ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

Articles by Vinay D LallSubscribe to Vinay D Lall

Budget and Housing Sector

Vinay D Lall The 1987-88 budget has improved the fiscal environment for stimulating housing-linked savings and investments. It is bound to increase the financial flows from the household sector into housing. However, in the process some inequities have been introduced in the tax treatment of different components of housing (land and building), new and old housing stock, type of housing unit (plotted unit and apartment unit), building agency, etc. It is necessary to remove these anomalies. The inclusion of repayment of housing loans under section 80C should be re-examined and instead deduction for housing loans should be provided under a separate section of the Income- tax Act, preferably merging the interest and capital components. Alternatively, a superior method would be to grant an investment allowance under which a specified per cent of housing cost should be deductible from the tax base over a seven-year period, subject to monetary ceilings on total deduction and annual deduction.

Some Issues In Personal Income Taxation

A careful study of the 1984-85 Budget raises several doubts about the government's fiscal strategy. In the first place, is this the appropriate strategy w hen the Seventh Plan is on the anvil? Secondly, what is the effect of the tax changes on the equity of the tax system? Thirdly, will the Finance Ministers expectations about tax compliance materialise? And. finally, what is likely to be the total effect on the tax liability of the assessees? These issues are here examined with respect to the proposed changes in personal income taxation.

Financing of Private Corporate Sector- An Assessment of Expert Study Group s Report

An Assessment of Expert Study Group's Report Vinay D Lall The Planning Commission had set up an Expert Study Group in November 1981 to assess the availability of resources for meeting the revised investment programme of the private corporatesector in the remaining three years of the Sixth Plan. The Study Group was expected, firstly, to study the factors influencing corporate investment and, secondly, to suggest, after assessment of the sources of funds in the private corporate sector, the manner in , which resources for the desired level of investment, as contemplated in the Sixth Plan, could be raised.

Corporate and Personal Income Taxes-Economic Issues and Policy Alternatives

Economic Issues and Policy Alternatives Vinay D Lall The Finance Minister fortunately, has not made any fundamental structural changes in the system of direct taxation of income. Such a change should not be made through the annual Budget but through the replacement of the Income-tax Act, 1961, which is now over two decades old and has become a complicated and unworkable piece of legislation.

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