The correct answer is: All of the above.
Sikkim is a small state in the Himalayas with a population of just over 700,000 people. It is a beautiful and scenic state, but it is also one of the poorest states in India. In order to improve the lives of its citizens, Sikkim needs to increase its revenue generation.
There are a number of ways that Sikkim can do this. One way is to attract investment in high-growth sectors. This could include sectors such as tourism, agriculture, and manufacturing. By attracting investment, Sikkim can create jobs and generate more tax revenue.
Another way that Sikkim can increase its revenue generation is to expand its tax base. This means increasing the number of people who are paying taxes and the amount of tax that they are paying. Sikkim can do this by simplifying its tax system and making it easier for people to file their taxes.
Finally, Sikkim can also improve its tax collection efficiency. This means collecting taxes more quickly and more accurately. Sikkim can do this by investing in new technology and by training its tax collectors.
By taking all of these steps, Sikkim can increase its revenue generation and improve the lives of its citizens.
Here is a brief explanation of each option:
- Attracting investment in high-growth sectors: This could include sectors such as tourism, agriculture, and manufacturing. By attracting investment, Sikkim can create jobs and generate more tax revenue.
- Expanding the tax base: This means increasing the number of people who are paying taxes and the amount of tax that they are paying. Sikkim can do this by simplifying its tax system and making it easier for people to file their taxes.
- Improving tax collection efficiency: This means collecting taxes more quickly and more accurately. Sikkim can do this by investing in new technology and by training its tax collectors.