Taxing the rich: Wrong answer

The finance ministry is rightly worried about the fiscal situation, and the urgent imperative to guide public finance to better health. But taxing the rich is not the way forward. The peak personal income tax rate in India is already quite high when compared with, say, Singapore or Dubai. If we charge an income tax of 40 per cent for the rich (suitably defined), it could touch off three reactions, none of which are good for the country.

Read Full Story>>