. It was due to the efforts of the government that the world was saying the 21st century belongs to India.
Comments on the tweet have not stopped coming in. One user said PM Modi’s vision had made India the fifth largest economy in the world. Many infrastructure projects had been pushed, toilet, gas and water connections were on the priority list of the Modi government. Article 370 had been revoked in Jammu & Kashmir and women had been empowered during the time.
Not to to be outdone, a critic of the government noted the Modi government had gifted India the highest unemployment rate, the highest cost of living and the highest debt. The user said women’s empowerment was hypocrisy as women wrestlers were being treated like criminals for protesting against the wrestling body chief, who continues to enjoy support of the Modi government.
But overall, the mood has been congratulatory with the odd critique here and there. On May 28, Prime Minister Modi inaugurated the new Parliament building while the Opposition boycotted it. He described the new Parliament as a temple of democracy, felicitated some workers involved in its construction.
The real test of the Modi government will come next year when the country will vote in the next Lok Sabha.
India News
Please don’t go: Go Air ready to pay Rs 1 lakh more to pilots, Rs 50,000 more to first officers in retention effort
This retention allowance will be effective June 1. The offer will also be extended to those who had left the airline and willing to return, if they rescind their resignations before June 15.

Go Air, which filed for bankruptcy earlier this month, is taking the retention allowance route to prevent its employees from leaving en masse. It has announced an increase in salary of Rs 1 lakh a month for captains and half that for first officers to retain employees.
This retention allowance will be effective June 1. The offer will also be extended to those who had left the airline and willing to return, if they rescind their resignations before June 15.
Not just this, the company, which had undergone a rebranding exercise from Go Air to Go First a few years ago, will also offer a longevity bonus to staff who had served longer with the airline. Reports said Go Air Pilots get approx Rs 5,30,000 a month, which is much less when compared to pilots of Spice Jet, who draw Rs 7,50,000 a month since a double hike in their salaries in recent months.
With a month’s deadline from the airline industry regulator on revival plan submission, Go Air is pulling out all stops to present a working face. In its email sent to employees, the airline said it had put together a plan for progress and if everything goes as per plan, then it would not be too long before it would return to the skies that and would return to being regular on salary payments.
Staff from Go Air have plenty of options elsewhere since there has been a shortage of airline staff after the Coronavirus pandemic globally. For instance in India, India’s largest carrier IndiGo is looking to hire 5,000 workers in 2024 and Air India, under the ownership of the Tata Group, plans has some 4,200 cabin crew jobs and needs 900 pilots this year.
India News
How dare you disturb my sleep: Retired BSF man shoots at UP sanitation worker for playing Swachhta song, arrested
The accused has identified as Tauheed Ali, 48, a resident of Kanchan Park, Ghaziabad is a retired Border Security Force personnel, was later arrested by the police.

In an eerie turn of events, a man in Uttar Pradesh’s Ghaziabad allegedly shoots two sanitation workers over the disturbance of his sleep by the Swacchta song being played in their waste collection vehicle.
The incident took place on Sunday morning when the accused came out complaining disturbance from the song and fired several round on the cleaning staff.
The accused has identified as Tauheed Ali, 48, a resident of Kanchan Park, Ghaziabad is a retired Border Security Force personnel, was later arrested by the police.
An FIR under section 307(attempt to murder) of the Indian Penal Code (IPC) has been registered against Ali.
The victim have been identified as Rohit Kumar and co-driver Raj Kumar.
As per the police, the incident took place at around 7:30 am when a waste collection vehicle was passing by Ali’s house and the vehicle had two cleaning staff driver Rohit Kumar and Raj Kumar.
Rohit said, Ali had earlier requested him to turn the song when the vehicle passes by his house.
Rohit said, when the vehicle was passing Ali’s house, he objected to it and after several attempts to explain him that turning off the jingle would prevent other residents from informing about the vehicle, he did not understood and started abusing him and Raj.
He added, Ali then went inside his house and came back with a revolver in his hands to fire two rounds on them, on which they fled from the scene leaving the vehicle.
Assitant Commissioner of Police Rajneesh Kumar Upadhyaya said Ali used his licensed revolver and informed that the police will recommend to revoke his arms license.
ACP Upadhyaya said Ali to be a retired BSF man and he claimed disturbance from the song played by waste collection vehicle.
Swacchta song is a jingle usually played in every waste collection vehicle, it helps to alert the neighborhood to come out of their homes and throw garbage into it.
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