Middle-class bypassed
This refers to ‘Cautious and conservative’ (July 24). If the Finance Minister’s ability to sustain her position depended on meeting the financial demands of major coalition partners, she has passed this test. However, the expectations of the middle class for incentivising savings through tax cuts have not been met. Instead, the Securities Transaction Tax on derivative trades and the Long-Term Capital Gains (LTCG) tax on equity, debt, etc., were increased. The tax sops provided are marginal and unlikely to make a significant difference in their lifestyle.
The removal of the indexation benefit for property sellers who bought after 2001 is a retrograde step. Additionally, the welfare of senior citizens was completely overlooked. The middle class, who contribute significantly through income tax and GST, did not receive their due consideration.
There was no mention about bringing fuel under GST, with the Opposition also remaining silent since it is a major revenue source for both the Central and State governments.
Srinivasan Velamur
Chennai
Corporates gain
This refers to ‘Sitharaman presents the BAP of all Budgets’ (July 24).
The Budget with its thrust on business development has somewhat forgotten the legitimate aspirations of the rural folk who eke out a living in the informal sector. The high GST rates on health insurance/term cover continue along with that on telecom services. The relief in personal income tax given to the salaried is limited.
That individual taxpayers outdo the corporates in filling the government coffers, coupled with the admission of the Economic Survey that the worker compensation of corporates do not keep pace with the growth in profit, was conveniently swept under the carpet of ‘ease of doing business’.
They should have been prodded at least to spend larger part of CSR on select areas, but it turned other way with doles for job creation.
Jose Abraham
Vaikom, Kerala
Healthcare costs
The Budget’s measures in the healthcare sector are welcome. A significant aspect is the focus on making medicines, particularly for cancer patients, more affordable. Three cancer drugs have been exempted from custom duties, significantly reducing their cost. Given the high expense of cancer treatment which often makes them inaccessible to many, this exemption is a crucial step for cancer patients across the country.
P Victor Selvaraj
Palayamkottai, TN
Growth and welfare
Bihar and Andhra Pradesh have a lot to cheer. The two States have got considerable allocation for their plans and projects. The government, in fact, has played the ‘coalition ball’ adeptly. That said, considering India’s macroeconomic situation, incentives to employers for creating jobs, loans for MSMEs to buy plant and machinery without collateral, and increase in standard deduction for the salaried can spur consumption and investment levels in the economy. Also, the government’s thrust on fiscal consolidation is important for an expanding economy such as ours.
S Ramakrishnasayee
Chennai