Introduce Transaction Tax to redue corruption and augment tax collection.

Replace capital gains tax  and introduce Transaction Tax both  for the buyer and seller of Securities, real esate and commodities.This tax can be recovered at the time of transaction like Security Trans action Tax  now in vogue and there is no administration hassle.The Government has only  to ensure that the tax collected comes to Government's kitty without any leakage. Once the GST is rolled, this can be merged as part of GST. The approach of the Government should be to simplify tax laws,make it attractive to pay voluntarily as far as possible and collect the taxes at source. The tax terrorism should not be there and the corrupt practices now resorted to  by the tax payers, tax officials and tax evaders can be got rid of if transaction tax is introduced. The transaction tax can also replace all forms of Direct Taxes to give a big boost to revenues and get rid ofthe corruopt practices seen everywhere. 

Dr T V Gopalakrishnan