Finance minister Nirmala Sitharaman said that by the Union Budget 2024, the government intended to provide relaxation to the middle class, although there are limitations. The finance minister told Times Now, “I want to give relaxation to the middle class, but I have limitations too. I want to give relaxation by reducing the tax rate, and that is why the standard subtraction rate has been increased from $50,000 to $75,000. By increasing the tax rate, the tax responsibility of the high-income class also increases. The new tax system was executed with the aim of reducing the tax rate and has lower tax rates than the old tax system.”
She said that she understands the consequences that the middle class faces. “I am also middle class… and understand their situations.”
Before GST, various states exploited their own taxes on essential items, leading to various prices throughout the country, but now the process has standardised prices of necessary goods nationwide, providing relaxation to the common people, she said.
