In this episode of 'Editorial', HW New' Managing Editor Mr. Sujit Nair speaks on the US Government's DOGE's initiative to save $3 Trillion, take 20% of the total savings [$400 Billion] and share it with the ~79 Million U.S. tax payers, calling it the "DOGE Dividend. Mr. Nair also shares his thoughts on how to improve bureaucratic efficiency in India.
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[00:00:00] Namaskar! Welcome to another episode of Editorial. Now, as a taxpayer, just imagine one fine day you get a mail from Government of India, from the Ministry of Finance.
[00:00:19] You get a mail. And in that mail, there is a 5000 rupees check. And with a letter saying that, listen, taxpayer, you paid taxes, but we, the Government of India, we were so effective, so efficient, that we managed to make excess money.
[00:00:42] We saved a lot of money in our expenditure, in our trade, that we are sharing that profits with you. So here, this 5000 rupees for you, thank you for paying your taxes. Imagine how would you feel? Let's talk about this. Let's get right to the show.
[00:01:05] A lot of you may just be saying that, are you dreaming? Are you dreaming the Government sending us, whenever you get that, that whatever, that brown colour envelope, normally 99.99% it is some kind of a notice, some kind of a bad news, some kind of a assessment note, some kind of a, it can never be something where the Government is giving you something. It is always when the Government is taking away something.
[00:01:36] This is what a typical taxpayer in India feels. That I paid taxes, because if I don't pay taxes, the taxman will come after me. A typical Indian does not pay taxes, because he or she wants to pay taxes, because he or she believes that, okay, the Government is working for me, or the administration is working for me, so I don't mind paying taxes, because end of the day, I am getting great service.
[00:02:04] I go to my favourite restaurant, I pay extra in that restaurant, because that restaurant treats me well, I get good service in that restaurant, I don't mind paying more in that restaurant. That is the same funda, I don't pay more to the Government, my country, my Government, because the Government is providing for me, the Government is giving me better service. So I don't mind paying more.
[00:02:29] How many of us can cross our hearts and say that we do this because we feel that we get great service. A lot of us may say that as an Indian, it is our duty to pay taxes, which is correct. A lot of us may say that, and most of us, who are honest, may say that, Baba, that taxman will come after me, otherwise, you know, so I am paying taxes.
[00:02:50] Point is, is this correct? And mind you, let us not draw this to any political conversation. This is not about one particular Government, I am talking about Government, right from the day one, our Governments, I don't mean one Government, I am sure you understood this.
[00:03:07] Now, the point that I spoke to you, what if one day you get 5000 rupees, 10000 rupees, whatever, an amount in your mail, where the Government says, here, your money, you invested in your country, your country saved this money, here you are, take it. You will feel very proud and you will feel for the first time, the Government is working for you. The Government is effective. Is there a better way to prove?
[00:03:36] Now, for a lot of you all who must be thinking that I am dreaming or something or I am living in some other Rara land, let me tell you, the Government of Singapore had done it. The Government of Singapore had returned around 300 odd dollars to the citizens of Singapore, the taxpayers of Singapore saying that, listen, you know what, we have saved money, we have excess money, so take back. This much tax amount now, you take back. Yours.
[00:04:09] That's effectivity. That's effective. That's what you call Government efficiency. Then let them, let somebody stand in the podium and say, I am Vishwaguru. Then let somebody stand in the podium and say, I have chased the country. Then let somebody stand in the podium and say that, listen, I stand for development. I stand to ensure I am one of the best administrators that the country has ever seen. Let them stand in the podium and say that. Till now, we have not seen anybody say that.
[00:04:37] You see, the concept is that only 2% pays taxes, only 3% pays taxes. That's the concept. That's the concept. And the concept is here. We have collected 11 lakh crores. We have collected 22 lakh crores. The point is, is any, has any government of India, any government has ever come and told you that, listen, you know what, 2% pays taxes.
[00:05:03] I will ensure that 11% pays taxes. You know, how will I ensure 11% pays taxes? By ensuring that I put enough money in people's pocket. That is above my 12 lakh limit. That is above my 12 lakh limit. I put enough money in people's pocket so that they can come and pay taxes. My guarantee. That's efficiency.
[00:05:53] That's efficiency. 15 lakhs and I will charge 15% tax or 20% tax from you. But I will ensure you make 15 lakhs a year. That's growth. That's growth. That's when you see your country developing. That's when you can say, oh, your country is rapidly towards development.
[00:06:12] Now, the reason I wanted to talk to you about is, you know, I'm again going back to United States, Donald Trump and his favorite Elon Musk. Now, I'm not a great fan of Donald Trump. I'm definitely not a great fan of Elon Musk.
[00:06:35] But there is something that they have created, which is called as Department of Government Efficiency, Dodge Department of Government Efficiency. Now, as of now, it is all an idea. It is all an idea. Nothing is in reality. Nothing has happened. It is all talks. But you see, to my mind, they are kind of thinking in the right direction.
[00:07:00] To my mind, I think it is not a bad idea for us in India to have that kind of experiment. I will tell you what I mean by that. You see, this Dodge, this Dodge claims that they are targeting at 2 million in total of savings. They are going to ensure that the government saves 2, sorry, not 2 million. My apologies. My apologies.
[00:07:29] They are going to ensure that the government saves around 2 trillion dollars per annum, per year. And what they are trying to do is 20% of the total Dodge savings, that is 400 billion, to be returned in to the 79 million US households that has been paying taxes, income tax for current year 2020.
