Union Budget-2023: Widen application of DBT mode

The Union Budget-2023 needs to exempt gross income up to ₹8 lakh, being the threshold for categorisation as economically weaker section. It’s time to conclude a stable and uniform tax code. The twin taxation options -- one with exemptions and the other without them -- needs to go in favour of a single taxation regime without exemptions as income tax entails nothing between income and tax. The new slabs can justly be: No tax on gross income upto ₹8 lakh, 5% income tax on the next ₹5 lakh, 10% on the next ₹5 lakh and 20% up to ₹1 crore and incomes beyond that may attract special income tax at the rate of 30%. All compensations/exemptions/ incentives to employees to promote housing, savings should be routed through direct benefit transfer (DBT) mode to curb leakages and manipulation. We count what we value and nothing should be doled out unaccounted and unsolicited.

Lalit Bharadwaj

Panchkula