According the most earliest reports the tax slabs look for year 2009-10 and 2010-11 looks something like this:
| 2009-10 | |
|---|---|
| 0 to 1,60,000 | No tax |
| 1,60,001 to 3,00,000 | 10% |
| 3,00,001 to 5,00,000 | 20% |
| Above 5,00,000 | 30% |
| 2010-11 | |
|---|---|
| 0 to 1,60,000 | No tax |
| 1,60,001 to 5,00,000 | 10% |
| 5,00,001 to 8,00,000 | 20% |
| Above 8,00,000 | 30% |
To sum up a middle class family of income 5,00,000 per year will be paying 34,000 instaed of 54,000. Thats huge load shedding from tax payers's shoulders in itself.
And then if, for fiscal consolidation there are steps to increase oil prices, that's not very big deal. Oil prices already are grossly manipulated(lowered, would be correct word) that this step actually is a right step. And as far as first look tells, there is going to be less burden on common man seeing other public expenditures.
But, oh the ironic fate of Indian politics, for the first time in Indian history there is collective walkout from parliament by joint opposition during a budget speech. Here is the point: this walkout is done by politicians who have least understanding of economics, are chosen by Indian public for highest Indian service who managed to disrespect one of the highest Indian institution (parliament), and thus in a way disrespecting themselves, in utterly distasteful media propaganda. How can someone be so dumb as to walkout without first fully understanding the budget to showcase a knee jerk response on just one clause!!
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2 comments:
2 March 2010 at 17:24
Our cities have improved, the conditions at work places have improved. We have even started making better movies.
Maybe someday the four pillars of democracy will also start moving with the times.
3 March 2010 at 08:53
Aniket, I agree that a lot of difference can be felt. But that difference has come mainly in educated class.
As for cities, urbanization has improved but new urbanization didn't occur. Work place have been improved, but government offices still remain stronghold of corruption and bureaucracy. Better movies are being made for audience of multiplex less for common man.
The basic problem is Indians choose government on basis of propaganda rather than concrete issues. There isn't a single politician today who has decent leadership qualities.
Four pillars of democracy will move in right direction when common man is educated about need of positive leadership.
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