Budget blues: People not impressedMarch 16th, 2012 - 6:02 pm ICT by IANS
New Delhi, March 16 (IANS) As Finance Minister Pranab Mukherjee Friday presented the national budget for 2012-13 claiming that the economy was returning to normal, the common man didn’t seem convinced. Many people rated his proposals between below average and poor.
With a “marginal hike in the tax exemption slabs” coupled with hiked taxes across most services, the budget is “nothing new”, said Mohit Srivastava, an engineer with Jacobs Engineering.
“It’s below average. The tax exemption should have been provided up to Rs.5 lakh. That is what most of us expected,” he told IANS.
The budget has increased the tax exemption bracket for individuals from Rs.1.8 lakh to Rs.2 lakh, meaning an annual saving of Rs.2,000 for all tax payers. At the same time, the service tax has been increased from 10 to 12 percent, across most sectors which would mean costlier airfares, gold jewellery and cigarettes and higher phone bills.
Investment banker Abhinav Tyagi, 29, claimed that the budget appeared to have been prepared to avoid any controversy or conflicts like the rail budget.
“They have come up with an average budget. Basically, they don’t want any more trouble (linked to opposition from government allies) like they had with the rail budget,” said Tyagi.
“It’s the salaried person who will suffer. I will have to put on hold my decision to buy a new car,” he added.
Agreed 40-year-old shopkeeper Raghunandan Jha. He said the budget meant inflated bills and more expenses due to the hike in service tax in most sectors.
“If the bills for services like mobile phones go up, my expenses will go up, leaving me with lesser savings,” he claimed.
For some the budget spells trouble.
“My two daughters are to get married later this year and with the gold prices going further up I’ll be getting sleepless nights now,” 49-year-old homemaker Mamata Karnic told IANS.
“Everybody knows gold is an integral part of Indian marriages irrespective of religion or caste. The middle class is already reeling under the pressure of high gold prices and this budget will only rub salt into our wounds,” she added.
“He (Mukherjee) must have married off his daughters long back,” said Karnic.
Some people did not find the budget a total disaster.
“If you look at the positive side of the budget, consumer appliances like televisions will be cheaper and so will be lifesaving drugs,” said student Aarti Mehra, 24.
- Budget blues: People not impressed (Lead) - Mar 16, 2012
- Tax hikes to hit household budgets - Apr 01, 2012
- Income tax exemption limit raised to Rs.2 lakh - Mar 16, 2012
- Mukherjee puts money in one pocket, takes out from others (Roundup) - Mar 16, 2012
- Budget sops welcomed by young and old alike - Feb 28, 2011
- Service tax rate raised by two percent (Lead) - Mar 16, 2012
- Day after budget people wonder if they are really better off - Mar 01, 2011
- Income tax exemption limit raised to Rs.2 lakh (Lead) - Mar 16, 2012
- Mukherjee's budget promises tax relief, subsidy cut, reforms (Fourth Lead) - Mar 16, 2012
- Budget promises more money for all - farmers to corporates (Third Lead) - Feb 28, 2011
- Making housing affordable: Realty industry needs budget boost (Comment) - Feb 26, 2012
- Gains and losses from Budget 2012-13 - Mar 16, 2012
- Budget timid, heartless, lacks big ideas: BJP (Lead) - Feb 28, 2011
- 'Telecom bills to rise following service tax hike' (Lead, Superseding earlier story) - Mar 16, 2012
- Prominent highlights of 2012-13 budget - Mar 16, 2012
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