On February 1, when Finance Minister Nirmala Sitharaman presented the union budget for 2023, citizens started talking about the new and old income tax systems. The income tax rebate limit under the new income tax system was raised from 5 lakh to 7 lakh in Union Finance Minister Nirmala Sitharaman’s presentation of the Union Budget 2023.
She went on to say that the new tax system will now be used automatically. However, no announcement was made regarding taxpayers who were subject to the previous tax system. P. Chidambaram, the former Finance Minister, claimed that the budget “betrayed” the hopes of the majority of Indians. Additionally, he asserted that the public’s urgently required tax relief was absent from the Budget.
On Twitter, Chidambaram asserted that it is no longer necessary to save money in developing nations. His tweet read, “My regret is that the importance of PERSONAL SAVINGS in a developing country has been jettisoned in this hullabaloo about OTR and NTR.”
He went on to say that in the apparent absence of a safety net provided by the government, personal savings are the only form of social security for the vast majority of people. According to Mint, Chidambaram also suggested changing the tax structure under this regime by reducing the number of tax slabs to five and raising the threshold for tax exemptions to three lakh.
Additionally, Chidambaram wrote in a tweet, “Don’t jump to conclusions if you are a taxpayer.” Consult a Chartered Accountant before you do your math.”
