India's tax system has become so complicated that people get confused before entering it, let alone leaving it. And if any common person is asked how much tax they have paid, they will only say this much. Brother, I don't know, all of this together has become too much. GST, Customs, Duty Excess and I don't know. These people collect tax professionally under various names, but when we see the ground reality, we don't understand a single thing. Neither the pocket of the common man is being looted nor any country is being developed, nor any place is being developed.
The problem is how much tax should be levied on any product in India. It is not clear at all. Take an example. If you buy an imported iPhone, then it is taxed more than the original one. When the mobile has a symbol in India, then it is taxed a little more. When an old phone is brought from abroad, then its accessories are taxed separately. This means that there are three different tax structures in the same product. So this system is not a clear system in which many people face problems.
The funniest part is that there is so much tax on the essential goods which are needed in daily life that one starts thinking. Has this become a luxury for men? Take toothpaste for example. A toothpaste is important for healthy health, but it has 18% GST. On the other hand, and on the other hand, sometimes you get a rebate on luxury items and the message is that let your health remain but you people must buy fashionable clothes.
It is not just about the product but also about the service. A separate circus of tax is going on and if you join an online course, then tax is levied on that as well. Education which is a right is also taxed. When the way of earning money is also taxed, then understand that the system has become a bit loose. Travel, there is a tax on airline tickets, there is a tax on railways and there is a tax on platform tickets as well. Leave at least someplace where a person can breathe in peace, otherwise tax will be levied on him as well.
Now, we come to the import-export policies and the customs system of India, what will be closed now and when the duty on any item will be doubled. There is no assurance of this and the item which was available till yesterday at 10% duty, today it has come to 40%. Without any explanation to anyone and people from their own small businesses to big companies, this margin goes to zero or negative just by an overnight policy change. The government once adopted the slogan 'Make in India,' which was correct. To post the local manufacturers and when raw material is imported to manufacture a product and heavy duty is imposed on it, then how will it be completed? Bringing the manufacturing says that it will be local, on the other hand, the local manufacturing cost increases so much that there is no way to even stand against the imported product and the consumer also has to buy expensive goods and the producer also remains frustrated.
The biggest problem is transparency and if someone does not know what tax is being levied on which thing at which rate, then how will he prepare his budget? GST counselling meeting is held every month. New rates are introduced. Tax on some things is reduced. On some, it is increased and the common man only gets to know that this thing has become more expensive and the correct system does not seem to follow a fixed logic if you are a freelancer or running a small service then GST has made your life more difficult and you should get GST number and if the client says that he needs your GST invoice and you do not have GST registration then you will not get work and if you get GST registration done then you will get caught in the hassle of monthly filing, late fee and notices, so it means that a person doing small work has to survive, learn or fight within the system.
In India's tax system, policies are run more because of logic and some taxes are removed before elections. These reliefs are given to a specific state to get votes. There is a lack of gross and long-term policies and constant rate structure and investment is not made in these unnecessary things. New businesses are not started and the economy has become laden with wheels. The real purpose of tariffs and taxes is to hamper the economy. Infrastructure has to be improved, but when the same tax starts stopping the economy, then understand that something is wrong India has been very big in tax collection, but despite that, the same rapid growth is not visible in infrastructure and facilities.