We should critically read the CAG report for the year 2015-16. In this report we would find many surprises and indepth data regarding many aspects of tax collection machinery and its objectivity.
In the year 2015-16, total central excise collection was approx. 3 lakh crores. As we all know the excise duty is to be paid by e-payment by 6th of each month. 98% of this is collected without any interference from the department i.e. by the taxpayers themselves on self-assessment. The balance 2% or approx. 5000 crore is collected by the CBEC's excise officers by way of audit, notices, scrutiny, anti-evasion, preventive and all other means in their disposal.
This figure of 5000 cores may not be correct as the same case and its figure may have been reflected by all branches of the department but in reality the case would have been one.
This throws a question whether we need such a large number of departmental officials to collect merely 5000 crores of rupees to the consolidated fund of India (individual collection may be higher than this amount, if we go by the general perception which to some extent exists in reality).
Should there not be only one department which conduct audit, issue notices and adjudication of notices but accountable for the outcome of all the litigation? Minimum Government - Maximum Governance. But we are listening that a huge army of excise officers will be recruited in the coming years to add further to the existing workforce in view of the GST.
Here again, on one hand it is being said that GST will be digital process and minimum intervention by the department, why we need more and more officers to administer the GST?
GST has been delayed considerably till now, debated endlessly for many years, drafted loosely with too many or all the disruptive clauses of the erstwhile excise, service tax and VAT laws is going to be a reality soon with "One Country - Many rates, one or more cesses to start with, check posts will remain, way bill will also be there is some form".
We all must know the Acts, Rules and Business processes approved by GST Council till now and many more yet to be approved, before July 1, 2017.