Great effort. Needs to be lauded and supported.
Comments/additions inline.

However,  lets  keep two issues of taxation and FLOSS separate. It may
confuse the issue and may be too much for the babus to comprehend.

I  did  get  a  reply  for  my mail to [EMAIL PROTECTED] on issuing
various  smartcard  based  identity cards and their inter-operability.
Got  a  very no-brainer reply from one of the babus handling this mail
id.

So its important to ensure that the message reaches the right person.

I've sent mails to [EMAIL PROTECTED] on:

(a)  the  security  risks  in using M$ software and use of open source
software by govt.

(b)  adopting  open source software development methodology to develop
software for govt use (specially e-government).

Related but not relevant to this letter :

I've  been  trying  to  find  if  there  is  a  law preventing forcing
buyers  to buy bundled items (as Window$ with a PC). I guess, there is
one  thats  why  all the whitegoods/FMCG bundled offers state that the
item  is  also available without the bundled stuff. If we can find the
regulation/law, the case is won (partially).

Is  any  one on this  list  from  a  whitegoods/FMCG company and can ask
his/her legal dept to locate the relevant law/regulation?



Best regards,
Atul
 [EMAIL PROTECTED]
°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°°
Friday, March 7, 2003, 3:52:28 PM, you wrote:

L> [first draft: please submit your suggestions, changes. once a final draft is 
L> ready, will post it so those interested may sign or contribute their name to 
L> it. will then forward this to the indian finance minister and others in the 
L> government.]

L> [cross-posted, 
L> and further cross-post, especially to other mailing lists, if required]

L> ***

L> Dear Sir,

L> Re: Levy Excise Tax on All Commercial Software Sold in India.


L> We, the undersigned, propose the Indian Government levy excise tax on all 
L> commercial software sold in India. Reasons:

L> 1) Commercial software (C.S) is a big cash drain for both the Indian 
L> government and Indian corporates.
And the money goes out of India.

Also the cost of development in most cases has been long recovered and
the  present  physical  cost  of  the product is very low (only CD and
copying,  manuals  if  any,  covers and shipping), thus the commercial
software vendors now earn a huge profit.

With  a  commercial  software,  we  are  tied  down to using only this
proprietary  software or its later releases (at considerable expense).
This makes it a money spinning business.

The vendor's risk is minimal(EULA). In some cases (M$) the warranty is
limited  to  replacement of media. There is no support, no guaranties,
no assurances of intended purpose, no uptime guarantees. So the vendor
does  not  spend  anything  after  selling  the software making it the
highest profit business.

L> 2) Almost all commercial software are non-free. This means, they do
L> not give the end users the freedom

L>  i) to use the software for any purpose
Not understood/context may please be added.
L>  ii) to study the source code of the software
L> iii) to make changes and improvements to the source code
L> iv) to legally share copies of the software with their neighbours and colleagues.
L> v) to pass on such freedom to those who further receive the software.


L> 3) these freedoms are important for a developing, poor, country like India, 
L> where every citizen, organization, and state, dreams of harnessing the 
L> opportunities offered by IT.


L> 4) these freedoms also significantly curtail strong anti-competitive 
L> behaviour in the software industry.

L> 5) countries like China are moving away from non-free software to 
L> freedom-based software. India has no such significant, clearly-defined 
L> initiative in place for adopting freedom based software.
And Peru, Japan, South Africa included (and MP, Kerala too)

L> 6) in the lack of such a clear initiative, commercial software vendors raise 
L> the stakes for both their competitors and for freedom based software. this 
L> further kills innovation in the industry.

L> 7) a large and significant percentage of commercial software is usually sold 
L> as bundled, OEM software. end-users find they are *forced* to use such 
L> software, since their requests to buy machines with such software uninstalled 
L> is usually turned down.

L> 8) indian customers usually find their *only* option is to buy the computer 
L> with the bundled software, then carefully disagree the end user license 
L> agreement (eula) of the bundled software preferably in front of witnesses, 
L> then contact the OEM software vendor independently and press for a refund. 
L> this is clearly anti-competitive. and the computer is perceived in cost as 
L> (hardware+OEM software as One).

L> 9) Commercial software companies are usually quite rich. Not taxing them 
L> allows them to hoard their wealth even more and give them more implicit power 
L> to quash their competition in commercial software and in freedom-based 
L> software.

L> 10) by taxing them, the indian government will immediately have more powers 
L> to i) accelerate the adoption of freedom based software. 
L> ii) fund the development of much-needed indigenous solutions in IT for india 
L> using freedom-based software (indian language technologies, education 
L> projects, free and freedom-based education software, more secure and 
L> transparant software for indian defense industries, lower IT infrastructure 
L> costs for indian government and businesses, etc.)

L> 11) by taxing commercial software and funding several projects in india on 
L> freedom-based software, the indian government also creates a quantum leap in 
L> the number of jobs and opportunities available to the indian developer 
L> community and IT industry, thus creating and sharing more wealth.

L> 12) the adoption of free and freedom-based software allows indian corporates 
L> to save considerable sums of money towards commercial non-free software, 
L> where the Return on Investment is loudly questioned. this money can then be 
L> used for further job-creating opportunities such as expansion of new units of 
L> industrial manufacturing, factories, etc. shareholders of indian companies 
L> will also benefit from stronger dividends due to stronger profit margins due 
L> to the adoption of free and freedom-based software.

L> 13) the already financially-starved education sector in India will gain, 
L> since the large allocation of funds for software in education can be used 
L> more productively, even for opening more schools instead.

L> 14) finally, as a statement of leadership and values, india must adopt 
L> freedom-based software that is being proposed to the UNICEF to be declared as 
L> a world-culture heritage.

L> We hope the Indian government sincerely considers these suggestions. For more 
L> information on what is freedom-based software, please check out www.gnu.org.


L> Bizarre as it sounds, when it comes to software: 
L> Give us Freedom, or Give Us Taxes.


L> Your Sincerely,

L> <signatures...>


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