Procedural Improvements

First-of-its-kind initiative for reforming indirect taxes holds promise for both government and the industry

imgSmall and medium enterprises are subjected to enormous harassment and extortion in the name of tax administration. Vast amounts of time and energy is wasted dealing with such problems, which invariably affects production, productivity and competitivenes s. Improvement of tax administration alone could

boost the economic growth rate of India by about one percent per annum. This is why VOTEINDIA has launched the nation-wide campaign for Procedural Improvements in Indirect Taxes, under the banner 'Plucking feathers without hissing', in the spirit of Jean Colbert.

Formally launched in Hyderabad and Mumbai in June 2005, this campaign for bringing transparent and industry-friendly reforms in 'Central Excise and Customs' has been taken up in collaboration with the Central Vigilance Commission (CVC) and the Central Board of Excise and Customs (CBEC). The campaign will endeavour to simplify taxation procedures, reduce arbitrariness and unbridled discretion in order to minimize corruption, while enhancing the effectiveness of the Customs and Central Excise departments. Chief Vigilance Commissioner P. Shankar, who inaugurated the event, encouraged the participants to make full use of this unique opportunity to generate worthwhile solutions to the existing challenges in indirect taxation procedures. The workshops witnessed open and cordial deliberations between the industry and the CBEC officials, with participation from taxation experts and the civil society. These deliberations saw the evolution of genuine consensus among participants and a 'can-do' sense of optimism among the CBEC officials, on key proposals and reform measures specific to streamlining the CBEC organization and structure, enhancing accountability, and simplifying excise and customs procedures. Lok Satta​ had drafted these recommendations on CVC's suggestion. Once implemented, these recommendations would result in simple and transparent procedures, improved trust between department and industry, encouragement for voluntary compliance, improved accountability and reduced litigation, better service quality to the industry while enhancing the position and image of the department. The CBEC has already taken tangible steps in this direction.


Date: Fri, 06/02/2006 (All day) - Fri, 06/19/2009 (All day)