The 7.75 per cent growth for the year 2017 projected in the Economic Survey seems plausible. The momentum exists but there are a lot of policy decisions that need to be
taken to push the country to levels of high growth enjoyed by China during its peak. Economics is a matter of managing various factors and right now the only dicey one is growth of the international economy.
The Economy Survey does not favour increase in income tax limits; on the contrary it recommends widening of the tax base. Presently only 5.5 per cent of earning individuals are within the tax net in comparison with 22 per cent for emerging
markets. Clearly the government needs to do more to get more
people to pay tax rather that burden a small percentage.
