Home Other Finance panel's NK Singh moots 'predictable' taxation regime

Finance panel’s NK Singh moots ‘predictable’ taxation regime

New Delhi: NK Singh, chairman of the 15th Finance Commission, has said the tax structure needs to have ‘predictability’ and stability. After a meeting of the commission’s Economic Advisory Council on Monday, Singh said the commission would be making suggestions on the tax structure, which was for the GST Council to consider.

Singh said it was felt that states – assured of a 14% compounded annual growth rate – were complacent about pursuing tax revenues or asserting their views at the Council. He said there was also a view within the Council that compensation to states should be predicated on revenue buoyancy and nominal GDP growth rate. A Finance Commission statement said issues related to stabilisation of GST, relationship between the GST Council and Finance Commission, and states’ compensation were discussed.

The need for bringing in fiscal transparency was underlined, Singh said. He also said the commission would give its recommendations only in respect of 28 states, while Jammu & Kashmir would be treated as a Union Territory.


Please enter your comment!
Please enter your name here

Must Read

RBI announces fresh OMO for sale, purchase of govt securities for Rs 10,000 crore each

The RBI undertakes ‘operation twist’ to manage yields in the bond market. In other words, the plan is to raise short-term yields and lower...

SBI report: ‘Card transactions decline 67% post-lockdown’

The total value of credit and debit cards transactions has decelerated from Rs 1.51 lakh crore in January 2020 to merely around Rs 50,000...

Bankers in India are more productive working from home

As banks and asset managers around the world try to figure out how they’ll manage their offices after the coronavirus pandemic, many in Mumbai...

RBI extends higher overnight borrowing facility of banks to September

The RBI, as a temporary measure, had increased the borrowing limit of scheduled banks under the marginal standing facility (MSF) scheme from 2 per...

IDBI Bank to sell 27% in insurance JV, Belgian firm raises stake to 49%

Ageas Insurance will hold 49 per cent in the venture while Federal Bank will have 30 per cent stake, with IDBI Bank holding the...
Need Help? Chat with us