India is a growing economy, government has fix the target to make it 5 Trillion
economy by 2024, which is seem very difficult target and BEPS makes it more
difficult because in the current and past practices company has done the business in
India but shifted the profit in the tax heaven countries, (BEPS means shifting
profit to low tax countries from higher tax country).
This practice is the main cause of the lots of slow economy growth of the India
after 1990 liberalization & globalization and the billion of rupees in the
foreign banks.
If India really want to improve from the roots and achieve the target of the 5
Trillion Economy then India need to make few but revolutionise changes in their
system tax System and FEMA (Foreign Exchange Management Act) because government
need to give space to Indian company to become the global companies with less legal
compliances and freely transfer of money.
India is having a so much legal compliance and restrictions for the International
business which is most of the time is a killing process for the small and medium
enterprises, and medium and small are the back bone of the country because of the
largest service provider of the country with the highest tax payer in proportion of
the turnover, I strongly believe that if government bring changes in FEMA and stop
the BEPS Practice of the bigger company then may be India will become a 5 Trillion
Economy in 2024.