Singapore: Finance Minister Arun Jaitley on Thursday said, India’s taxation laws will be changed for greater predictability and stability in the tax regime.
“It has been our effort in India to gradually transform and change most of our taxation laws, put to rest various disputes and issues which have been pending, and make sure that the scope of discretion is eliminated and there is a greater degree of stability and predictability as far as taxation laws are concerned,” Jaitley told an international meet on “Doing Business Across Asia: Legal Convergence In An Asian Century”.
“One major step needed to increase the ease of doing business is to reduce inter-state variation and the barriers to inter-state trade,” he said referring to India’s states in a video message to this first such global conference on legal issues.
“The proposed Goods and Services Tax (GST) is a major step in this direction,” the Indian finance minister said.
“There will be uniformity in taxation rates, there will be much greater compliance and obviously certainty. It’s going to help India’s GDP,” he added.
In relation to the GST Bill that is pending in the Rajya Sabha because the ruling NDA lacks the requisite majority to push it through, Jaitley extolled the virtues of Indian federalism.
“If India despite its massive population and unparalleled diversity has remained strong and united political and economic unit, it is partly because of the freedom given to states to be diverse in their laws and regulations.”
“Some degree of divergence in practice also allows for experimenting with multiple models,” Jaitley said.
“The fact is that businesses need a level of tolerance for diversity of laws if they are to exploit the opportunities that come from geographical diversification,” he added.(IANS)
This time, the dispute is regarding the Dokplam Plateau
The area is of strategic importance for both the nations
Disputes between India and China are not at all uncommon. The rivalry between the two nations is famous. There have been several disputes between the two on the India-China border in past, and there seems to be no stopping for these disputes in the present or future, for that matter.
In June 2017, the world witnessed yet another dispute arising between India and China. This time the dispute was about China building a road extending to Doklam Plateau, which both nations have been fighting over for years now.
Doklam or Donglang (in Chinese), is a disputed area between China and Bhutan located near their tri-junction with India. India doesn’t directly claim the area but supports Bhutan’s claims on it.
India fits into the picture, as this plateau is an important area for India. Not only is Bhutan one of the biggest allies of India; China gaining access over the Doklam Plateau will also endanger India’s borders, making them vulnerable to attacks.
Apart from the hostile history of the two nations, the Doklam Plateau is also important for India to maintain its control over a land corridor that connects to its remote northeastern States. China building a road through Doklam surely threatens that control.
A complete timeline of what happened in the recent Doklam Standoff
On 16 June 2017, Chinese troops with construction vehicles and excavators began extending an existing road southward on the Doklam plateau, near India’s border. It was Bhutan which raised the alarm for India.
On 18 June 2017, India responded by sending around 270 Indian troops, with weapons and two bulldozers to evict the Chinese troops from Doklam.
On 29 June 2017, Bhutan protested against the construction of a road in the disputed territory. According to the Bhutanese government, China attempted to extend a road in an area which is shared both Bhutan and India, along with China.
Between 30 June 2017 and 5 July 2017, China released multiple statements justifying their claim over the Doklam plateau. They cited reasons as to why the Doklam standoff wasn’t really needed. And how China has not intruded into India’s territory to incite the standoff.
On 19th July 2017, China asked India again to withdraw its troops from the Doklam. On 24th July 2017, Chinese Foreign Minister Wang Yi, in his statement, asked India to withdraw and behave themselves to maintain peace.
What followed till 16th August 2017 was China constantly alleging India of trying to create trouble. They accused India of trying to disturb the peace and not withdrawing the troops, even after repeated reminders. They also accused India of bullying.
India, however, kept quiet during the whole fiasco, only releasing a statement regarding their stand and position at the Doklam standoff.
On 28 August 2017, India and China finally announced that they had agreed to pull their troops back from the Doklam standoff. The withdrawal was completed on that very day.
On 7 September 2017, many media reports claimed that both nation’s troops have not left the site completely. They were still patrolling the area, simply having moved 150 meters away from their previous position.
On 9 October 2017, China announced that it is ready to maintain peace with India at the frontiers. India reacted in affirmative, the peace was established when Indian Defence Minister, Nirmala Sitharaman’s visited Nathu La.
The Doklam issue, for now, is resolved. However, given the history of disputes between India and China, it won’t be a surprise if the issue resurfaces again in near future.