[00:07:59] And that money is going to be paid for the $1,000,000. And that money is going to be called as Dodge Dividend. Not bad. Not bad. Not bad. Not bad. Not bad. I save from the expenditure of the government.
[00:08:14] I do better deals for the government when the government is purchasing oil, when the government is purchasing coal, when the government is purchasing coal, when the government is purchasing other things. I do better deal for the government. I make government agencies, government offices, government, some government companies which are still existing. All these more effective. I make railways more effective. I make government departments which are could be revenue generating.
[00:08:43] departments more effective. I make their deals more effective. I make money for the government. And if that money is made, possibly government will be in a position to share the savings with the taxpayers. Saying that, listen, you haven't paid, you haven't just paid tax as a duty to the government of India. You have invested in the
[00:09:09] government of India's growth. And you invested, no? Here is a dividend. You tell me how would a taxpayer feel? You tell me how would an Indian feel? And isn't that the real growth? The point is, like I said, how many of our government leaders, how many of our leaders, our ministers would dare
[00:09:34] come and tell you this? That, listen, I will save the money. We will save the money. We will be more effective. We will get you, you know, whatever we save the money, we will share it with you. How many of government ministers and your leaders and others are going to tell you this? They will not. They will not. I have been constantly telling you. They will talk about Hindu. They will talk about Muslim. They will not talk about this because this is very difficult to get. You know, this government
[00:09:59] dividend is very relevant. Relevant, especially at this point in time. You see, here, our governments are busy pleasing us or luring us by giving freebies. How are freebies? From our pocket? From our taxes? For a change, let the same government say that, listen, the taxes you give, I will put in effort.
[00:10:28] I will put in my effective effort and ensure with my talent, my efforts, I will get profits out of it. I will get more revenue out of it. I will save money for you and that money, I will give it to you. Now look at how it sounds. Now look at how it sounds. This is growth. This is growth. And this is the
[00:10:53] answer for freebies. You go ahead, give people money, but earn that money and give people. Do not take it from one and give it to another for your political benefit. And that's precisely why, like I said, this makes all the relevance under the current circumstances.
[00:11:13] Today, you are giving freebies from a deficit budget. Your state is in budget deficit and you are giving freebies. Create surplus, make more money, make surplus money and then you give, distribute it.
[00:11:35] The second point that I wanted to make is somehow aren't we taking our administration for granted? Our administration for granted? So this young man who passes his UPSC becomes an IAS stroke IPS stroke IRS or whatever. He or she becomes an IPS IRS and he enters the government services and then the only thing that
[00:12:02] happens to him or her is grow. Is grow. He or she starts from the base and grows, grows, grows, grows, grows, grows, grows, grows, grows, grows. Whether that person is effective, super effective or not. There is no that much impetus on that.
[00:12:24] Whether the person is close to the government in power or not close to the government in power. Whether the person succumbs to everything that the government in power tells that person him or her to do or not do is something that is imperative, that is very effective, that is very important. And if he or she listens to everything that the government says, the person may grow fast at a rapid pace without technically proving anything to anybody.
[00:12:52] One particular day that person will be looking after education, the second day the person may be a secretary for call. Are you? What relation is it? Now tell me if a person who was looking after education till yesterday is now going to negotiate coal mines and with coal miners and form policies for coal in India.
[00:13:17] What kind of efficiency do you think you can expect from that particular administrative head? How are we expecting efficiency? Why is government not looking at lateral appointment? Why is government not looking at lateral appointment?
[00:13:45] Forget lateral appointment. Why is the government not having midterm test processes?
[00:13:53] If I am a DCP, if I have to be an additional commissioner of police, then shouldn't I be passing some kind of a test to prove that it is not just the will, whims and fancies of the particular politician who gets me the promotion. It is also my skill, my experience, what I have learned all over these years.
[00:14:23] Shouldn't I be proving that? Shouldn't a joint secretary be proving that when he or she gets promoted? When somebody becomes an additional chief secretary in a state, shouldn't he or she prove that my experience, my efficiency and the fact that I am skilled enough to take over as possibly the head of that entire department, which is additional chief secretary.
[00:14:45] Shouldn't that person be giving tests? Shouldn't those tests be there in every, every, every part of their growth, which will ensure that that person is not dependent on a politician to make them grow, make him or her grow, but he or she is dependent on his or her own efforts and intelligence and efficiency.
[00:15:07] Simple thing. Simple thing. If such efficiencies are built, you never know. These officers will be cracking better deals for us. These officers will be putting better impetus onto the, onto the, the, the department they are heading. These officers will not only ensure that the department does well. These officers will ensure that people earn money, which means the common man earns money.
[00:15:37] People earn money here will be something completely different that they ensure anyway, but I am saying a common man earns money. A common man earns money. If the particular person is efficient enough and he is looking, he or she is looking after a particular department. That particular department can help thousands and thousands and thousands and thousands of entrepreneurs, small entrepreneurs, big entrepreneurs to earn money, to, to, to do good business.
[00:16:08] Isn't that something that we can easily do? These are things that Dodge is talking about. These are things that Dodge is talking about. Dodge is talking about administrative efficiency. Dodge is talking about. I think we should take a leave from that, that program of theirs. Whether they are successful or not, whether Elon Musk makes it successful or not, I don't want, I don't know, I don't care.
[00:16:35] But, for all you know, we can make it successful in India. And I tell you, that's not a bad idea. This is the point I wanted to make, till I see you next time. That's tomorrow at 10. Namaskar. Stay ahead with our cutting-edge news app. Instantly access the latest shots in just one minute and breaking news in just 50 words. Download now for a smarter, faster news experience.