Inputs Sought for Budget 2017
The Budget 2017 should bring Political Parties under the Income Tax Rules. Considering the size and standing of the Party, the number of states, local bodies and Central election in which it has been contesting elections, won, etc. suitable exemption limits may be fixed; above which the income should be subject to certain low level of tax/levy.
Every rupee received should be accounted, except small collections of Rs.100/ or may be 500/ which also should be disclosed as to where, when and why collected. In other words, the Political parties should be models for the general public.
Such eligible parties should be allowed Political Funding by the Central / State Govts. & by way of tax-free donations by Corporates, individuals, trusts, etc. but routed through Election Commission or a special body set up for the purpose. In other words, all funds to Political Parties should be open, official and its use subject to auditing and in compliance of rules.
It would be advisable to set up a working committee consisting of all parties of standing, apolitical and independent experts to discuss and arrive at a reasonable decision. more