Published On: Wed, Jan 9th, 2019

Interim budget to lure middle class, pensioners: Insider

The luring is ongoing ahead of Lok Sabha elections. Narendra Modi-government is learned to be benefiting the middle class in its interim budget 2019. Higher 80C could be announced along with more exemption limit on housing loan.

Interim budget, middle class, pensioners

In about three weeks Finance Minister Arun Jaitley will be presenting the government’s last Union Budget and most of the aspects in it would dole out income tax benefits.

The Union Budget may hike savings limit and offer more tax benefits to pensioners. Housing loan interest could be considered by FM.

An insider said, “In the last four budgets, we have given relief to salaries class as they are the most honest taxpayers of the country. We will do as much as we can this time too within the limitations of the interim budget.”

It is learned the government could touch something positive on the basic customs duty, but it is not clear which items would be under consideration.

Sources said discussions on the drafting of Union Budget are at final stages.

Since 2014 FM has tried offering several tax relieves to the middle class in his four Union Budgets. He increased income tax exemption limit by Rs 50,000 and tax rates were reduced too.

Prime Minister Narendra Modi is trying to use various strategies to attract voters in the upcoming Lok Sabha elections. Lately his cabinet cleared 10 percent reservation for upper class citizens whose annual income is less than Rs 8 lakh.

Considering the elections just ahead income tax relief mantra may work in favor of Bharatiya Janata Party in grabbing more votes from middle class voters.

About the Author

- Paul Linus is an eminent online journalist who has been writing news, features and editorials on different websites from across the world for about a decade. He can be contacted at knowledgeherald@gmail.com

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