New Delhi: In a sign of a new sweeping shift in the Indian economy the central government is preparing for a radical overhaul of the customs framework in India. After having reshaped the tax system by implementing GST adjustments, the government under the leadership of Prime Narendra Modi is now preparing to overhaul the customs system. Narendra Modi is now preparing to overhaul the customs system – aiming to create a more transparent system and less complicated, as well as much easier for both business and citizens to navigate.
The Finance Minister Nirmala Sitharaman, in a recent speech, emphasized that the structure of customs has reached a point at which minor tweaks aren’t sufficient. She stressed the need for an “complete reform” is required to end the frustration that is long that is associated with the procedure.
Sitharaman on Coming Changes
In her remarks on the forward-looking strategy of the government, the Finance Minister pointed out that the changes that have transformed India’s Income Tax system — greater transparency, simplified administration as well as the introduction of a faceless assessment –should now guide the change in the customs process. Technology, she added must be at the forefront in order to cut down on delays, eliminate decision-making based on subjective opinions, and speed up the process of clearing goods at ports.
The Road to Follow Following GST Reforms
This year, government put through significant reforms, including GST rate rationalisation and the simplification of income tax processes. These reforms were aimed at helping improve consumption by boosting disposable income as well as ease the burden of compliance.
The HT Leadership Summit, Sitharaman spoke of the necessity of modernizing customs “We need to complete a re-design in customs… we require customs to be simplified so that people don’t think compliance is a burden. It is imperative to make the system easier to understand .”
The reforms proposed by the government point to the future in which customs procedures are faster, more clear and much more efficient – setting the conditions for smoother trade and a more friendly tax system across the nation.
