Sharing Profits - What About Losses ?

Government wishes that Companies share their profits with the Govt. Well , the companies have been doing exactly that i.e. by way of corporate income tax paid to the Govt. by the companies. It is the Govt. which is supposed to spend it for the well being of Indians.

To have more resources for social spending our Govt. needs to lower the cost of governance . The bloated and very expensive bureaucracy  should be reduced .There should not be any wastage of tax payers' very hard earned money by way of stalling proceedings walk outs , under hand money etc etc. Governance should be simple transparent and pro people. 

If Govt, wants a share in profits in companies then what if a company makes losses . Will the Govt. foot the losses ?.

Indian companies need to be made globally competitive. Foreign investors have a very wide choice. Changing policies mid stream and whimsically does not speak well of our Govt.

There was no mention of sharing profits in the Coal India IPO prospectus. In view of the recent decisions on profit sharing , applicants should be given an option to reconsider their investment in the IPO .