Category: Editorial

Corporate Tax contributed 46.47 per cent, and Personal Income Tax contributed 53.31 per cent of total direct tax collections in India in the FY 2023-24.¹ Total collection on account of direct taxes in the FY 2023-2024 was ₹19.60 lakh crores. Thus, we find that taxpayers, both corporate and non-corporate, are major contributors to the government exchequer. GST contributed ₹18.01 lakh crore for the FY 2023-2024².

1 https://incometaxindia.gov.in/Documents/Direct%20Tax%20Data/Final-Approved-Time-Series-Data-2023-24-English.pdf
2 https://pib.gov.in/PressReleasePage.aspx?PRID=2016802

There were 7.5 crore individual taxpayers for the AY 2023-2024.³ This shows that only 5 per cent of the population pays tax in India or files tax returns. Out of this, 87 per cent has returned income of less than ₹10 Lakhs. Fifty per cent of the total individual taxpayers are salaried class, of which 82 per cent have income less than ₹10 lakhs. This shows that the majority of the taxpayers belong to the middle class. Individual taxpayers, and especially the salaried class are the worst hit by inflation and taxes. Over and above income tax, they pay GST on their gross spending. GST should be reduced on items of mass consumption to give relief to people. There is no social security for a large number of private sector employees, and they are taxed at a higher maximum marginal rate of 30 per cent as against the peak corporate tax rate of 25 per cent. There is a strong case for substantial relief to the middle class.

3 https://incometaxindia.gov.in/Documents/Direct%20Tax%20Data/Approved-version-Income-Tax-Return-Statistics-for-the-AY-2023-24.pdf

The government refers to taxpayers as “Pratyek Karadata — ek Rashtra Nirmata”(प्रत्येक करदाता एक राष्ट्र निर्माता). However, unfortunately, this Rashtra Nirmata is not given his due credit, respect, benefit or any social security. In fact, a ‘taxpayer’ is debarred from many government benefit schemes. It pains to see the hard-earned money of the taxpayers utilised in freebies and unproductive work.

Instead of rewarding taxpayers, they are penalised by assessing officers with high-pitched assessments, unreasonable penalties / demands, unfriendly communications, prosecution notices, litigation and so on. Complex tax laws, long-drawn litigation and ambiguity have resulted in uncertainty in tax system / compliances.

It is interesting to note that Mr Sanjay Malhotra, then Revenue Secretary⁴, echoed the sentiments of taxpayers while addressing the Directorate of Revenue Intelligence⁵ on 4^th December, 2024:

•  The government aims to make the tax system simple, easier to understand and comply with. He said that the aim is to reduce disputes and litigation.
•  He conveyed the government’s intent of building trust with taxpayers by avoiding harassment and inconvenience to honest taxpayers, at the same time dealing rigorously with dishonest.
•  He exhorted members present to remain alert and keep the interest of the economy ahead of the interest of the revenue.
•  He said that tax officials should desist from raising unwarranted high-pitched demands and keep economic growth in mind.
•  He said, “If in the process of garnering some small revenue, we are hurting the whole industry and economy of the country, that is certainly not the intent,”
•  He said, “Revenue comes in only if there is some income and so we have to be very cautious that in the process, as they say, ‘do not kill the golden goose’.”

4 Mr. Sanjay Malhotra has been appointed as the 26th Governor of Reserve Bank of India w.e.f. 11th December 2024
5 DRI is the apex anti-smuggling agency of the Central Board of Indirect Taxes & Customs (CBIC).

Mr. Malhotra’s comments carry a lot of weight, as he has played a pivotal role in shaping policies related to both direct and indirect taxes. On 31^st May, 2024, he met BCAS along with many other organisations and trade bodies to understand the challenges faced by taxpayers. While he has now taken up office as Governor of the Reserve Bank of India, let us hope that his successor will follow a similar approach and provide much needed relief to the taxpayers.

