New Delhi, Sep 25 (UNI) Law Minister H R Bhardwaj today called for framing tax policies in such a way that they supports the government's fiscal position and provide a better business environment in view of globalisation and liberalisation.
''Globalisation and liberalisation of economy has led to growth of cross border transactions. So it is necessary that tax policies are so framed as to provide better business environment,'' Mr Bhardwaj said while addressing International Tax Conference here.
He said many Indian companies have become multi-national companies (MNCs) by acquiring companies abroad, and vice versa.
Tax policy provides an important lever for government intervention in economic development he noted.
Taxation is an instument with which a government mobilise resources to promote economic growth and reduce poverty.
It provide a higher economic growth and promote greater equity, he added.