Govt removes incentives to save nation with no social security: TMC on budget

The Trinamool Congress on Saturday (February 1) slammed the Union Budget over removal of tax exemptions and questioned such a move in a country with no social security.

Finance Minister Nirmala Sitharaman introduced new slabs and reduced the tax rate for different slabs for an individual income of up to ₹15 lakh per annum, if a taxpayer opts for foregoing exemptions and deductions.

The new tax regime will be optional. The taxpayers will be given choice to either remain in the old regime with exemptions and deductions or opt for the new reduced tax rate without those exemptions, Sitharaman said in the Lok Sabha while unveiling the Budget 2020-21.

“Tax cut ki goli mat do (dont lie about tax cuts). Read the fine print on the so-called IT cuts. Govt removes incentives to save in a nation where there is no social security,” TMC’s national spokesperson and Rajya Sabha MP Derek O Brien tweeted. He said “70/100 tax exemptions withdrawn. Exemptions were given as incentive to save money in PPF, LIC, Health insurance etc”.