The govt has set Rs 1,00,000 as a limit above which 5% will be charged as tax i.e Rs.5000/-.The savings Rs 95,000. Monthly Expenses: House rent: Rs 5000/- which becomes Rs.60000 at the end of the year
Savings: Rs 35000. Electricity Bills and phone:4500/- per month which is Rs 54000/- per year, Savings:-19000.
Thus u see Rs.100000 is no enough for meeting even daily expenses. The govt of India has to serious think about reconsidering the tax situaton.
Income tax must be levied only on those people who have an income of Rs 500000 or above.
We are already paying lot of money towards TAX every day, e.g. Indirect Taxes we pay for our Electricity , Telephone Bills, etc. over and above this we are also paying increased Cost of Living due to raise in petrol / diesel prices due to Indirect Taxes changed on these.
Don't you all think that there should be such a system which treats all Individuals in same manner irrespective of whether he is business man or salaried one ?
RE:calculations
by Niranjana Koodavalli on Feb 19, 2007 02:03 PM Permalink
I don't agree with sonal that IT should be levied on those people who have an income of Rs 5 lakh or above. Even people who have moved to 5 lakh bracket and above deserve a decent living. Looking at the rate at which inflation is raising, Rs 5 lakh is = 50000 Rs. or so.
There should be more rationale in fixing taxation. Business class always gets away from taxes. Most of the business owners are supposed to pay Service taxes and they collect from individuals hence increasing our burden.
