Paying taxes is most difficult in INDIA!!

Others 899 views 2 replies

Aisha

Finance Professional

9149 Points Joined October 2007

Of a total 178 countries surveyed, for ease of payment of taxes, India ranks an abysmal 165th in ease of paying taxes, while the island nation of Maldives has topped the list. Ease and efficiency is measured by 3 indicators, the number of tax payments, time taken to comply with tax obligations and the actual burden of tax.

An average Indian company, makes a total of 60 payments, and spends roughly 271 hours to comply with tax obligations. In India tax payment is very complex, where there are innumerable forms, that need to be first demystified and then submitted.

In Hong Kong, it takes a total of 10 minutes to fille a income tax form. In Sweden taxes are paid online and all taxes that include corporate income tax, value added tax, labour contributions and property tax are filled on a single form.

If laws are simple, compliance would go up drastically and enforcement becomes easier.

POUR in ur comments???

Replies (2)

Adv. S Sharma

Lawyer

574 Points Joined October 2007

Hi Aisha

may be studies are correct but in India most of the people trying to save their tax. thats why there are so much compliances. dont see the stuies but actly see the exact facts.

most of the reason behind this like, why peopl geetng bribe because salary of the [Speclay Central] Govt. employee is not that much, that they can survive wth his two children.

An average salary of the employee is 15000 in India now u just think can he survive in Delhi or other cities with Rs. 15000. May be he can survive but not live.

Secondly tax rates are so much high. u read the article now read the tax rates also. Not only Income Tax Rate but VAT , Service Tax, wealth Tax etc of all the countries

Why business man trying to save taxes because if they pay correct taxes then they will not get the good profit.

ET last week article said wealth of 4 people of India is equal to the wealth of 40 people China. there is no proper distribution of work, wealth, business etc

For example In India One man handling all business like petrol energy software infrastructure etc but in USA one company handles only one businesss [most of the companies]

So much reasons Dear Aisha Ji

Now govt. is doing good. After 2010 europeon countries going to reduce their subsidies and u will see a better/advanced/developed India in 2015

NOW UP THE THUMB -