Senior Congress leader and Member of Parliament Shashi Tharoor expressed his anxiety over the Union Budget 2025 presented by Finance Minister Nirmala Sitharaman. Shashi Tharoor questioned tax relief while being careless about many urgent economic matters like unemployment and inflation.
It noted that the modified tax slabs under the new regime would advantage salaried individuals, in particular those below Rs 12 lakh annually, but failed to address the pitiful plight of the unemployed.
Senior Congress leader Shashi Tharoor opens up on Union Budget
“The applause from the BJP benches was clearly for the middle-class tax cut. If you have a salary, you might be paying less tax. But what about those who don’t have a salary?” Tharoor said.
He further noted that the Finance Minister failed to mention vital words like unemployment and inflation, which betrays a failure to recognize these realities. “It was a mercifully short speech, but she didn’t use either of those words, which is not so merciful,” he said.
He further flayed the undercurrents of electoral flavors in the budget, asserting that it was designed with an eye on polls. “If you are in Bihar and belong to an ally party, you will certainly receive the benefits that could assist in your electoral campaign,” he claimed.
Understanding the Revised Tax Slabs
The new tax structure brings about major changes, especially for those who are earning up to Rs 12 lakh annually. Salary income earners of Rs 12.75 lakh can also save as the various standard deductions provide exemptions. Although this reduces the burden, the taxpayers must take advantage by claiming relief under specific sections of the Income Tax Act.
This is how the new tax rates are structured:
- Up to Rs 4 lakh: Nil
- Rs 4-8 lakh: 5%
- Rs 8-12 lakh: 10%
- Rs 12-16 lakh: 15%
- Rs 16-20 lakh: 20%
- Rs 20-24 lakh: 25%
- Above Rs 24 lakh: 30%
The previous slabs were as follows with exemption thresholds. The income tax would be applicable from Rs 3 lakh.
Sitharaman justified the new structure by saying that it would greatly reduce the tax burden on the middle class, giving them more disposable income, which would help to increase household spending and investment.
Also, see: “Force multiplier” and “people’s budget”: PM Modi names Budget 2025