The Budget 2005 has not only brought in the concept of EET ( as against both EEE and EET prevailing earlier for different schemes). As Dr Garg has rightly pointed out EET is nothing but deferment of taxes. I suppose we will have to live with that. I only hope that the amounts deposited by all of us till 31 st march 2005 under the "the then" EET are not taxed by FM when withdrawn by us hereafter after the respective lock ins. And unless all taxpayers make a big noise , I am sure this is bound to happen. I am saying this based on the experience of current years budge with reference to honest tax payers who are in receipt of pension. Let me explain Till alst year a senior Citizen whose income comprised of Pension and Bank interst was eligible to get deductions under section 80-L ( Rs 15000/-), under section 80-B( Rs 20000-for Senior Citizen), Standard Deducion-Rs30000/-. Thus his toptal income upto Rs 198,333 was totally tax free if its source was pension of not less than Rs100,000 and bank and Govt securites interest income of not less than Rs12,000 and Rs3000 respectively. Now fro the same level of income and from sa,me sources, he /she will be paying tax of Rs. 2666.6
