1 July 2025 : Daily Current Affairs

1. Maharashtra scraps new three-language policy

Source: The Hindu, Page 8, july 1, 2025

Topic: GS Paper 3: Economy (Taxation, Public Health)

Context

As India completes eight years of the Goods and Services Tax (GST), experts have highlighted the need for reform, especially regarding tobacco taxation, which has serious public health implications.

Content: 

Background on GST:

• Introduced on July 1, 2017, GST replaced multiple indirect taxes (VAT, excise, service tax).

• Aimed to create a unified national market under “One Nation, One Tax.”

• GST collections for 2024–25 stood at ₹22.08 lakh crore (9.4% YoY growth).

Concerns in Tobacco Taxation:

• Despite tobacco causing 3,500 deaths/day and costing 1.4% of GDP (2017), taxation remains weak.

• GST has not seen major increases in tobacco taxes since its introduction.

Structural Weaknesses:

• Reliance on ad valorem taxes rather than specific excise duties.

• Excise duties dropped from 54% to 8% for cigarettes; similar drops for bidis and smokeless tobacco.

• Bidis, widely used by the poor, are not even under GST compensation cess.

Illicit Trade Argument Debunked:

• Industry claims 25% market share is illicit.

• Independent studies: only 2.7%–6.6% is illicit; enforcement quality matters more than tax rates.

Way Forward:

• Raise GST on tobacco to 40% (peak rate allowed).

• Reintroduce specific excise taxes.

• Extend GST compensation cess beyond March 2026.

• Implement WHO protocol to eliminate illicit tobacco trade.

Practice Question:

“Tobacco taxation in India remains a weak link in the larger public health and fiscal policy framework.” Discuss the challenges and suggest reforms in the GST structure to address these issues.  (250 words / 15 marks)

2. ECI’s Rushed Electoral Revision in Bihar Risks Voter Exclusion

Source: Page 8, The Hindu, July 1 2025

Topic: GS Paper 2: Polity & Governance (Electoral Reforms)

Context

The Election Commission’s Special Intensive Revision (SIR) of electoral rolls in Bihar before elections has raised concerns about disenfranchisement.

Content:

Concerns Raised:

• Timeline is rushed; huge number (approx. 4.74 crore) must submit documents quickly.

• Bihar lags in birth registration—poor have limited documentation.

• Aadhaar and ration cards are not accepted as valid proof, despite being widely available.

Exclusion Risk:

• Verification list from 2003 includes 4.96 crore, but 1.8 crore may have died or migrated.

• Actual eligible list for relaxed norms is about 3.16 crore.

Recommendations:

• Conduct SIR over an extended period across India.

• Complete before 2029 General Elections, not before state elections.

• Expand acceptable documents to include accessible IDs like Aadhaar and ration cards.

Practice Question:

“What are the key challenges in ensuring inclusive electoral rolls in India? Discuss with reference to the Election Commission’s recent initiatives in Bihar.” (250 words / 15 marks)

3. Amaravati to have operational Quantum Computing Centre by January 1: Naidu

Source: The Hindu, Page 6, July 1, 2025

Topic: GS Paper 3: Science and Technology (Quantum Technology, AI)

Context

Andhra Pradesh CM N. Chandrababu Naidu announced the operationalisation of a Quantum Computing Centre in Amaravati by January 2026.

Content:

Highlights of the Project:

• Amaravati to be developed as a “Quantum Valley,” akin to Silicon Valley.

• Project supported by IBM, TCS, L&T.

• Target of 100 use-cases by August 2026 showcasing India’s AI-Quantum leadership.

Vision and Impact:

• Aims to make India a leader in emerging technologies.

• Promotes synergy between AI, data science, and quantum computing.

• Encourages public-private partnerships in deep tech infrastructure.

National Relevance:

• Aligns with India’s National Quantum Mission (₹6000 crore, launched 2023).

• Potential to boost cybersecurity, drug discovery, weather forecasting.

Practice Question:

Discuss the strategic significance of quantum computing for India’s future technological sovereignty. What steps are being taken at the State and national levels to advance this frontier. (150 words / 10 marks)

Prelims Facts

1. Amaravati to have operational Quantum Computing Centre by January 1: Naidu

Source: Page 6, The Hindu

Topic: GS Paper 3: Science and Technology (Emerging Tech, AI & Quantum)

Context

Andhra Pradesh CM N. Chandrababu Naidu announced that a Quantum Computing Centre will be made operational in Amaravati by January 2026, supported by major industry players.

Analysis of the news:

Project Details:

• Goal: Develop “Quantum Valley” like Silicon Valley.

• Collaborators: IBM, TCS, Larsen & Toubro.

• 100 “use cases” targeted by August 2026 to showcase applied quantum-AI potential.

Relevance to India’s Tech Goals:

• Aligns with India’s ₹6000 crore National Quantum Mission (2023).

• Supports India’s vision to lead in AI, quantum cryptography, and simulation.

• Encourages public-private-academic synergy.

Benefits:

• Enhances India’s digital and technological infrastructure.

• Potential applications in cybersecurity, material science, finance, and climate modeling.

Check more: 30 June 2025 : Daily Current Affairs