ANNOUNCING SINGLE TRANSACTION TAX SHALL KILL BJP IN FUTURE

There is fatal error in calculations done by ArthA Kranti , pune based organisation who have done actual research. The direct negative impact shall be felt by the common people on their direct income and non income transactions. They are most vulnerable and shall vote against BJP if single transaction tax become a poll propaganda. The impact on Direct Tax outflow is calculated in the attached excel file for various class of citizens. It is irony but true that benefits from abolishment of indirect taxes shall be overcome by the direct payment of transaction tax as far as electorate point of view although it is actually
good for the country. Hence, instead of directly making it as a poll agenda, there should be enough brain storming and intellectual discussions on this vital tax reforms.

It is a necessity for all citizens to discuss this most challengeable effort to eradicate corruption instead of getting floated by the false promises of freebies like free rice, water or electricity. Taxation reform is the most awaited occasion on this earth as it is always true that;

“Human being can not become independent from Death, Taxes and Telling Lies.”

In fact, this is going to be the first biggest movement for the citizens of not only India but the whole world as ultimately it is a step towards free economy, abolishment of borders of the states and integration of the human civilisation across the earth. Please feel proud to be part of this discussions irrespective of your educational back ground.

Let me correct, If I am wrong.

Best Wishes to all on occasion of New Year.

CA. ATAL BIHARI BHANJA

Plus points:

v  Shall abolish all tax procedures and mental harassment to business houses / professionals.

v  Shall cause well brought up citizens either develop their business interests / intellects .

v  Shall bring more opportunities for CAs who shall now concentrate on system audit based taxation works and find time to concentrate on Strategic Management which is their core professional strenghth. The reason is Government shall be bound 100% to define Non Income Transactions and their exclusion from tax ambit and refund procedures.

Negative Points:

Ø  Shall be disastrous for low income group people from all sectors’ salaried / businessman / professionals.

Ø  Banks shall be most beneficiaries with retaining 0.35% of total transaction volume. To help them in covering up losses due to bad debts. More arbitrariness will increase.

Ø  Bartering system will increase; exchanging goods / services for another good/ services to avoid currency transactions.

Ø  Cash transactions shall increase to avoid transaction tax creating more black money.

Ø  More than 15 lakh government employees shall be retrenched from Central / State / Local Authorities and 2 lakh tax professionals shall be job less creating havoc for 1 crore dependent  family members.

Ø  Non income Transactions ( money transfer to own accounts, childrens for studies, FD encashment etc.) shall be taxed unless these are specifically excluded from transaction tax.

Ø  Petrol / Diesel / Other Imported goods shall be still subjected to import duties which means savings shall be only 10% due to VAT only against 60% claimed by Ramdev Baba on 04.01.2014.