The country always comes last.

In the run up to the annual circus, called The Budget, the Commerce and Industry Ministry is asking the Finance Minister to lower corporate taxes from 30% to 25% and the Minimum Alternate Tax to 7.5%, as it was in 2005-06, from 18.5% since last year. TOI, 8 February. Such reduction, along with an increase in the rate of depreciation, will allow companies to increase investment and bring in new technology, it is argued. Companies would also like a reduction of the Dividend Distribution Tax from 15% to 10% to increase compliance. Every year a similar farce is played out with the people and companies on one side, begging for any slight relief from extortionate taxes, and politicians on the other, determined to suck out the last drop of blood for personal gain. Meanwhile the Companies Bill to be shortly passed by the parliament has a Corporate Social Responsibility clause which will suck more than Rs 100 billion from the net profit of companies. TOI, 11 February. This section will force companies to spend at least 2% of net profits on philanthropy. " The private companies may engage in promoting education, constructing toilets in schools, reducing child mortality and any other area contributing towards social welfare,'" said one Corporate Affairs Minister. Is it philanthropy if it is forced out of you at gun point or is it naked extortion? Why do we have a government at all with 47 ministries spending hundreds of billions of rupees if it cannot even provide basic fundamentals such as education or toilets or child health. " There is requirement or only Rs 1.5 billion to construct toilets in all higher secondary schools for girls. We expect the companies to come forward and spend in the areas such as health, education and sanitation," said the minister expecting applause before the coming elections. Meanwhile the government has Rs 30 billion to buy luxury helicopters for self appointed VIPs which even the US found too expensive. So while one ministry is asking for a reduction in taxes on companies another one is adding 2% on its net profits. Talk about one hand not knowing what the other is up to. With earnings dropping because of falling consumer demand due to inflation companies will naturally pass on the added costs to customers, adding to inflation. This is the same sort of slimy trick which the Congress played when it forced private schools to reserve 25% of seats for poor students forcing them to increase fees for other students. Just last month they were howling for the RBI to reduce interest rate to stimulate investment to increase growth while planning a noose for industry. Is it any wonder that while our trade deficit keeps on rising China has posted a $29.2 billion surplus in January. Why would anyone invest in India if taxes keep changing wildly? All to somehow win elections. Who cares for the country?