oppn parties Financial Year: Is Jan-Dec Better?

News Snippets

  • In a first, the Supreme Court recognizes marital rape, although for the limited purpose of allowing married women the right of abortion up to 24 weeks if they conceived as a result of forced sex by their husbands
  • Air India cuts discounts on base fare to students and senior citizens from 50% to 25%
  • Mallikarjun Kharge and Digvijay Singh are being touted as frontrunners to take on Shashi Tharoor in the elections for the post of Congress president
  • Sonia Gandhi will decide who will be Rajasthan CM if she feels there is a need to change guard after the near-rebellion by MLAs in the state
  • Ashok Gehlot bowed out of the race for being Congress president after meeting Sonia Gandhi
  • India has moved to the 40th spot in the innovation index, up 6 spots from last year
  • DGGI has alleged that top insurance companies, banks and NBFCs has committed a fraud of Rs 800cr by claiming input tax credit without underlying supplies
  • The Centre will borrow Rs 10000cr less than planned earlier due to good revenue collections
  • At $23.9bn, India's current account deficit widened to 2.8% in Q1, the worst in four years
  • Stocks continue to flounder on Thursday: Sensex sheds 188 points to 56409 and Nifty 40 points to 16818
  • The 36th National Games were declared open on Thusrday by PM Modi in front of a record crowd in Motera near Ahmedabad
  • Jasprit Bumrah most likely to miss T20 World Cup due to recurrence of back injury
  • PFI's political wing, the SDPI is on EC radar and action will follow soon if discrepancies are detected
  • Ashok Gehlot to meet Sonia Gandhi today, says all issues will be sorted out soon
  • Referring to the PFI ban, most Muslim organizations ask the government to take similar action against right wings organizations like the RSS, Bajrang Dal, VHP and the like
In a landmark order, Supreme Court rules that all women, married or unmarried, are entitled to safe and legal abortion up to 24 weeks of pregnancy as per the MTP Act
oppn parties
Financial Year: Is Jan-Dec Better?

By Ashwini Agarwal
First publised on 2017-04-24 16:14:51

Should India move to a financial year from January to December? The prime minister pitched for it when addressing the NITI Aayog meeting on Sunday. Before that, there were whispers in the corridors of power that the government was thinking along that line ever since the Shankar Acharya committee had recommended the same. Although the advancement of the date of budget presentation to February 1st instead of 28th was explained away as a move to ensure that budgetary expenditure was ready to be undertaken from April 1, many had said that the move was also in order to gradually advance the budget to bring it to November, in preparation for a move to Jan-Dec financial year.

There is nothing wrong in such a move. In fact, since the British had set April-March as India’s financial year only to align it with the practice back home, the time is ripe for India to break with the colonial legacy and bring its financial year in line with what is followed in the rest of the world. With a pitch for Make in India, a host of MNCs and other smaller foreign firms are coming to work in India. It is extremely difficult for them to maintain records for two types of financial years – one in India and another for the mother country.

No change is easy. This change will also create confusion for some time. It will also entail a cost. But once the change is fully implemented, the benefits will be immense. There is a cost in changing names of roads and towns too. But that is being done with abandon in our country. Hence, this change should not be denied just for the cost. There will be benefits if the budget is presented in November as it will mean that the government will have more precise data about monsoons and crops with it. If it is true that the move will be beneficial to the economy, all else does not matter. It will all fall in place over time.