Expressing disappointment over absence of any relief for the salaried class in the Union budget, DMK president M. Karunanidhi on Saturday urged Finance Minister Arun Jaitely to increase the income-tax ceiling in his reply to the debate in Parliament.
In a statement here, he said there was a widespread expectation that the ceiling would be increased at least to Rs. 3.5 lakh from Rs. 2.5 lakh at present. Mr. Karunanidhi said while the announcement that the growth would be 7.4 per cent was a matter of relief, the government should take genuine efforts to implement the scheme to provide housing for all. “The government should draw a line somewhere when it comes to Foreign Direct Investment. It should encourage healthy investments,” he said.
He welcomed the creation of the All India Institute of Medical Sciences (AIIMS) in five States, Mudra Bank for the Scheduled Caste and Scheduled Tribe and Nayi Manzil scheme for the minorities.
Tamil Maanila Congress leader G.K. Vasan said, “The budget is lacking in proactive polices. While the absence of concessions in income-tax ceiling for individual tax payers was disappointing, putting the country on a faster trajectory of growth remains only on paper.”
TNCC president, E.V.K.S. Elangovan said,“The proposal for strong punishment of 10 years imprisonment for not paying income tax is a good move, as lack of awareness is the main reason for a majority not paying income tax.”
But he said, “The hike in service tax rate from 12.34 per cent to 14 per cent will adversely affect the poor and the middle class.”
The budget had exposed the total dependence of the Centre on foreign corporates and investors for funds.
Vaiko
MDMK general secretary