It is heartening to note that the government is seized of these issues and has set up a Consultative Group on Tax Policy at NITI Aayog⁶ to analyse tax policies and processes and suggest reforms that help in tax simplification, enhance tax collections, reduce tax compliances, and other costs for the taxpayers through improved filing, grievance redressal mechanisms and reduced litigation. Dr Pushpinder Puniha, IRS, the chairman of the Consultative Group on Tax Policy, along with Mr Sanjeet Singh, IRS, Senior Adviser at NITI Aayog, visited BCAS on 10^th December, 2024 to discuss the changes required in the direct tax laws to achieve the above objectives. They were very open, and their approach was pragmatic. The profession and business community have high hopes from this Consultative Group with regard to tax reforms.

6 National Institution for Transforming India (NITI)

UNION BUDGET 2025

Union Budget 2025 will be presented on 1^st February, 2025. One hopes that the Government fulfils the hopes of Aam Adami (Common Man) and brings in reforms to ease the tax burden and compliances. The government consults various trade associations, professional bodies and stakeholders before the Budget. However, once it is announced, there is hardly any discussion by the honourable Members of Parliament (MPs) while passing the same. It would be better if a Committee of Experts from across sectors is set up to study and evaluate the proposals in the Union Budget, including the Finance Bill, before the same is taken up for debate and discussion in Parliament. This group can highlight the pros and cons of various proposals, which would guide MPs while passing them.

ECONOMIC CHALLENGES AHEAD

It is well known that India is facing tough competition from countries like Vietnam, Indonesia, etc. Somehow, India has failed to attract desired investments and capitalise on the present geo-political and economic upheavals and the economic turmoil in Bangladesh, China (credibility crisis post-Covid) and other war zone countries. If India is to attract foreign investment and play a crucial role in the global market, then it needs to address some of its perennial problems, such as lack of stability and consistency in tax laws, adversarial tax regime, corruption, long-drawn tax litigation and complex laws.

It is imperative that India creates an image of a taxpayer-friendly jurisdiction, that cares for and respects all contributors to the progress of the country. India needs to focus on the generation of employment, exports and economic development. Revenue is the by-product of economic growth and should not become a hindrance to development.

At present, India is facing multiple challenges, namely, the slowdown of the economy (for the Q.E. Sep 2024, it is expected to be 5.4 per cent — a seven-quarter low), rising inflation and depreciating rupee⁷. The new RBI governor has a tightrope to walk on.

7 Rupee ended at 85.53/$1 on 27th December, 2024 – the steepest single day fall since 15th March 2023 Source: The Economic Times dated 28.12.2024.

NEED OF THE HOUR

In the present global scenario, India needs to play its cards wisely. As Mr. Malhotra rightly said, if there is income, revenue will come automatically. All we need to do is to provide a conducive environment for the business community to grow and prosper. A friendly and reasonable tax regime will give much-needed relief to the middle-class population. GST rates need to be reduced, as they are regressive, and ultimately, the end consumer (which is largely lower and middle-income class people) bears the burden.

As we bid adieu to 2024, let us hope that 2025 will bring a simplified tax regime in which the golden goose (taxpayers) will be so well treated that it will give more and more golden eggs for a very long time.

I wish you all a happy New Year 2025!

Best Regards,

Dr CA Mayur Nayak

Editor

BCAJ Admin

One would like to visit a place often where one gets respect. More than what we are treated with, “how” we are treated is important. And therefore, one would shudder to go to a Police Station. However, some people have a similar feeling while visiting the Income tax office. The trust deficit between the Income-tax department and the taxpayer is so high that both suspect and disrespect each other. Respect for the fellow human being is the cardinal principle of a civilized society. However, it is not to be found while dealing with some government agencies.

In this connection, the first two declarations of the Taxpayers’ Charter by the Income-tax Department¹, which was issued on 13th August, 2020, deserve our attention.

1. https://incometaxindia.gov.in/Documents/taxpayer-charter.pdf

They are as follows:

“The Income Tax Department is committed to:

1. Provide fair, courteous, and reasonable treatment

The Department shall provide prompt, courteous, and professional assistance in all dealings with the taxpayer.

