BENGALURU: Anil Bokil, the man credited to be the brain behind demonetisation move of the central government, has advocated that election spending by political parties should come under the scanner.
Speaking at an event here on Sunday, Bokil said that there was a need for transparency in the funds received by political parties and also their spending in election campaigns as they spent crores of rupees of money which comes from unaccounted sources.
“The government should find an alternative to taxes for revenue collection. The government should abolish all the existing taxes and charge bank transaction charges of 1 to 2 percent on every online transaction for revenues.”
Bokil further said, “A majority of the people in the country do not have enough purchasing power and hence there is no need for currency notes of value above Rs 50 or Rs 100 which can be demonetised. Cash transactions can be limited to a maximum of Rs 2,000 and these should be made tax-free.”
Bokil said that with further demonetization and restrictions on cash payments, people would have their money in banks which would, in turn, have more money to circulate in the system. “This will also result in government not going in for seigniorage _ that is printing of more currency notes.
A long-term effect of this is lesser rates of interest on loans and fall in the inflation rate,” said Bokil who presented these points as part of ‘ArthaKranti Proposal’.
Defending demonetisation move, he said that as a result of it a lot of unaccounted money had been declared in the country.