Good News in the Offerings?

     Indian are grinding under inflation from almost one year and efforts by Government are not showing any positive and desire results, despite time to time announcements in the electronics media by different ministers and bureaucrats like Prime Minister, Finance Minster, Food and Agriculture Minister and Deputy Chairman of Planning Commission. Till date no initiative of Government of India seems successful in holding firmly the razor sharp horns of inflation bull, who is making mockery of government all the efforts and left every sector of country to cry and feel the impact whether it is common average people of country whose budget is spoil or government who is getting additional names like failure, inefficient and anti public policies from opposition parties and even opposition parties also trap in the inflation riddle and fingers raises’ towards their action which backfires them, as on 5th July they call Bharat Bandh of one day, rough estimates predicts loss of 20 billion rupees to Indian economy, which instead of giving them any advantages become reason of shame and in future they will have to think hundred times of such protest against Government of India’s any policies.        
     Considering this to give some relief in one go to common average people of this country, Government of India is considering to increase the income tax slabs which will benefit them a little bit, right now income tax slabs in the country are -

• Up to 1.60 lakhs Rupees - Nil
• 1.60 Lakhs to 5 Lakhs Rupees - 10 Percent
• 5 Lakhs to 8 Lakhs Rupees – 20 Percent
• 8 Lakhs Rupees and more – 30 Percent

but as per draft released earlier by the Government of India on Direct Tax Code (D.T.C. )it was –

• Up to 1.60 lakhs Rupees - Nil
• 1.60 Lakhs to 10 Lakhs Rupees - 10 Percent
• 10 Lakhs to 25 Lakhs Rupees – 20 Percent
• 25 Lakhs Rupees and more – 30 Percent

so by increasing the brackets of first slab Government of India think tax payers of this country will be benefited at large and they can save up to 70,000 rupees if tax payers income is ten lakhs rupees, but with this tax slabs only higher end tax payers will be benefited and it wont help financially basic slabs which are score of people, but if one focus on to the new amended draft of Direct Tax Code (D.T.C.) then basic slab is not only widen up to 2,00,000 rupees but also in front of it there is not any percentage, mean tax exemption limit increase to 2 lakhs, which will certainly a good news for tax payers as with this they will be able to save up to 4,000 rupees if his income is 2 lakhs and government of India is also counting how much it will effect on to the government coffer.
     Certainly it will be a good and appreciable move by Central Government, if it implements the new amended draft of Direct Tax Code’s basic slab of income tax, as till date Government of India’s all the efforts not prove any positive yield to calm down inflation bull instead it making people furious on to the failure to control inflation, but with this move it will certainly calm down citizen of this country a bit which are surrounded with inflation from almost one year now.