Union Budget 2017: If You Are An Average Salaried Employee, You’ve Been Screwed, Yet Again!

Another Union budget has come and gone and as always the salaried class will be disappointed, if not frustrated. If you think that the Finance Minister has given you a break by reducing the tax to 5% from 10%, think again.

The base tax slab which has been untouched for years have been left that way and this tax rebate is only for people getting salaries between Rs. 2.5 Lakhs to Rs.5 Lakhs. According to the data from the Government of India less than 1% of the population pays taxes. This mostly comprises of the salaried class for whom employer directly deduct taxes and you get what is left after Government takes its share.

It is an open secret that many small businesses, even a paan shop owner makes more than Rs. 5 lakhs a year and in most cases pay zero taxes. Then the question remains, why is the salaried class squeezed to the pulp when others are left scot-free? If you are earning above Rs.50 lakhs, you’ll be even more disappointed, the government has decided to add an additional surcharge of 10% to your income.

In another words, either you invest in long term bonds where the Government gets to keep your money for years at a stretch or you lose directly in taxes. Considering long term inflation and other economic shifts, it doesn’t take a genius to figure out that this is a losing battle. Either you try to start a business or stay an employee hoping that someday the government will understand your plight and give you some breaks.

I’m not against this Government, the opposition or anyone else, but as an average salaried middle class employee who pays taxes on time in addition to service taxes, VATs and every other CESSs, I feel I’ve been screwed, yet again!

For complete tax slab, go to the Next Page.

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