Opposition attacks government over tax burden on common people; BJP says Budget historic

Opposition questions government on tax exemptions, ruling party defends, claiming India's economic strength and job creation efforts.

The Opposition parties on Tuesday (August 6) questioned the government in the Lok Sabha over the tax exemptions given to corporates and whether it has helped generate jobs. In response, members of the ruling BJP said India was a ray of hope for the world economically.

Congress MP from Punjab Amar Singh, who initiated the debate on the Finance Bill, 2024, said that from what the Union government had proposed in the Union Budget, it appeared that the government intended to take away every single rupee from the salaried class, the common man, while the rich were being spared.

“If we look at income tax, the tax on individuals is 19% of total tax, while the corporate tax is 17%. Why is the income tax more? In every way, you are increasing individual tax, and bringing down the corporate tax. Who is the government working for?” he said, questioning whether the exemptions given by the government to the corporate had generated any jobs.

Trinamool Congress MP Mahua Moitra said Finance Minister Nirmala Sitharaman had made a mockery of the people of India in the Budget by doing absolutely nothing.

Ms. Moitra said it was an “elucidatory budget” as it failed to address the needs of the common people. “People wanted a course correction, but you have done the exact opposite. You have kept the same Cabinet, the same Finance Minister, who has given the same shoddy Budget,” she said

“For the first time in our country’s history, the salaried class is sharing a greater tax burden than rich corporates. The middle class is contributing 55% of direct income taxes under this government, while the richest corporates contribute only 45%. Not only are the middle class being taxed, but with this budget, their savings have also been taxed with the removal of indexation and the rise in short-term capital gains,” she said.

Nationalist Congress Party (Sharad Pawar) MP Supriya Sule said, “When the UPA was in power, the corporate tax was higher and individual tax was less. That situation has just flipped. So I would like the Finance Minister to justify why are you taxing the middle class and the poor of the country.”