Currently there are multiple taxes that are applied on to the working class Individuals of the country. This includes Income tax, Cesses for development areas, Wealth Tax, Capital Gains tax, GST etc. For a working class Individual the taxes are not just collected from their salaries but are also collected when they try to make a purchase of any kind in the form of GST. To fairly look at the amount or proportion of income given away in taxes becomes very close to 50% or more in lieu of this. If we look at the census reports and the number of individuals paying Income Tax it comes to 6.6%, with a collection of INR 1.2 Bn, of the population as of 2023. This percentage is certainly low when we consider we have a overall population of 140 Bn+. The tax burden of a populace must not fall on a minor section of people but must come from society as a whole.

If we abolish Income Tax which is a form of direct tax, we can seek increment corresponding to it in the form of indirect taxes or GST collected at the time of purchase. GST buckets need to be expanded further to include more product and services categories and also the bucketing needs to be rationalized basis the base cost of a product and product class. Abolishment of the income tax and rationalization of GST will lead to better income collection for the working class individuals while taxing the section of the population with abundance to expend. Looking at this the average households in India could see an increase in Income from 10-20%. Leading to increased savings, stronger and more stable banking system, less reliance on cash/non legible sources of income, and an increment in spending leading to increased indirect tax collection. This will also allow the Government to focus on sector development basis consumption and contribution of sectors towards the economic growth of the country. Another Pro point could be that the general populace of the country will be much more supportive of the Governments that lead with a growth mindset such as this and not with a crutches mindset to support only either the marginal or the rich classes of the society. This will also allow individuals to choose how they pay thier taxes, through which commodity or service that they consume, instead of unilateral extraction of taxes from these individuals.

We need this now than ever to break the cycle of being called a developing country instead of a developed country. We need it now to support more industries, and small scale business and individuals popping up un the industry, and we need it to provide actual financial independence to the working class of the country to reduce the gap being created by the capitalistic nature of the industry today. We need these changes for a better future, better tomorrow.