1. Middle class people like us are facing tough times with increasing prices and fixed income. I work in a private company which does not give fancy salary or increments. I appeal to the FM to make the IT slabs like this: (a) Non taxable minimum: Rs.1.80 lacs p.a. (b) First slab - Tax on income over Rs.1.80 lacs upto Rs.2.40 lacs: 10% (c) Tax on income over Rs.2.40 lacs upto Rs.3.60 lacs - 15%. Please scrap all incentives and exemptions, remove education cess. I am not bothered about tax rate on income over Rs.3.60 lacs p.a. because I do not know if I will ever reach that level before retiring.
2. I am working for a HR placement consultancy. Some of my firm's clients do not pay service tax on our fees and the same is absorbed by us. If the service tax rate is increased from 12% to 14%, it will mean less profits for our firm and hence my salary also will stagnate. Please do not increase service tax rates. Please abolish education cess. If possible please reduce service tax rate to 4% like the first slab of VAT to increase volumes of business and higher revenue to Govt based on such healthy increase in business volumes.
