Every year, salaried professionals in India tune into the Budget with hope in their hearts and exit with existential dread. However, this time the budget has left salaried professionals rubbing their eyes in disbelief as the government announced zero income tax up to Rs 12.75 lakh under the new tax regime.
Shaadi.com’s founder and one of the Sharks on Shark Tank India show Anupam Mittal, who is never one to mince words and remains quite active on social media platforms, took to LinkedIn on Saturday calling the move a “systemic correction” rather than just a tax cut.
Mittal pointed out that a thriving economy is built on a strong middle class, not an overburdened one.
Also ReadBudget 2025 Tax Calculator: Rs 8-12 lakh slab has 10% tax — So why is income up to Rs 12 lakh tax-free?
Comparing India’s middle-class woes to historical lessons from the US and China, he said, “Instead of fueling spending and investment, we kept squeezing our most productive taxpayers—the salaried class. This Budget shifts that.”
With more disposable income, expect salaried professionals may finally be able to upgrade their lifestyle, meet their additional needs or save more for retirement.
The ripple effect? Mittal summed it up, “More disposable income = More consumption = More economic growth. You don’t build an economy by making people feel gareeb. You build it by making them wealthier.”
Also ReadBudget 2025: Tax slabs decoded! ‘Nil’ tax on income upto 12 lakh; How much tax to pay if amount exceeds this threshold
While salaried class earning up to Rs 12 lakh per annum won’t have to pay any income tax, those earning beyond Rs 12 lakh per annum will have their income taxed as per the slabs below:
- Up to Rs 4 lakh – Nil
- Rs 4 lakh – Rs 8 lakh – 5%
- Rs 8 lakh – Rs 12 lakh – 10%
- Rs 12 lakh – Rs 16 lakh – 15%
- Rs 16 lakh – Rs 20 lakh – 20%
- Rs 20 lakh – Rs 24 lakh – 25%
- Above Rs 24 lakh – 30%
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