The time has come for a states income tax

What better way is there to empower states than for them to have their own income tax and have a greater degree of financial independence?

India’s public finances have always been in very dire straits. Basically, neither the central government nor the states ever have enough money to do what they need to do.

The pandemic has made the situation very much worse. Incomes of both labour and companies have plummeted and, a few months down the line, so will tax revenues. 

Overall, the aggregate demand curve has shifted downwards for the rest of this decade. 

Fiscally, therefore, we are back to where we were at the beginning of the 1970s because after two and half wars in 1962 and 1965, and two back-to-back droughts