Income Tax exemption limit should be increased to Rs. 4,00,000. A flat rate of 30% tax should be calculated on the taxable income which exceeds Rs.4,00,000. Exemption under chapter VIA -u/s 80C should be scrapped. Exemption for conveyance/transportation allowance Rs. 800 PM and HRA Exemption should be scrapped.
RE:Increasing the Exemption Limit & Reducing the Tax Rate,
by vitthal dehadray on Feb 19, 2007 02:41 PM Permalink
There is no point in scrapping HRA exmption,as this is a exemeption allowed to homeless who can not , in thier present conditions, afford house. When there are special concessions available to house-owners in the form of deduction of interest, etc. there is absolutly no retionale for screpping HRA exmeption.
