Kolkata, Feb 1 The CPI-M Politburo has described the Union Budget proposal for 2025-26 as a cruel betrayal for the common people of the country where the root cause of the demand problem has not been addressed.
The party Politburo, on Saturday, has issued a statement claiming that the proposal for raising minimum tax slab to Rs 12 lakh from Rs 7 lakh in the new regime in addition to Rs 75,000 of standard deduction for salaried tax payers is just aimed at making just a minor section with comparatively higher incomes happy.
"Instead of addressing the root cause of the demand problem being faced by so many sectors of the economy, the lack of purchasing power in the hands of large sections of the population because of mass unemployment and shrinking wages, Prime Minister Narendra Modi-led government through the Budget is seeking to stimulate the economy by giving tax cuts to the small minority with higher incomes even as expenditures are cut," the Politburo statement read.
The Politburo has also criticised the Union Budget proposal for absence of any proposal to increase the rates of taxation at higher income slabs.
“Much is being made of the claim of ‘helping the middle classes’ by raising the tax exemption limit to Rs 12 lakh. The quantum of benefit from these changes in personal income taxes accruing to the middle class actually will be small compared to the benefits accruing to the really wealthy class of Indians – the less than one per cent of India's population," the Politburo statement read.
Almost echoing its arch political rival Trinamool Congress, the CPI-M Politburo has opposed 100 per cent foreign direct investment (FDI) in the country's insurance sector.
"It is, therefore, a Budget by the rich for the rich," the Politburo statement read.
The party has concluded by claiming that the current Union government is so committed to protecting the interests of the rich and corporate sector that it is not even able to formulate any real policy to address the slowdown in the economy.
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