2. Treat taxpayer as honest

The Department shall treat every taxpayer as honest unless there is a reason to believe otherwise.”

In all, there are 14 declarations in the Taxpayers’ Charter. However, even if the first two declarations cited above are implemented in letter and spirit, they can help to reduce the trust deficit to a great extent.

When one looks at the language of the notices or summons issued by the Income-tax department, one feels that much needs to be done to implement these two declarations in the Charter. Of late, summons are sent by the Investigation Wing of the Income-tax department even to non-residents who have been living abroad for ages, seeking details of their worldwide affairs without jurisdiction. Moreover, the notices threaten to levy a penalty for non-attendance and contain a direction not to leave the officer’s chamber until permitted to do so. Such an attitude creates fear and causes reluctance in nonresidents in even venturing into obtaining a PAN in India. Notices from the Income-tax department use unfriendly language and end with a threat to levy a penalty for noncompliance. The tone of the communication from the Income-tax department is that taxpayers are suspected tax evaders. These attitudes need to be changed with soft skills training for officers on the approach to taxpayers.

It is worth noting the remarks made by the Prime Minister while launching the Taxpayers’ Charter – “it is a significant step where the taxpayer is now assured of fair, courteous and rational behaviour.” He said the charter takes care of maintaining the dignity and sensitivity of the taxpayer and that is based on a trust factor and that the assessee cannot be merely doubted without a basis. Many steps have been taken by the Government to improve taxpayers’ services, such as the use of technology, faceless assessments, faceless appeals, etc.; however, much more remains to be done.

The experience of the taxpayer is quite dismal when it comes to fair and reasonable treatment by the Incometax department. High-pitched assessments, withholding of refunds, denial of exemptions/deductions, reopening of assessments without making base papers available to taxpayers, adjustment of refunds against unverified past demands, past incorrect demands reappearing time and again, and the absence of accountability on the part of tax officials remain painful experiences of taxpayers, even today. The levy of a high penalty (Rs. Ten Lakh) under the Black Money Act for mere failure to disclose (in respect of a legitimate transaction) a foreign asset or signatory of a foreign bank account, etc., by an Indian resident cannot be justified as fair and reasonable on any count. Some overzealous Assessing Officers want to tax anything and everything, as there is no accountability if they are found to have gone overboard.

The powers given by the recent insertions in section 245 of the Income-tax Act are prone to misuse and harmful to taxpayers. The amended provisions allow tax authorities to withhold refunds on the basis that they are anticipating some demand to arise in future upon the conclusion of pending assessment proceedings. In any case, refunds of higher amounts are invariably delayed or withheld without any valid reason; the amended provision will legitimatise the right of tax officials to delay refunds.

Backdoor assumption of powers by the CBDT?

Many sections, e.g., section 115BAB, sections 206C(1G/H), 194-O, 194Q, 194R, 194S, etc., are amended to assume powers by the CBDT to issue binding guidelines on the taxpayers and tax officials. So far, guidelines issued by the Income-tax department were biding only on the officers. However, under the new provisions, guidelines issued by the CBDT shall be binding on both taxpayers and IT officials. Even though these guidelines need to be approved by the Parliament, it hardly makes a difference. There is a fear that officials will assume powers to amend the law in the name of clarifications, etc. The glaring example is FAQ 4 of Circular 12/2022 issued in the context of S.194R, which states that the cost of a free medicine sample given by a pharma company to a doctor with the narration ‘Not for Sale’ can be considered as a ‘benefit’/‘perquisite’ provided to the doctor and hence the pharma company providing free samples needs to deduct TDS under section 194R. This interpretation of the tax department may not stand the test of judicial scrutiny. However, till such time, the taxpayer will be bound by it, as it is a part of the binding guideline. Such provisions are clearly against the spirit of the Taxpayers’ Charter, which aims to be people-centric and public-friendly.

