New Delhi, Jan 5 (IANS): The BJP Sunday stressed the need for rationalisation of taxation in India and promised reforms in this sector when it comes to power.

"People here live and die under the burden of taxes," Bharatiya Janata party (BJP) leader Arun Jaitley said at a programme organised by yoga guru Baba Ramdev's Bharat Swabhiman Trust.

"When we talk about black money, the fact is there is more black money in countries which have high rate of taxation. Rationalisation of taxation is, therefore, needed," said Jaitley, leader of opposition in the Rajya Sabha.

BJP president Rajnath Singh also said there is a need to reduce the burden of taxation.

"We want to reduce the burden of taxation on the people. We are weighing options," he said.

The comments came after Ramdev said once BJP's Narendra Modi becomes the prime minister, he should abolish all kinds of taxes and bring in a single tax in the form of a "banking transaction tax", as proposed by former BJP chief Nitin Gadkari.

"Transaction tax sounds like a good idea," said Rajnath Singh.

Modi, who was also present at the programme, chose to stay quiet on the issue.

Earlier, Gadkari had suggested a single tax system for the country and pitched for abolishing direct and indirect taxes in the country, which would be replaced by a flat banking transaction tax.