New Delhi: A hike in tax rates may not be the answer to raise the tax-GDP ratio, a top finance ministry official said on Wednesday and assured a stable and predictable industry. do Administration.
“It is now the policy of the government to give a stable and predictable tax regime. This stems from 2019 when we came up with lower tax rates for the corporate sector. The whole idea is to give time to the corporate sector to plan and give it a stable tax regime so that you can think about other things where you want to invest and how you want to invest,” said the revenue secretary. Tarun Bajaj told a panel discussion at the annual session of Tea, adding that the government expects “very, very strong” revenues, thanks to the performance of the corporate sector despite the pandemic. He also assured India Inc. That his department would not take a call to pay the additional taxes in March.
Bajaj said the impressive corporate performance has not resulted in the introduction of private investment. He expressed a desire to understand the reason why the corporate sector is not investing and what more is required from the government to revive investment to revive long-term growth in the economy.
He also said that the government proposes to clear the backlog of refunds and ensure that these are done in the same financial year. In fact, he said most refunds have been made in the pandemic year.
“It is now the policy of the government to give a stable and predictable tax regime. This stems from 2019 when we came up with lower tax rates for the corporate sector. The whole idea is to give time to the corporate sector to plan and give it a stable tax regime so that you can think about other things where you want to invest and how you want to invest,” said the revenue secretary. Tarun Bajaj told a panel discussion at the annual session of Tea, adding that the government expects “very, very strong” revenues, thanks to the performance of the corporate sector despite the pandemic. He also assured India Inc. That his department would not take a call to pay the additional taxes in March.
Bajaj said the impressive corporate performance has not resulted in the introduction of private investment. He expressed a desire to understand the reason why the corporate sector is not investing and what more is required from the government to revive investment to revive long-term growth in the economy.
He also said that the government proposes to clear the backlog of refunds and ensure that these are done in the same financial year. In fact, he said most refunds have been made in the pandemic year.
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