Unfortunately, one can still see the grip of bureaucracy over law-making. The laws are framed for outliers/exceptions. In the name of plugging loopholes, court rulings in favour of taxpayers are nullified by legislative amendments, citing legislative intent, which may not be true. This calls for a complete change of mindset in policymaking and advising.

Two other important declarations in the Taxpayers’ Charter are (i) Providing a Just and Fair Tax System and (ii) Reducing the Cost of Compliance. When one looks at both of these declarations, one cannot help but feel that the ground-level reality is far from the promises in the Charters.

Let us hope that the Income-tax officials will implement the Taxpayers’ Charter in the spirit of “Transparent Taxation — Honouring the Honest”, the underlying theme announced by the PM while launching the structural reforms platform of Faceless Assessment, Faceless Appeal and Taxpayers’ Charter. Needless to add, every rule, law, and policy has to be people-centric and publicfriendly, rather than process and power-centric.

New Criminal Laws in the New Year

One major development on the judicial front is the enactment of three new criminal laws, to replace the colonial-era criminal laws. The focus of the earlier laws was to levy penalties, whereas the focus of the new laws is to give justice to the victim. The three New Laws are: (1) The Bharatiya Nyaya Sanhita, 2023 (replacing the “Indian Penal Code, 1860”) (2) The Bharatiya Nagarik Suraksha Sanhita, 2023 [ replacing The Code of Criminal Procedure, (CrPC) 1973] and (3) The Bharatiya Sakshya Adhiniyam, 2023 (replacing the “Indian Evidence Act, 1872”).

The laws are not only named in Bharatiya style but claimed to be Bharatiya in spirit to keep pace with the current times and get rid of the colonial mindset. The new laws provide penalties for crimes such as terrorism, mob lynching, and offences jeopardising national security. The new laws will have a far-reaching impact on internal security and law and order situation in India. However, to make these laws more effective, judicial reforms need to be undertaken at the earliest.

Let us hope that Bharat ushers in the New Year with a progressive, positive, and pragmatic mindset, leaving behind a colonial legacy!

Wish you a happy and prosperous 2024!

BCAJ Admin

I read one to two hours a day. That puts me in the top
0.00001%. I think that alone accounts for any material success that I’ve had in
my life and any intelligence that I might have – Naval Ravikant

Why do the wise
attribute such importance to this singular habit? A well known figure of the
our times has this to say:

‘In
my whole life, I have known no wise people (over a broad subject matter area)
who didn’t read all the time –  none,
zero’ – Charlie Munger

Yet, we see an
alarming situation today where Chartered Accountants are drifting further and
further away from being voracious readers. With mounting pressures of
timelines, exponential client expectations, the complexity void of clear reason
and excessive, meaningless ‘compliances’, many Chartered Accountants in
practice are fast becoming sarkari chaprasis. It’s a zero-sum game –
where knowledge out of the knowledge worker dilutes and then diminishes. And
then there are some Chartered Accountants who generally read more of
existential stuff like ‘decisions’ and ‘amendments’ and less of ‘discoveries’
and ‘developments’, where ‘curiosity’ gets traded to buy ‘certainty’. And there
is yet another class of new entrants who choose to read what is of ‘immediate’
use because they want to ‘succeed’ fast, just as companies that build P&L
to the detriment of Balance Sheet.

What exercise does to
the body and meditation for the Atman, so does reading to the mind. And Humans
are minds minds are thoughts, and
thoughts are words. To read is to strengthen,
refresh, redeem, challenge, validate and free our thoughts from becoming stale
in a fast-changing world. Reading is as underemphasised a discipline as it is
vital.

All human progress
that we know, or are yet to know, is nothing but discovery, articulation and
expression. So we can perhaps judge this discipline by its benefits. And the
benefits are such that they cannot be plundered or degenerate. Here is a
summary of thoughts about this singular atomic habit and what reading
can do to us.

