There's some discussion on doing away with Income Tax in India altogether. I think it's a bad idea. I'm not an expert but here's my take.

1. IT has been a way to subsidise goods and services for then poorest of poor. Through these subsidies, the economically backward section of our country make ends meet.

2. Removal of IT means the government cannot fund subsidies.

3. So they will go the indirect tax route. All goods and services will be more expensive - for everyone, including the poor.