Thread: Budget 2010

Due to a national holiday and week end, the finance minister Pranab Kumar Mukherjee is all set to present the budget on Feb 26 th instead of February 28 th. There are great expectations from UPA's 6 th budget. Since we do not have election around it may not be stuffed with people friendly suggestions. Each sector has its own demand on what the budget 2010 should offer. The main concern of salaried class is of new taxable income slabs. They have no other go as they pay tax at source. Last time it was a hike of mere 10,000. The salaried class which is the most consistent tax player demand a hike which makes the happy this time.

The limit for tax exempted invested should be hiked from Rs. 1,00,000 to 2.5 lakhs. Not sure whether it will end as a dream.

Yup income class suffer tax burden with savings and investment it can be reduced to some extent.

There are reports that with the next Financial year, the personal salaried income tax will be revised as follows:

0 to 1,60,000: No tax
1,60,000 to 10,00,000: 10%
10,00,000 to 25,00,000: 20%
Above 25,00,000: 30%

The exemptions under section 80 are said to go up to Rs. 3,00,000/- (from Rs. 1,00,000 today).

The bad news is:

- No exemption for home loans (principal and interest for self occupied property)
- Earnings from shares/MF to be taxed
- EET (Exempt-Exempt-Taxed) regime to come in. What this means that income from investments such as PF, PPF, LIC, etc. will be taxed at the time of withdrawal
- No perks for employees, i.e., all earnings under any head will be taxed
- Exemptions for medical bills reimbursements to be done away
- NSC, ELSS, Bank FDs and other such instruments will be no more eligible for exemption

getiing bad to worse scenario isnt it ???

i think taxes should be higher for people with large income.

Persons with large income , engage auditors to reduce their Tax liability.
and I.T Dept will start a file for addl info etc and finally arbitration/appeal court etc. can take more than 5 years .
It is only salaried persons, who cannot
avoid/dodge paying taxes.
How many Lawyers/doctors/surgeons pay REAL TAX ?
? Also self employed buiness men/ shop keepers/
cinema actors producers etc ?
It was reported one Legal counsel in Supreme Court charged/charging 1 Lakh/per minute or 5 Lakh/per minute for just appearing in court.
And a M.D/Lawyer charging Rs 500/ to Rs 1000/=per consultation ( may be 5 minutes or 30 minutes ) also does not declare this income. !

Any person with an income of Say
Rs 40,000/= P.M can avoid paying I.T
by claiming various deductions. or go to a lower slab.
Incidentally I have not paid any I.T for past 5 years. And my Total Income is also not taxable !
(a)less than Rs 2 Lakh
(b) less than Rs 3 lakhs
(c) between rs 3 Lakhs and Rs 5 Lakhs
etc !!!!!

The slabs seem unfair too.... Lets say, Person receiving 10,50,000 , 'll end up with lesser money in hand compared to one receiving 10,00,000!! Is'nt it:-?

Not necessarily.
After all allowed exemptions
Total Income :
Taxable Income ;
will be different for both depending on the deductions claimed.

a minimum slab tax is charged and additional percentage on amount
Rs10,000/= etc.