Opens
our eyes – Nuances, facts, perspectives, makes us see more of what is
visible. It means that we can look at what is before us but cannot see till our
brains are refined, baked and moulded. The eyes cannot see what the mind
does not know. A child can see a murderer walking towards it with a knife
and think of the instrument of pain to be a toy. The mind is only as good as
its capabilities to recognise. It’s the difference between hearing and
listening, between looking at something and seeing it.

Enter the best minds – We cannot meet the legends and icons as most are out of
reach or have existed in the past. However, when we read their writings we get
to enter their minds. Imagine, Buffet or Chanakya or Abhinavgupta – we can’t
meet them, but their writings tell us about how they formed their world view,
dealt with it and put their potential to use. One can experience what another
person felt through their writings and therefore it becomes part of one’s
internal architecture and often makes one empathetic and socially aware.

Perception
and prescription – Reading also overcomes its own
side-effects. We are often blinded by what we know. Our knowledge is limited
and what we know is always less than what we don’t know. Our perception is
coloured by our prescription. Thus, we have to constantly change the
prescription of our perception to be able to see new reality. The moment we
perceive things differently, our reality changes. It’s like having a zoom and a
wide angle lens – reading makes you do both. One can expand an idea and stretch
it in infinite directions or zoom into each of its dimensions.

Decipher, analyse and decide – Reading changes our ability to decode and decide. The
moment of choice before action is vital. The sharper our intellect, built with
new situations and examples of those who have faced similar challenges before
us, the greater is our decision-making.

Brain
health – New thoughts and ideas develop neural pathways. It’s like
vitamins for the brain, and strengthens the intrinsic makeup of the brain so as
to keep it fresh and young. Like muscle-building, reading changes the cognitive
structure and serves like ammunition for peak performance.

Cut
the clutter – Reading overemphasises the long-term
and underemphasises the short-term. It cuts out the noise of things like news,
gossip, mobile chatter and focuses on what’s important in a distracting and
distracted world.

Data – As someone said, for everything else other than trusting God,
we need data. As we read we can look through patterns. Long streaks of data
allow us to see what others can’t!

Relaxes – Studies have shown that readers sleep better – certainly better
than those who stare at phones before sleep. It’s a therapy to unwind, expand
and slide into a calm state of being.

Everyone
can do it – The best part is that everyone can do it. Today, most books are
online. Many are even read by someone else for you. You can buy books, listen
to them, often for free. And once you have read them, pass them on.

Communicate – Profession is all about expression. Essentially, we have to get
a handle on things, understand what is happening, what it means in a given
context and communicating. I have often won work due to two reasons: a trust
that people feel when you talk to them, and the way you articulate their pain
point and give a purposeful, empathetic way out to them. Competence, of course,
is basic, but so many have it these days. Someone has said that readers are
writers, communicators, persuaders and therefore makers of better societies.
And generally the best writers are regular readers.

Overcome
stupidity, perhaps – Politely put, humans can
be stupid in spite of not wanting to be so. Each day we choose pleasurable over
beneficial to our own detriment. We choose short term over long term. Reading
real life stories makes us less stupid, literally, for we don’t have to go
through things ourselves to learn but we can learn from the experiences of
others. Reading drills better habits and smarter approaches.

Priceless– It cannot be stolen by thieves, nor can it be taken away by
the kings. It cannot be divided among brothers, it is not heavy to carry. If
spent regularly, it keeps growing. The wealth of knowledge is superior wealth
amongst all forms of wealth! And if one is blessed, one will be able to
share it and therefore multiply it exponentially.

A great tool that we
have today is the e-book reader. I seriously recommend it
even to those like me who love to flip pages and have books around them. Yes,
there is nothing like printed, bound books, but equally there is nothing like
e-book readers. It’s like the ITR volumes that we used to have and now ITR is
online! E-book readers can carry nearly your entire library in your pocket, you
can mark what you like, change the size of fonts, share parts that you want and
search within text.

