The government's plan to widen the tax base using data collected from secondary sources seems ill-advised. While the intention of increasing tax payers is understandable, the manner in which it wants to carry out this plan is flawed.
The idea is to detect tax evaders by comparing data taken from the income tax department with information collected from utility and mobile phone companies, banks, travel agencies and even leading clubs of the country.
By cross- checking the data, the Central Board of Revenue wants to identify those big spenders whose names are missing from the income tax rolls. This move is understood to be part of a drive by the government to double the country's taxpayers to reach the figure of 2.4 million by the time of the next budget.
One wonders why the government is resorting to secondary data when it has with it results of an exhaustive tax survey conducted in 2000 which identified in great detail both tax evaders and those who are underpaying their taxes. These survey results should be utilized at the earliest.
A more meaningful approach by the government would be to start widening the tax base horizontally. Statistics collected by it in the tax survey will show how many professionals and traders have been left out of the tax rolls. A large part of the retail sector also remains out of the tax net.
At the same time, successive CBR chiefs have complained that they do not have the necessary powers to move against errant officials who allow such a narrow base of tax liability to continue. That is why, any move to widen the base must also include giving autonomy to the CBR in respect of financial and administrative functions so that it can carry out its own recruitment, postings, transfers, promotions and devise its own policies.
An integrated approach towards making the CBR more efficient and autonomous as well as introducing laws that would allow the organization to sustain these reforms should be part of its reorganization process. Simplification of tax laws, self-compliance and minimizing the contact between taxpayers and the collectors need to be part of that process.
Let's play cricket
Pakistan begin a three-Test series against India at Mohali today. Coming soon after a disastrous tour of Australia, not even the most optimistic among us may be willing to put their money on the tourists in a series in which India are clearly the odds-on favourites.
They have an edge in all departments of the game, especially in batting. Their fielding, too, has improved immeasurably and, in addition to their traditional superiority in spin bowling, they now have a more than efficient pace attack.
As against this, Pakistan have a suspect top order which was swept aside time and again in Australia both in the Test matches and in the Victoria Bitter tri-series. In the lower middle order, Abdul Razzak and Shahid Afridi showed glimpses of their prowess but they fell far short of expectations. Shahid Afridi, in particular, is his own worst enemy.
Otherwise, there is not a bowling attack in the world he cannot take apart. Danish Kineria was one of the few successes on the Australian tour but he may find the going tough in India where the batsmen are brought up from the cradle on his type of leg spin.
At 35, skipper Inzamamul Haq is not getting any younger and his deputy, Younis Khan, will find his talent fully tested in games in which Inzamam decides to stand down. No matter what happens on the field, the tourists, we are sure, are more than capable of contributing their bid to the normalisation of relations between their country and India. Spring is in the air. So is love.
Let its not be said of our boys that they did not make millions of friends in cricket-crazy India, or that they did not play the game the way it is meant to be played.