1. Strengthen Indirect Tax Laws
- The present laws of customs, excise, service tax, VAT laws are very lenient.
- You can evade all actions by paying merely 15% penalty on tax evaded in central taxes.
- The penalty was 5 times of evasion with arrest two decades ago.
- Lenient law promotes evasion and generation of Black money.
2. Stringent Income Tax Laws
- No provision of arrest on income tax evasion.
- You can get away with paying a nominal penalty through settlement commission and other schemes.
- Imprisonment upto 5 years in the USA for income tax evasion with upto $250,000 fine and cost of prosecution.
- STRICT LAW CREATES FEAR IN THE MIND OF TAX EVADERS.
3. Promote Cashless Transactions
- Make all transactions beyond Rs.1000 compulsory through Electronic mode.
- Charge extra tax for cash transactions.
- PAN card mandatory for all cash transactions above a limit.
- Incentivize credit/debit card, mobile, online transactions.
- Tax exemption on card swiping machines.
4. Limit of Keeping Cash
- Prescribe upper limit for cash to be kept at home/office.
- The maximum limit can be 50% of the monthly income.
- Seizure of cash and 100% penalty for keeping the extra cash.
5. Monitor Real Estate Transactions
- Extensive survey to Locate and Seize Benami Properties.
- Compulsory intimation of all real estate transaction.
- All registrations put up on the website.
6. Monitoring of Gold Purchase
- Smuggling of gold to be made Non-Bailable offence.
- All gold/diamond purchases only through electronic mode.
- Cash transactions allowed only against PAN/AADHAR cards authentication.
7. Public Funding of Election
- Use of black money in an election should be stopped.
- Citizens to pay 0.1% of their tax as Democracy cess.
- Government to collect more than Rs.15,000 crores in five years to fund elections.
8. Government Laws for Business
- Simply rules and procedures to do business in India.
- Ensure time boundary delivery of government services.
- High accountability to government officers.
- Punishment/Penalty for deliberate Wrong/Delayed decisions.
9. Judicial Reforms
- Justice Delayed is Justice Denied. Judicial reforms to expedite Justice Delivery process.
- Reduce frivolous litigations.
10. Reward to Informer and Officer
- Give 10-20% rewards to the informers and officers who detect tax evasion.
- Develop mobile apps to submit information seamlessly and anonymously.
- Publicise reward schemes to public.