While reading is a
necessary condition, it is not sufficient. Perhaps one book a week would be
great for 2021. But remember, till knowledge is digested it doesn’t become
wisdom. How these new thoughts take shape and what effort do we make to
actualise them is the crux.

I leave you with a
list of books on personal growth, business and
investment that I think are worth your time. Take a break from busy-ness and
decide to spend an hour a day with books like we do with our family. That’s my
personal wish for 2021 (like I had planned a few years back to read two books a
month and actually did it!). Wishing you a great calendar year 2021!

Raman
Jokhakar

Editor

shailesh.kwebmaker

We are leaping
into 2020 with trepidation, excitement and anticipation. The year gone by,
2019, was eventful. Our $2 trillion economy five years ago, touched $3 trillion
in 2019. Globally, Bitcoin made a gain of 9 million per cent this decade. Every
single day about 325,000 people got their first access to electricity, 200,000
people got piped water and 650,000 people went online for the first time. In
the 1950s, 27% children died by age 15, that figure is now a mere 4%.
Population in extreme poverty as defined by the UN was 42% in 1981; today it is
less than 10%.

Yet, we still
see media spit venom and fake news constantly and consistently when the
newspapers could very well have carried the headline ‘Another 170,000 people
moved out of extreme poverty yesterday’¹. The Disease of Deep
Pessimism is ‘paralysing rather than empowering’ and leaves people
‘hopeless and even helpless’² 
said a recent article in NY Times.

Through the
year, a visibly distressing sign was the depletion of reason in many
areas. This editorial is dedicated to reason.

The Supreme
Court emblem carries the words Yato
DharmasTato JayaH. It
is the Dhyeya Vaakya or the motto and means Where there is Dharma there
is victory.

Courts are
about establishing facts. Facts are established through Vaad, through Tarka
(reason) and Pramaana (evidence). Vaad stands for logical
reasoning and conclusion derived from it. It stands for open-mindedness to
determine true purport and ascertainment of truth. But then why would the
emblem of the highest judicial body speak of Dharma as the cause of victory?

Courts
establish facts by evidence, not just by documents alone, but also by
arguments. In the Bhagvad Geeta, Krishna says, ‘amongst the debaters, I am Vaadah’³
(Vaadah Pravadatah Aham).

Vaad has a fascinating etymology. Vid
stands for knowing and seeing. Vidya is knowledge. And from the same
root comes Vaad. Vaad also stands for not wanting to defeat
another through reasoning. In Vaad both opponents take the debate to a
higher level so that the finest logic can prevail in the end.

We see great Vaad
in judgments and arguments – where the ‘clear stream of reason’⁴  flows. It is distinguished from Vivaad
where one is trying to crush another rather than trying to reach the truth
through reason. In Vivaad, like we see at 9 pm on news channels, people
are tied down by their binary biases. There is an extension of Vaad in SamVaad
(dialogue) which is based on discovery and not on bias.

Vaad is rooted in Dharma and so its
tenor is pure. The noblest of minds are often the staunchest of disputants. But
they exhibit amity, balance, fairness, honesty, respect, and fearlessness.
Today, we see ignorance, prejudice, deceit and bigotry which are all enemies of
Vaad.

Dharma comes from the root Dru, which
means to hold together. Dharma is that order which holds and sustains
the universe together in a fine balance and order. Dharma is a
non-translatable Sanskrit word and means so much at once that it can only be
read contextually unlike most English words.

When Vidhi (Laws)
and Nyaay (Justice) emerge from Dharma, then there is victory.
Justice is also the first word in the Preamble of the Indian Constitution.

One of the key features
of Dharma is duty. Today, we have rights placed before and above duties.
This is perhaps the root of much of our travails. In the Indian traditions,
duty is extended up to sacrifice – Jataayu sacrifices his life for Sita. Bharat
sacrifices being the King and lives as a Trustee of the kingdom which he could
have simply taken over.

May we see clearer reason, order, virtue, duty and
values prevail in 2020 – and that should bring victory to all that is good.

