Rahul Mehta Gandhinagar LsCandidate
Exchange of tax information between Mauritius and India benefits Mauritius NOT India !!! SOLUTION? See below.
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Many RSS-workers, BST-workers and some NaMo-bhagats are spreading a lie that exchange of tax information between Mauritius and India benefits India. It does NOT. It benefits Mauritius only. Let me explain how.
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The law made by MMS, and which was supported by ABV, says that if Mauritius company earns profits of say Rs 1000 crore India , then it has OPTION of paying Rs 30 crore in Mauritius or Rs 350 crore in India. Obviously , company would prefer to pay Rs 30 crore in Mauritius .
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Now what some companies used to do is that on their return in India, they would write "paid Rs 30 crore tax in Mauritius " and then claim exemption on Rs 350 crore tax payable in India. And then they would NOT even pay Rs 30 in Mauritius .
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Now Mauritius will inform GoI whether that company has actually paid Rs 30 crore in Mauritius or not. If not, then GoI can collect Rs 350 crore in India. So obviously, now company is NOT going to pay Rs 350 crore in india. Instead, it would pay Rs 30 crore in Mauritius as it said on the return.
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IOW, the exchange of tax information between Mauritius and India benefits Mauritius NOT India !!!
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Now any RSS-shakha-goers , BST-workers and some NaMo-bhagats are spreading a lie that exchange of tax information between Mauritius and India benefits India. They are only trying to make a fool out of you all. Please reply to their posts using above facts.
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All Congress leaders , AAP leaders, and most BJP leaders support this tax evading treaty. Many NaMo-bhagats were saying that NaMo would cancel this treaty within 2 days after he comes into power. But that didint happen, and now they want time of 60 months and then they will ask for another 60 months,
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SOLUTION :
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PM can just print few lines in Gazette that --- all companies and individuals in India, whether based in Mauritius or any where in world.will be taxed at the same rate in India.. And foreign individuals will be taxed at company rates.
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We at Right to Recall Group are the ONLY activists in India who are working to get Mauritius route cancelled. BST, RSS, AAP, BJP, Congress etc all support Mauritius route.