Friday, August 14, 2020

We'll pay if you give us a little of what you get.

"PM Narendra Modi on Thursday launched the platform for 'Transparent Taxation -- Honoring the Honest' aimed at easing compliance and expediting refunds, benefiting honest taxpayers. Three main features of the platform are faceless assessment, faceless appeal and taxpayers' charter, Narendra Modi announced." The charter is full of good intentions: taxpayers must provide full information and pay full taxes, in return for which, she will receive courteous treatment. First, every citizen should expect courtesy from politicians and civil servants because they are paid from our taxes, which makes us their employers. Second, there is no mention of unemployment benefits, healthcare or pensions for paying our taxes. Politicians, on the other hand, have awarded themselves handouts worth millions of rupees, including Rs 2,000 just to sign the parliament's register. What he does after signing we are not allowed to know. If they lose the next election they get Rs 20,000 per month, free travel and healthcare, including spouse, for life. The prime minister gets free luxury bungalow in Lutyens Delhi, pension, free travel, free healthcare, free electricity and water for life. Former US presidents do not get free house and free travel for life. "A decent salary, a section of the political class argues, incentivises honesty and integrity in public life," wrote DK Singh. They get paid for trying to be honest but we face threats with courtesy. "Five members of parliament (MPs) grew over 1000% richer -- among them Congress' Jyotiraditya Scindia -- and 95 grew over 100% richer between the Lok Sabha elections of 2014 and 2019." "A US Congressman gets Rs 9.7 lakhs as basic salary, about Rs 4.3 lakhs more than what a member of UK's House of Commons gets -- that is excluding perks and allowances," is the reason provided by our lot. Politicians in the US have the hazard of being sent to prison if they commit a crime, whereas here in India, "Out of the 539 winners analysed in Lok Sabha 2019, 233 MPs have declared criminal cases against themselves." Criminals are chosen by political parties because they have the illicit money to bribe voters and the thugs to intimidate opponents, and people vote for them because criminals can get civil servants to deliver services without bribes. "While there will always be citizens who see taxes as extortionist, to be paid only in fear of being hauled up and penalized, the government has done well to emphasize its own end of the bargain for the first time in such an explicit manner," wrote an editorial in the Mint. Extortion, if explained, still remains extortion. If the government really wants people to pay huge taxes, 30% of what we pay should be invested in pension funds and to pay for health insurance for life, with cover for spouse. The more you pay the higher the pension and health cover. Taxpayers will pay happily. Extortion with a smile does not pay for old age or cancer treatment. Money does.     

No comments: