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Government the biggest gainer from petrol price hikes


Tiger80

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1 there ought to be punitive taxes. Has any government since independence ran a fiscal surplus? There may be separation between Income Tax and Excise Taxes but at the end of the day it is still one big pot. 2 In the end, just a technicality. 4 Different Issue. Problem is a corrupt and hence an inefficient system.
Surajmal, it is *not* one big pot. There are many different small pots, with different sources of inflow and eventually the inflow is used differently. The way our taxation system is designed, is to empower each small local body with their quota of tax in such a way that they are self supporting. As against other countries, where the tax regimen is very centralized. Also, when there is a shortfall from income for one financial year from a certain tax type, and their budgeted expenditure is higher than their actual income, those govt. bodies borrow ( at a lower rate of interest than a bank ,of course :winky: ) from other govt. bodies ( whose source might be a CENVAT or a Sales tax). This kind of intra govt. borrowing is very common, especially among municipal corporations and municipalities. Saying that its one big pot is like saying that just because people don''t watch Test Cricket at the stadiums, BCCI instructed all IPL teams to handover tickets for free so that the total number of cricket watchers in stadiums doesn't take a big hit. On the topic of this price hike, the hike is due to an increase in the excise. The whole point of a central excise is economic growth and betterment of the people. Over here the hike is against that very objective.
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anyway' date=' back on the topic.. yes govt has been milking us big time...[b']one has to be an employer/businessman - to pass on these costs to the salaried class.
What do you mean? How does a businessman pass on the costs to the salaried class? For eg; A business man ( or woman) in manufacturing has to pay the taxes on raw materials, Sales of his good, and a plethora of intrastate/road/rare material/ protectionist etc cess. He has to pay a tax on his income. And he pays again when he buys products from the market as consumer (indirectly). A salaried person has to pay a tax on income and as a consumer ( indirectly). I'll restate it. Tax Evasion has nothing whatsoever to do with increasing central Excise or a states Sales tax. We're comparing mole hills to mountains. Afridis to Tendulkars here.
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What do you mean? How does a businessman pass on the costs to the salaried class? For eg; A business man ( or woman) in manufacturing has to pay the taxes on raw materials, Sales of his good, and a plethora of intrastate/road/rare material/ protectionist etc cess. He has to pay a tax on his income. And he pays again when he buys products from the market as consumer (indirectly). A salaried person has to pay a tax on income and as a consumer ( indirectly). I'll restate it. Tax Evasion has nothing whatsoever to do with increasing central Excise or a states Sales tax. We're comparing mole hills to mountains. Afridis to Tendulkars here.
Much of the black money in India was generated by businessmen ,infact arranging 2 number kaa paisa is pre requirement to do business
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Much of the black money in India was generated by businessmen ' date='infact arranging 2 number kaa paisa is pre requirement to do business[/quote'] Black money ko white karne ke aur bhi tareekein hotay hein. And its the government, not businesses who must be having the largest stacks of black money. But that's all another discussion. :two_thumbs_up:
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Black money ko white karne ke aur bhi tareekein hotay hein. And its the government, not businesses who must be having the largest stacks of black money. But that's all another discussion. :two_thumbs_up:
But its businessmen from where this money erupt
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