In 1991, India was affected by the most serious economic crisis ever recorded since independence. For the first time in India in December 2010, unemployment rate increased to as high as 9.4 percent. The Indian economy is still going forward with structural challenges to its competitiveness and growth and obstacles. Many of these shackles still exist, but the crisis has also been a catalyst for change and to carry out a restructuring of the taxes.
Although the world economy has been transformed over the last decade, the rapid growth in demand and production in the global markets has resulted in pressures in terms of resources and energy supplies by determining changes in the cost structure for businesses.
A brave government would always try to solve the problem by lowering rates, improving controls and expanding the tax base. India has reacted to this state of things setting the stage for a future growth and competitiveness wishing to be smart, sustainable and inclusive and will help to face our key societal challenges to obviate the problems of the past and put the country on a more sustainable development path for the future.
Taking note of the fact that our economies are closely interrelated, the country now reconfigures its economic governance to ensure a better tax policy in response to current and future challenges. To return the tracks on growth and employment the country need more revenue, of which one of the major sources is income tax. It is based on three pillars through development of education and incentives for people to pay taxes; creating the right tax environment and raising awareness among the common people.
Without the jobs attributable to new investments by Government, the average net employment growth would be negative so new investments are a key element for job-rich recovery in India as the problems related to the low rate of business creation, the high rate of dissatisfaction and poor growth of enterprises in India are well known.
It's time to take action to enable our country as a whole to be more adaptable, creative and exert a greater impact on global competition that is extremely difficult and accelerated. Today the ability to declare income online is a good thing as the e-filing service is simple, secure and convenient and user friendly.
When you declare online from your personal space, you have the extra time to send your return, depending on your city of residence. You can register online in the income tax India website from any computer, tablet or smartphone. If you have submitted a return earlier your statement almost comes pre-filled with your main income like wages and salaries, pensions, investment income carried on your statement from the previous year.
You can change at any time, as many times as necessary until your reporting deadline. Also, if you have no changes to make to your pre-filled statement, you can validate in few clicks only. Finally, you can immediately estimate your tax at the end of your input, and you can adjust your monthly payments in the aftermath, or pay the tax due.
Just like the paper statement, the internet statement incorporates all categories of taxable income and deductible expenses. You can change the amounts pre-filled if it is inaccurate, and add your income and expenses not mentioned. You can also enter your expenses and investments eligible for reduction or tax credit.
Tax is a powerful driver of economic growth and investment in infrastructure and manufacturing activities by the Government and is at the origin of the creation of new jobs. Taxes make economies more competitive and more innovative and are essential to achieve the objectives of several sectoral policies.