Prof. Shrinivas R. Patil, Hubli

Strict Actions on Defaulters
In India we have different taxes like Excise duty, Customs duty etc. plus education cess at 2 % and SHE cess 1%, so the burden of all theses taxes will be ultimately on end consumers. In order to stimulate the industries, the government of India has reduced excise duty three times in the last year which is now around 8.24%. Government is thinking of increasing the duty by 2% for the coming year which leads to higher inflation. For the month January, 2010 inflation has already crossed 8% which is beyond the expectation, whereas food price have increased by more than 50%. If excise duty is increased further by 2% then definitely it will be too much burden on poor people and middle class people. If government is really thinking of increasing the revenue, let tax on luxury goods be increased or make some strict rules for collection of taxes because, it is opined by many of us that, in India tax collection will be happened only around 60% – 70%, we know how businessmen maintains the record, many of the businessmen deceive the government. Better seize the black money of politician and some others kept in Swiss Bank and some other places, take strict action on corruptive people. If government does so then, its revenue will surely increase by more than 50%. I appeal the government to consider my humble request.

Prof. Shrinivas R. Patil
KLES’s IMSR - MBA
Vidyanagar Hubli
shriji.patil@gmail.com