Is the 'Income Tax' in India destroying the middle class?

Question

An average middle class family needs atleast Rs 20,000/- per month to barely survive - payning rent, school fees, food, electricity, conveyance, etc. But The government thinks that an individual who earns Rs 10,000/- per month has to pay Income Tax. This is a shameful way to steal from the citizens. We anyway pay so much in INDIRECT TAXES , on Telephone Bill, Conveyance, Electricity, Food, Clothes, Petrol, etc

Answer 1

There is a much bigger issue that this question seems to be addressing.

If one looks at it differently, let us try to figure out the total amount of taxes that the Indian government has collected till date and add to it the total amount of loans that the country has taken till date less the amount of loans repaid by the country. If we calculate it and compare with the development that has taken place in India then we realize that may be only 10% was put to good use.

Even the current finance minister, who considers himself to be a genius, allocates funds with complete disregard to the ability of the authorities to utilize them fruitfully. The budgets always measure development in terms of amounts spent rather than amounts utilized. These are the anamolies which lead to skewed development and irreversible damage, the cost of which is borne by each and every citizen of the country
and felt by each and every honest tax payer.
The solution lies in the fact that 'ONE SHOULD CHEAT IN INDIA SO AS TO ENSURE THAT ONE DOES NOT FEEL CHEATED'

Answer 2

Taxes are essential to run the government. But what you say about Income Tax is absolutely correct. It is only the salaried class which pays the IT and also bears the brunt of all Indirect Taxes. The rich - traders and company owners - pay lesser tax than the middle class. The equitable solution would be to make IT applicable only for those earning Rs 6 lacs and over per annum and this can be at a uniform rate of 16. 6%. Luxury tax on all items costing over a certain limit my be introduced. Right now, I think, even if the GOI does away with IT , it will save more money as the cost of collecting IT (individual IT- not corporate Tax) must be more than the collection.

Answer 3

I think they deserve it regardless. Do they ever wonder how they were making out so well? It couldn't be because of the 'lazy' underpaid people that they spit upon, could it? Get a job, they say. Then, don't ask for decent wages, that's just ridiculous. Get a better job, they say. But what if everyone listened? Who would powder their little behinds for them? Don't ask for help, they say. Scratch in the dirt for a meager existence instead. Don't own anything, don't drink, don't smoke, don't have children, just WORK. Well, let them play in OUR sandbox now. HA HA!!! I watched a documentary about former middle class people trying to make it in this new economy. It was so funny, let me tell you! Oh, the shame of having to beg for food. Oh the SHAME (and the selection was just TERRIBLE, ha ha)! And doing DIRTY work, if there was any to be had. And STILL they had no compassion for people that have always had to live like this. All they could think about was escape, and there was no escape to be had. Well good for them!

Answer 4

I do not think it is true. The government is spending the money collected through Income tax on welfare measures like Roads, Health services and Defence. If, the government does not charge Income tax from where will it bring the money? Therefore, to say that Income Tax is destroying the middle class is not correct. People waste too much money on smoking, drinking and gambling etc. these are the actual destroyer of the middle class in India.

Answer 5

No at all! Taxed income goes to government directly. It is utilised for social, economical and welfare related issue of the country. It was the time before tenure of finance minister of india(Mr. Manmohan singh), all the citizens of the country were taxed equally irrespective of their income but during the tenure of manmohn singh he made reccomndation that those people who have ability to pay income tax, should be taxed. since then this recommendation is being implemented. I dont feel that tax is desroying rather it is enhancing welfare of taxpayer and economy as a whole. One thing is clear that today middle class of people or poor people according to your defination are not paying tax to government in most cases.

Answer 6

No- Income Tax is for good purpose - its the upper middle class, politicians and higher class persons destroying the middle class

Answer 7

Its a fact....actually our govt doesn't take any initative to care middle class people bcoz our govt depend them only at the time of election,at the same time high class peoples are protecting them to stay in their seets....

Answer 8

As far as I know India is taxing us a lot but u can't blame the govt. completely as well. Im not sure bt if they put it 2 gud use then soon we won't find it diff. 2 make ends meet.

Answer 9

yes very true.main sufferrur is middle class ,lowyers, doctors small shop owners are not paying tax fairly

Answer 10

we pay.
sales tax, property tax, road tax, vat, now income tax?
i think paying income tax is not the problem.
we should know where the tax goes.
swiss bank account?