Indirect Tax Regime Of India And Singapore: A Comparative Analysis

Palak Kapoor, BA LLB, Chandigarh University

ABSTRACT

Paying taxes is one of the elements to increase the revenue of the government, it is not only a source of government revenue but is collected to increase the welfare of a taxpayer as a whole. The taxation system differs from country to country depending upon the population, political stability, and size of National Income if there is a high degree of utilization of resources then it will be a rich community which ultimately leads to a higher capacity of paying taxes. For an efficient democratic economy, the rate of tax should be directly proportional to the ability to pay so that tax-paying should not hamper the financial ability of a taxpayer. This paper tries to establish a comparative insight of Indian taxation to that of Singapore in terms of the evolution, and complexity of the taxation system which affects the ease of doing business. Also, it studies the difference in the governing authority, in the implementation of GST which has clubbed many indirect taxes, and the difference in the filing of tax returns. Finally, the study tries to find the scope of the Double Taxation Avoidance Agreement (DTAA) in order to avoid an individual’s liability to be taxed twice and also the importance and efficiency of countries in relation to taxation. This research mainly focuses on the Indirect tax regimes of India and Singapore, in this research, a comparative analysis of both countries has been done.