“Arthakranti Proposal” has been given by a Pune (Maharashtra) based “Arthakranti Sansthan” which is an Economic Advisory body constituted by a group of Chartered Accountants and Engineers. This funda has been patented by the Sansthan.
What is “Arthakranti Proposal” and who has given the proposal?
Arthakranti Proposal is an effective and guaranteed solution of ‘Black Money Generation’, Price rise and Inflation, Corruption, Fiscal Deficit, Unemployment, Ransom, GDP & industrial growth, terrorism and good governance.
What is in the Proposal?
“Arthakranti Proposal has 5 point of actions simultaneously
(1) Scrap all 56 Taxes including income tax excluding import duty.
(2) Recall and scrap high denomination currencies of 1000, 500 and 100 rupees.
(3) All high value transaction to be made through banking system like cheque, DD, online, electronic.
(4) Fix Limit of cash transaction and no taxing on cash transaction.
(5) For Govt. revenue collection introduce single point tax system through banking system –“Banking Transaction Tax (2% to 0.7%) on only Credit Amount.
Important Points to note:
(1) As on today total banking transaction is more than 2.7Lakh Crores per day say more than 800 Lakh Crores Annually.
(2) Less than 20% transaction is made through banking system as on today and more than 80% transaction made in cash only, which is not traceable.
(3) 78% of Indian Population spend less than 20/- rupees daily why they need 1000/- rupee note.
What will happen if All 56Taxes including income tax scrapped:
(1) Salaried people will bring home more money which will increase purchasing power of the family.
(2) All commodities including Petrol, Diesel, FMCG will become cheaper by 35% to 52%.
(3) No question of Tax evading so no black money generation.
(4) Business sector will get boosted-so self employment.
What will happen if 1000/ 500/ 100 Rupees currency notes recalled and scrapped?
(1) Corruption through cash will stopped 100%.
(2) Black Money will either converted to white or will vanished as Billions of 1000/500/100 currency notes hided in bags without use will become simple peace of papers.
(3) Unaccounted hidden huge cash is skyrocketing the prices of properties, land, houses, jewellery, etc., and hard earn money is loosing its value; this trend will get stopped immediately.
(4) Kidnapping & ransom, “Supari Killing” will stopped,
(5) Terrorism supported by cash transaction will be stopped.
(6) Cannot buy high value property in cash showing very less registry prices.
(7) Circulation of “Fake Currency” will stopped because fake currency printing for less value notes will not be viable.
What will happen when Banking Transaction Tax (2% to 0.7%) is implemented?
(1) As on today if BTT is implemented Govt. can fetch 800×2%=16Lakh Crore where as current taxing system is generating less than 14Lakh Crore revenue.
(2) When 50% of total transaction will be covered by BTT sizing 2000 to 2500 lakh Crores, Govt. will need to Fix BTT as low as 1% to 0.7% and this will boost again banking transaction many fold.
(3) No separate machinery like income tax department is needed and tax amount will directly deposited in State/Central/District administration account same moment.
(4) As transaction tax amount will be very less, public will prefer it instead paying huge amount against directly/indirectly 56 taxes.
(5) There will be no tax evasion and Govt. will get huge revenue for development and employment generation. (6) For any special revenue for special projects, Govt. can slightly raise BTT say from 1% to 1.2% and this 0.2% increase will generate 4, 00, 000 crores additional fund.
Effect of “Arthakranti Proposal” if implemented today:
(1) Prices of all things will come down
(2) Salaried people will get more cash in hand
(3) Purchasing power of Society will increased
(4) Demand will boosted, so is production and industrialization and ultimately more employment opportunity for youth
(5) Surplus revenue to the Govt. for effective health/ education/ infrastructure/ security/ social works.
(6) Cheaper and easy loans from banks, interest rate will come down.
(7) Tendency of society will changes from scarcity to quality.
(8) Spare money for political system for clean politics,
(9) Prices of Land/ property will come down,
(10) No need to export beef to cover up trade deficit
(11) Sufficient fund for research and development.
(12) Society will be free from “Bad elements”.