Modi promises to reform taxation system

Narendra Modi today promised to reform the taxation system in the country, saying it has become a burden on the common man and the need of the hour is to change it.
"The present taxation system is a burden on common man. It leads to bureaucratic control. The need of the hour is to look into it afresh and bring reforms. Our party is already working on it.
"...My party leaders and experts have recently met and considered the issue for over three hours. Some problems may appear in the first sight but we will have a look at it and find new solutions," Modi said at an event organised by yoga guru Ramdev, who had demanded abolition of all kinds of taxes and pitched for a single 'Banking Transaction Tax' if the BJP leader becomes Prime Minister.

The BJP Prime Ministerial candidate's remarks assume significance as the party has been talking about abolition of taxes in its internal meetings in the past as well. Former BJP President Nitin Gadkari had last month said that he was contemplating incorporating a proposal to abolish income, sales and excise taxes in the vision document of his party.
Gadkari is heading the team that is preparing the vision document for the general elections.
Ramdev had also said that once Modi succeeds in coming to power, he should declare the black money being held by Indians in foreign banks to be national wealth and bring it back and also set up a National Farmer Income Commission.

Modi as well as BJP President Rajnath Singh and Leader of Opposition in Rajya Sabha Arun Jaitley expressed support for the proposals saying the party would examine them in all seriousness.

"The expectation and hope, which Baba Ramdev has put in the BJP and me personally, we will try our best to live up ton
It," Modi said, adding, "If intentions are right, solutions can be found for all problems."
Excessive taxes, Jaitley said, also cause a rise in black money as people stash away money illegally to evade levies.
He said the life of the common man had become all about paying taxes since his birth to death, listing out numerous taxes levied on using road to house, service, electricity, water besides income tax.

"Whatever a man earns through his hard work, he can finally keep only a small fraction of it and the rest goes out... There is a dire need to simplify the tax regime, to rationalise it," he said, adding he had come to appreciate points made by Ramdev and his aides following his long interactions with them over the years.
The BJP President also seconded the yoga guru's demand, saying there is a need for reform. This alternative of transaction tax is very good. We will consider it and do the best we can".