Raman Jokhakar

Editor

shailesh.kwebmaker

As we cross into the New Year, we take a few days off to refresh,
rejuvenate and revive our mind, body and spirit. The day after 31^st
December seems so new and yet so much of it is still the same as it has been
for long. Taking time off allows us to reflect on all that is going on around
us and all that we are becoming as individuals and as a society.

Our founding fathers must have dreamt of this when we chose to be a
Republic. We are celebrating our 70^th Republic Day this month. Most
constitutions came from the divine rights theory based on an Anglo-Saxon system
where God who had all powers also gave all rights – to life, of speech etc. God
was substituted by the State for giving these rights through a constitution.
The caveat was: the State required the consent of its people. While God can do
no wrong, the State can. Therefore, the responsibility of people is even more.
This model asks us to own up what is happening, to discharge our responsibility
and then claim our rights. Often, people understand it in reverse order – claim
rights and hardly discharge duties. 

The constitutional framework stands for and on the rule of law with a
dedicated judiciary to deal with conflict. We have come to a point where justice
is beyond the reach of most people. Can most citizens read or comprehend our
laws? Can a lay citizen knock at the door of the highest court and afford a
lawyer there? Are large parts of the judicial system impartial? Take an example
of ‘tribunals’–where although the judiciary is meant to be out of control of
the government, most tribunals are under direct control of the ministry which
is generally a party in the dispute before that very tribunal! And the time it
takes to close out a court case?  

Such clear and visible problems limit the operation of law and impair
the Constitution of the State. In fact, many times the government is in
conflict with citizens for all the wrong reasons. At a recent tax hearing, an
officer mentioned that professionals are responsible for litigation. I asked
him then why does the department lose in most cases and at all levels? He just
said we could talk about this at length at another time!

India, like most oriental societies, is based on relationships, not on
individualism. Individual-based societies require more and more contracts for
everything. My roommate, a professor at UC Berkley, when I first went to the US
told me that all relationships in America were either contractual, functional
or legal. That is not so in our society. Therefore, more thrust on values,
rather than just (poorly drafted) laws, is critical.

Back then Dr. Ambedkar had said: “However good a Constitution may be,
if those who are implementing it are not good, it will prove to be bad. However
bad a Constitution may be, if those implementing it are good, it will prove to
be good.”

These days, many people make it sound as if all good emanates from the
Constitution alone. However, if you read Dr. Ambedkar’s words carefully –
culture, values and ethics are more important – for they make a person and then
whatever she handles will be driven by those values. We need as much or more of
manufacturing of this internal compass pointing towards true north in our
people, as we do for the creation of jobs.

At another proceeding, a tax officer was asking for every single
dividend counterfoil of a senior citizen. The assessee had no email and some
counterfoils were not received in the post. The officer said he would be
questioned and even considered corrupt for not taking every supporting evidence
although the bank statements in his possession mentioned the name of the payer
and amounts were rather small. Such kind of out-of-context excessive
technicalities in respect of an eighty-year-old homemaker assessee leads
nowhere; perhaps encourages some people to evade laws rather than struggle to
prove themselves to be on the right side.

A relationship-based society like India has survived and thrived on
values. I hope we can put much more thrust on building society and creating
social capital than focus on infrastructure, roads, economics alone. No doubt,
it is easier said than done – just as farm loan waiver does not correct the
root causes of the farmer problems, economics and laws without values won’t
solve a societal problem.

Friends, the word of the year declared by two prominent dictionaries
recently gives it away: Toxic¹ and Misinformation². Both
words articulate the stark realities of our times and what we need to fight and
overcome. I leave you with the deep thought that a poet articulates poignantly:

When there is so much falsehood in the world, how does one understand
what is true? How can one sell a mirror, in a marketplace full of (people
wearing) masks?

___________________________________

1   Oxford Dictionary for 2017

2       Dictionary.com for
2018

Happy New Year 2019!

Raman Jokhakar

Editor

shailesh.kwebmaker