Won’t Raise Taxes For Middle Class, Says Arun Jaitley

As per India’s finance minister Mr. Arun Jaitley, tax evaders needs to worry because in his latest statement he said he is not going to burden the middle class by raising taxes and instead the government will make sure that tax evaders won’t let go free. By this tactic his aim is to increase savings of tax payers that will lead them to spend more money and hence the government will be able to collect more revenue through indirect taxes from consumers.

Arun Jaitley finance minister

It’s a fact that salaried and middle class citizens in the country are paying more indirect taxes today in form of excise duty, custom taxes, VAT and service tax, therefore indirect taxes would make more revenue for the government and it will also help the economy to recover from slow growth rate period it is going through at the moment. Addressing the media event, Arun Jaitley said that in last budget he increase the tax exemption from 2 lacs to 2.5 lacs and he would go even higher if he had more money from indirect taxes so the middle class of the country benefits the most.

On the other side he also admitted that the government is working on second generation of economic reforms that will be revealed in next budget in 2015. This could be exciting times ahead for the middle class, because more economic reforms are certainly going to help them. There are also talk about direct tax code to be implemented soon, but it also has its own limitation and issues that are delaying the process of implementation and the government is in no mood to make decision on it in hurry. Therefore, we should wait for the next budget and see how it pans out for us, however they way this new Modi government is working from last 6 months, things surely looking on the positive side of the story so far.

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