This archive report was first published on 5 July 2019.
India's government is exploring innovative ways to boost tax compliance, with proposals to recognize and reward top taxpayers.
According to the annual Economic Survey, released on July 5, 2019, the top 10 taxpayers in a district over a decade could be recognized by naming important buildings, monuments, roads, trains, and initiatives in their name.
Other incentives could include faster boarding at airports and special 'diplomatic-type' lanes at immigration counters, as well as 'tax money at work' signs next to state construction projects.
The proposals aim to create a sense of social status and honour for taxpayers, and to promote the idea that paying taxes honestly is a desirable behaviour.
The number of Indians who pay income tax is low, with just 41 million individuals filing tax documents in the 2017-2018 financial year, out of a population of 1.3 billion.