New Income tax law from 2011: What changes would you like to see in the new I-T law?

I agree with you guys.  Some people have taken housing loan recently especially to avoid Income Tax.  These people will be affected.  It should be exepted.

The tax benefit has to continue cos it is real motivator for the investor.  On the one hand it enables industries like steel, Cement etc to grow and results in revenue to the govenment by way of corporate tax.  Withdrawal of tax benefit will result in slow down of the growth of housing construction industriy as well related industries. 

I agree. In fact today there is an article in TOI that HDFC has announced some cuts in the interest rates for loans ranging between 30L to 50L!! So the dream home is not far away!! I also feel that there should be minimum tax on FD's and investemnts in stocks and other such schemes. PPF should not come under the tax scanner at all!! Thatsmy feeling!1 But I really like some changes made to the new tax laws.. its PROGRESSIVE for the first time and indeed people friendly!!

Its simple, there will be more cash flow. People will spend more paper money as its available and plastic wioll take a back seat.It will be a huge help to financial instituions (BANKS) as they will have a decrease in delinquency rates as well.. overall an effort that needs an applause I feel!!

Deepak, no country yet has looked into it.  Like I have indicated, governance has a meaning and definition.  When most government functionaries take a formal oath, they also take an informal oath - "I will do nothing drastically different".  

Some people receive glory (for instance Abdul Nasir Sab and Lallu Prasad Yadav.  Abdul Nasir Sab did not anticipate the impact when he started the first borewll project.  Only when looked at national context and rural needs scenario, this effort appeared big.  Then he continued in all earnestness.  Similarly, Lalu Prasad never imagined that he would become a Harvard study.  Looked in the context of enormous size of Indian railways and its turnaround, he received the attention he did.  Otherwise, both these people were normal politicians who were not missionaries of change.   

I can not comment on any one.  I have not yet made any meaningful effort to publicise the program I have in mind.  

Keeping in mind a picture is something.  To publish it as a study paper is something else.  I need to really do lot of research, incorporate economic principles into it and also test my proposals under the critical scanner built in economics.  I also need to offer specific proposals.  I have done 60% of the work but the other 40% has become elusive.  

Sometimes I really feel that I could be more useful to society if I concentrate only on projects that are useful to society.  But then I have a life to live and my constraints in life are also too many.  I can only devote a part of my time for these things.   

Hi,

It's really nice to read your views.Could you please tell us if there is any country who uses the similar type of concept as suggested by you earlier?

There has been so much talk on "thinking out of the box".  Unfortunately, most people accept that function of a particular department, position or an individual is only as per the definition.  This is more so when we look at functions of the Government - departmentwise.  Most people within the government or outside it, are simply conformists - for them government rules and regulations are a sacred bible.  Even if it is not so sacred to them (they think of devious ways to conform with the norms), they would like to conform so that they will not be under risk in future. 

In this scenario, can "thinking out of the box" be possible?  The danger when people do not think out of the box is that they overlook a strength their unique position offers them.  Such strength could transform the organisation if used in the right way.  After all, resource  becomes a resource only if there is a value to it.  If no one uses it, it loses its value as a resource. 

I have identified one unique biggest resource these conformists have.  Being conformists, they have not looked out of the box and identified their strength.  Once they do, we can have the entire country registering themselves with these authorities and not the other way round.

This is not a small job.  There has to be a radical change in the outlook.  All government departments have to take a plunge.  Only two persons can do this - the Prime Minister and the Finance Minister.  But if a group of economic/financial analysts would like to debate this issue, I can present my views even without publishing it.  Or if a magazine/TV channel (of course after discussing, clarifying, and convincing themselves) would like to publicise this as an alternative, I could announce it too. 

One thing I can assure on this platform is that this is possible.  Not only for India, but for the entire world.  Everything has a clincher.  My proposal has a clincher.  The Government need not appear to be butchers always bent on taxing people.  They can remain benefactors.  There will be revenues generated for developmental expenditure.  What is more, I can even indicate how politicians and corrupt people can make money even in that scenario!! 

yes  I am totally agree with Sudesh. You can't expect more. Getting exemption under 80C of Rs. 3 lakh and tax rate of 10% upto income of Rs. 10 lakh.

Considering that India's major popultion in future will comes under the bracket of Middle class this is the very good step taken by finance minster.