India Government worth to target to achieve 7 trillion USD economy by reducing taxes and GSTs and with proper planning and thereby achieving Govt of India share of taxes even by taxing little low amounts

India worth to target to achieve 7 trillion USD economy by reducing taxes and GSTs and thereby achieving Govt of India share of taxes even by charging low direct and indirect taxes.

Instead of achieving 7% growth by taxing at current levels, it is worth to reduce the taxes slightly and they try to achieve 10.7% growth and thereby achieve 7 trillion USD economy in next 5 years. Challenging but doable with aggressive planning with right actions in goal oriented direction.

If Government of India reduces taxes and GSTs, it is possible for India to achieve 7 Trillion USD in less than next 5 years easily.

Practical example is when India FM Nirmala Sitaraman reduced manufacturing taxes in India, India became a manufacturing hub instead of earlier being a China dumpyard for China exports.

Is India not became a great manufacturing hub as taxes were reduced to 15% (computing all 17% taxes around) between October 1, 2019 and March 31, 2024. This single decision how it helped India to grow is significant and keep India to participate in global race of becoming great manufacturing hub.

Mainly it created huge number of manufacturing jobs in last couple of years.

When reduced taxes and GST slightly but not steeply, India can achieve more GDP growth. This will help India to become a 7 Trillion USD economy easily in next 5 years under BJP Government.

For this India needs to achieve 10.7% growth every year. Tough job but possible job considering India GDP to Debt ratio is low and India has capacity to take more debt and spend on national growth subject to 100% of that amount should get into capital expenditure spending and not even 1% should be spend on other stuff.

Reason is whatever progress India is seeing currently we can see it is because of great growth achieved by India in terms of Infrastructure by means of good roads, railways and other infrastructure projects.

So as quantity of goods and services producing in India increases, India Government will be getting its share of Direct and Indirect taxes.

Let us say for example in India, in total there are 6,000 types of products and services, against each record, keep tax levying by India, US, UK, Rest of Europe. Then balance the taxes properly so that tax levied in India will not be higher than the average of US, UK and Rest of Europe. But while preparing the above data, please go as granular as much as possible considering similar data is available for US, UK and Rest of Europe. This will help to estimate where to balance taxes properly. On searching over internet categories came as around 400 and considering 15 sub categories on an average, in total there will be 6,000 records. But if possible make this 6,000 as 12,000 also for increase clarity in assessment.

On using cloud services by individuals, charging 18% GST is much more in India. So divide cloud services based upon Individuals usage : Cloud Services, Enterprise usage : Cloud services. For individuals keep this as 10% and 18% GST is very high amount for which value of cloud service will be 0 at the end of last day. So while deciding taxes, one should have sufficient domain knowledge as well. So hire specialists in each key area. Even if deployed 20 honest officers at India level, it is gain to India if they can take proper decisions and assist India FM in making decisions by providing proper inputs.

Then more products and services companies will be established in India by means of domestic funds and FDIs.

This makes India financial status very strong and healthy.

Also worth to reduce income taxes in India bit more than what it is now. It will increase spending capacity of Indians and it helps to flourish businesses in India.

Considering India population as 143 crores as on start of Jan-2025, around 69% of people will be between 18 and 64 years. That makes 99 crores of Indians can be productive to produce goods and services in India.

So if India reduces slightly taxes in India, more percentage of 99 crores will turn as workable workforces that works for India growth.

So all India needed is 10.7% growth to achieve 7 trillion USD economy. Bit aggressive target but possible target. Indians should build mindset like Japan people. I haven't went to Japan but hear from the mouths who lived in Japan and how they will work for their growth and national development. India Government should take measures to build right attitude in the people. So mainly it should work to build right attitude in all leaders first.

Currently also India GDP can be taken as 0.4 trillion USD higher than displayed values in India when we compute all possible informal market value of goods and services that is getting produced.