Speaking on the sidelines of a series of talks on ‘Economic Survey: Taking stock of the Indian Economy’ Chief Economic Advisor Arvind Subramanian has asked the Centre to focus on the origins of black money rather than chasing it in all corners of the globe if it wants to avoid giving out a “wrong perception about India”.
He has also said that the perception of the tax system being somewhat arbitrary can play a role in this regard.
He said that it was more important to understand why we create black money in the first place and address those things.
He said black money sends signals of arbitrariness, tax rules, discretion and corruption.
These issues, he added, needed to be addressed seriously.
Black money, he said, needed to be thought of as a stock problem rather than a flow problem.