Sunday, Jul 3, 2022
English News
  • Hyderabad
  • Telangana
  • Andhra Pradesh
  • India
  • World
  • Entertainment
  • Science and Tech
  • Sport
  • Business
  • ...
    • NRI
    • View Point
    • cartoon
    • Columns
    • Reviews
    • Education Today
    • Property
    • Videos
    • Lifestyle
E-Paper
  • NRI
  • View Point
  • cartoon
  • Columns
  • Reviews
  • Education Today
  • Property
  • Videos
  • Lifestyle
Home | Business | Union Budget Salaried Class Have Nothing To Cheer
Ads

Union Budget: Salaried class have nothing to cheer

By B. Krishna Mohan
Published: Updated On - 11:53 PM, Tue - 1 February 22

Hyderabad: There is nothing for the common man, particularly the salaried class. There have been no tax exemptions, deductions or tax proposals that can help employees save tax. These expectations stemmed from the rising cost of living and also higher Covid-related spend. Also, there have been many concerns related to work-from-home, which many hoped will be addressed by the Government in the Budget.

The Middle Income Groups felt a need for introducing a deduction for the expenses incurred on self/family members for Covid treatment. Earlier, a press release was issued for providing relief for expenses incurred during FY 2019-20 and onwards, consequential amendments for the same were expected in Tuesday’s Budget.

Also, many expected an enhancement of standard deduction ceiling for salaried individuals from Rs 50,000 to Rs 1,00,000 (Section 16). But nothing has been said on this. Many suggested introduction of tax-free work-from-home allowances for setting-up home offices and other recurring expenses. Also, salaried taxpayers, owning just one house property, wanted to be compensated for the rising maintenance charges paid to societies and property taxes paid to the local authorities.

Also, the costs of healthcare, child education, cost of living have increased due to the Covid. Many thought an increase in the limits for 80 C from the current cap of Rs 2 lakhs to Rs 5 lakh was on the cards as it would put some money in the hands of people. This would have provided benefits to the salaried taxpayer and at the same time boost the real estate industry. Many also wanted a downward revision of the income tax slabs. But no change has been announced on these lines.

“There have been large scale expectations of the income tax exempt level increasing from Rs 1.5 lakh to at least Rs two lakh. There were also expectations about a standard deduction of Rs 25,000. The salaried class is utterly disappointed. There are no announcements for other segments too,” said VS Sudhir, Chartered Accountant and Chair- GST and Customs Committee of FTCCI.

In the last Budget, the Centre proposed to tax income on Provident Fund (PF) contributions above ₹2.5 lakh in a year. This limit was further increased to ₹5 lakh for PF accounts having no contribution from employers. The Institute of Chartered Accountants of India (ICAI) flet the limit was harsh for EPF account holders planning their own retirement and contributing to PF to maximise their savings. The ICAI had proposed that the Centre should raise the Rs 2.5/5 lakh limit to at least Rs 7.5 lakh.

The long-term capital gains tax (LTCG), introduced via the Finance Act 2018, has dented investor confidence. Major economies do not have LTCG tax. It was expected that LTCG on the sale of Indian-listed equity shares will be exempted. Also, there were expectations from the Budget for incentivising the insurance sector and also a separate income tax deduction provision for Covid-19 treatment.

“The salaried class has been completely ignored. Also, no heed has been paid to the several pleas and requests from Telangana. There are no allocations to pharma and industry segments despite think tank Niti Aayog’s suggestions,” said industry body FTCCI president K Bhasker Reddy.

If the taxpayer wants to pay additional taxes and amend an already filed return, it can be done now, within two years from the end of the relevant assessment year. The intention is to pay any unpaid taxes without severe consequences, in case they have made a mistake at the time of filing and return is already possessed, said Archit Gupta, Founder and CEO, Clear.

 

  • Follow Us :
  • Tags
  • deductions
  • middle class
  • Middle Income Groups
  • Salaried class

Related News

  • Indian on course to meet renewable energy 500 GW target capacity by 2030

  • Union Budget will be of great help in implementing National Education Policy: PM

  • Get national tag to any project in Telangana, Harish to Kishan

  • Modi a curse for Telangana: Jagadish Reddy

  • Bluster Budget

  • Take your ‘Million March’ to Delhi, Harish to Bandi

Latest News

  • Villagers overpower 2 Lashkar terrorists, hand them over to J&K Police

    8 mins ago
  • Candid video of Ram Charan flaunting his new hairstyle goes viral

    13 mins ago
  • Modi’s public meeting: Three Metro Rail stations to be closed on Sunday evening

    23 mins ago
  • Kamal Haasan’s ‘Vikram’ – a modern cult classic, says Mahesh Babu

    28 mins ago
  • Miscarriages may increase during summer: Study

    42 mins ago
  • Meta to end digital wallet service Novi by September 1

    58 mins ago
  • Puerto Rican singer Ricky Martin issued restraining order

    1 hour ago
  • Ghulam Ahmed – a cricketer and an administrator par excellence

    1 hour ago

company

  • Home
  • About Us
  • Contact Us

business

  • Subscribe

telangana today

  • Telangana
  • Hyderabad
  • Latest News
  • Entertainment
  • World
  • Andhra Pradesh
  • Science & Tech
  • Sport

follow us

© Copyrights 2022 TELANGANA PUBLICATIONS PVT. LTD. All rights reserved. Powered by Veegam