Corporate Taxation In India Challenges And Policy Recommendation For Enhancing Competitiveness

Mariadas Boby, BA LLB, School of Law, Christ Deemed to be University, Bangalore

ABSTRACT

The paper delves into the intricate landscape of corporate taxation in India, analyzing the challenges it faces and proposing policy recommendations aimed at enhancing competitiveness in the global economy. India's corporate taxation system is a fundamental driver of government revenue and economic development. However, this paper highlights the significant challenges that currently plague the system, including issues of tax evasion, avoidance, transfer pricing, regulatory complexity, and tax disputes. In response to these challenges, a set of well-researched policy recommendations is presented, with the goal of revitalizing India's corporate taxation framework. The proposed reforms span tax laws, administration, compliance, and dispute resolution, drawing inspiration from international best practices while considering the unique needs of the Indian context. The implementation and impact assessment of these recommendations are also discussed, exploring the feasibility of enacting these reforms and the potential obstacles they may encounter. Additionally, the paper conducts a comparative analysis of India's corporate taxation system with those of other nations, extracting valuable lessons from international practices. Ultimately, this research paper underscores the importance of enhancing the competitiveness of India's corporate taxation system. By addressing the identified challenges and implementing the proposed reforms, India can position itself as a more attractive destination for business and investment, fostering economic growth and development. This study offers a robust foundation for further research and policy evaluation in the realm of corporate taxation in India.

Keywords: corporate taxation, challenges, policy recommendations, competitiveness, tax evasion, tax avoidance