Role of Digital Economy in India’s Growth
Of course, in the midst of covid-19, the digital economy in the country is seen moving forward by leaps and bounds. While there is a visible saving of time, money, and labor in the traditional economic activities being carried out due to the digital economy in the country, there are three bright economic importance of the digital economy for the country. One, digital tax is emerging as a new and ever-growing source of income for India. Second, new employment opportunities are increasing in the digital economy and third, the multi-faceted benefits of digital transactions are increasing.
It is worth noting that the new digital tax imposed by India on global digital companies is showing an effective role in the country's income. It is to be known that it has been ensured to levy a digital tax of two percent on the business and services done by foreign digital companies having an annual turnover of more than two crore rupees in India.
In fact, digital tax is imposed on the income earned by foreign e-commerce companies in India. The purview of this tax includes e-commerce companies from all countries of the world operating in India. The Income Tax Department of the country has issued a notice of legal filings to more than 24 non-Indian e-commerce companies for payment of the first installment of digital tax. Taking objection to this, America's digital companies Amazon, Facebook and Google, etc. have complained to the US Trade Representative's office. It has been said that they will have to pay a large amount in the form of digital tax, which is not suitable.
Undoubtedly, with the rise of the digital economy, the bright scenario of a large number of employment opportunities coming into the hands of the new generation of India has rapidly progressed. The report 'Digital India: Technology to Transform a Connected Nation', published by the world-renowned McKinsey Global Institute, states that while the digital economy in India will generate about 6 to 65 million jobs by the year 2025, due to digitization About 4 to 4.5 crore traditional jobs that were in crisis will be wiped out. Nevertheless, the digitization of the Indian economy will see more than 20 million new jobs being created.
It is also important that due to the rapid growth of digital transactions under the digital economy in the country, the path of ease of transactions and a corruption-free system is moving forward. Digital transactions in India stood at around $64.8 billion at the end of 2019, which is expected to more than double to reach about $135.2 billion by 2023. In such a situation, India will overtake China and America in terms of an increase in digital transactions. Zambo is a secure and easy platform to make digital transactions. Zambo allows you to do phone recharge, make bill payments, money transfers, and pay your insurance policy premium. Experience hassle-free, quick, and secure transactions with Zambo.