MyVoice: Views of our readers 3rd February 2025

It is a middle class-friendly budget

Though the salaried class seems to be rejoicing at the prospect of not getting into the taxpayers net up to an annual income of Rs 12 lakh. There is a condition that the taxpayer has to opt for the new tax regime (NTR). The old regime provides exemptions under 80C ; 80D interest u/s 24 and pension funds u/s 80CCD but none of these is available in the NTR except the usual standard deduction of Rs 75,000. The news that a new law on I-T will be introduced next week replacing the 64-year-old is surely welcome and much awaited. The emphasis on “Trust first Scrutinise later” is hoped to be carried forward and that incomes which attract taxes will someday or the other be scrutinised.

N R Raghuram, Hyderabad

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Post budget, cartoons in newspapers poignantly reflect the budget’s impact on middle class and highlights the struggles, resilience, and aspirations of common man. Every stroke of pen in the cartoons reminds us that despite economic challenges, we the middle-class have to be strong and united, as we silently fight our daily battles to save that one rupee. Truly, the common man is the backbone of our nation!

T S Karthik, Chennai

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The salaried class always expects benefits in the form of tax relief when the annual budget is announced. With the announcement of ‘nil tax’ threshold to Rs 12.75 lakh, including a standard deduction of Rs 75,000, a major jump from the previous Rs 7 lakh exemption limit, under the new regime in the Union Budget 2025, the salaried taxpayers must feel elated now. A higher-tax exemption limit with an increased standard deduction under the new regime is a big relief for the salaried class.

S Sankaranarayanan, Chennai

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Alround appreciations are being poured from various corners of the country on budget. But did anyone point out what was glaringly ignored? A group of people who are never considered as humans since BJP ascended the throne. This hapless lot is senior citizens. Their perennial urges for restoration of train fare concessions and hike of minimum pension to EPS-95 retirees are disregarded. It shows no absolute respect in accordance with this category.

Dr N S R Murthy, Secunderabad

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Substantial tax breaks will boost spending, increase consumption and spur growth to an extent. We commend the government for forgoing a revenue of Rs 1 lakh crore and putting it in the hands of the middle class. Welcome are also the initiatives announced for boosting the informal economy and the proposal to facilitate interest-free loans to the tune of Rs 1.5 lakh crore for states for infrastructural development and the policy decision to keep the fiscal deficit at 4.4% of the GDP. However, the budget scores are very poorly on the count of providing no tangible benefit to the impoverished multitudes for a tangible improvement in their low standard of living. The claim that it is a “people’s budget” and a “dream budget” is belied by proposing no concrete plan of action to generate jobs and tackle inflation and increase minimum wages and no increase in allocation for education and health care.

G David Milton, Maruthancode, TN

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Though AP did not receive the kind of funds Bihar received, the allocation of funds for VSP and Polavaram project is indicative of NDA’s concern to some extent. Income Tax being one of the major factors affecting the middleclass, this time the government gave a major positive push helping crores of individual taxpayers. I think there is however a catch to this much hyped new tax regime, as Income-Tax on income above ₹12 lakh gets taxed heavily. It is a jugglery of figures, but then a major relief to the middle class with less than ₹12 lakh per annum, no doubt.

Govardhana Myneedu, Vijayawada