The soft corner of the NDA government for the corporates ad MNCs are now an open chapter. The government has now decided not to go on appeal against the decision of the Mumbai High Court cancelling the Income Tax demand of the government on Shell for Rs.18,000 crore and on Vodafone for Rs. 3,200 crore towards transfer pricing cases. The justification for not going on appeal is on the plea that it will give a wrong signal to the foreign investors and corporates.

Finance Minister Arun Jaitely’s statement is that  “Unsustainable demands won’t get you taxes”, meaning that the tax demand is not justified. He continued stating that ” They would have only earned us a bad name as an investment destination.” So, to get a good name from the foreign investors, the government is prepared to forego its valuable tax money.

It is not the due tax from Vodafone and Shell that will be lost. It is stated that  there are 20 more such tax cases and if all those cases are let of, the government will be losing lakhs of crores of rupees. These companies include IBM, Nokia, Cairn etc.

It is the same government which gifts lakhs of crores of rupees to the MNCs and corporates that refuses to honour its commitments to the telecom PSU, BSNL, to refund its spectrum charges, licence fee etc.

Hugh Bonanza to the corporates and no support to PSUs! This is the NDA/BJP Government! Of course it is Achha Din for the Big business and Bura Din for the people and their democratic institutions!