Finance Commission gets presentation from IMF team on resource mobilisation

A team of International Monetary Fund's (IMF) Fiscal Affairs Department has given a presentation to the 15th Finance Commission of India on 'resource mobilisation over the next five years.'

The Finance Commission in a statement on Friday said: "A team consisting of Ruud De Mooij, Division Chief, Arbind Modi, Senior Economist and Li Lui, Economist from the Tax Policy Division of the IMF, Fiscal Affairs Department, gave a presentation to the 15th Finance Commission on resource mobilisation over the next five years."

Some members of the Finance Commission's Economic Advisory Council also participated in the discussions, which was chaired by NK Singh, Chairman, Finance Commission.

"The discussions were centered around options for improving the tax resources of the general government, with special focus on improving the revenue realisation from the GST," said the release.

"It was presented that the current collections are significantly below an estimated revenue frontier for the country, arrived at using robust panel data analysis of comparator countries," added the press release.

It was further discussed that rationalisation of the rate structure, as well as improvements in compliance and collection efficiency of GST and other taxes, can move India much closer to the frontier. Policy options to achieve this improvement were also discussed.