The Budget has shown an inclination to leave more money in the hands of the public for investment in financial assets and for consumption of goods and services. In his post-Budget interview, the finance minister said the citizens deserved more money in their hands in view of inflation. He has taken a practical approach; certain ideas which have been in the air have been given concrete shape. These measures should kindle much interest in foreign investors. However, the appointment of a commission to look into the controversial retrospective tax rather than abolishing it straightaway are not appreciated. Overall, the Budget has fulfilled the initial expectations of the public.

KU Mada

Mumbai

The Budget does not meet the expectations of the middle class. Moreover, allowing FDI in vital areas such as defence and insurance is not justified. The changes in individual tax rates do not meet expectations, when we consider the abnormal inflationary trend in the last 2-3 years.

JVLN Murthy

Vijayawada

Speculation that tax-free income would be raised to ₹5 lakh from the present ₹2 lakh has been set to rest with the raise in the first threshold limit being a meagre ₹50,000. This means the tax that can be saved will be just ₹5000 per annum. This is because other slabs from ₹5 lakh to ₹10 lakh @ 20 per cent and above ₹10 lakh @ 30 per cent along with education cess and surcharge remain unchanged. There should have been a corresponding increase in the first and subsequent threshold limits.

Another relief given is in the investment limit raised from the present ₹1 lakh to ₹1.5 lakh. If another ₹50,000 is invested, the individual gets tax benefit of another ₹5000. This relief (5,000 +5,000) is not commensurate with the galloping inflation. The relief is an eye-wash.

KV Seetharamaiah

Hassan, Karnataka

Arun Jaitley’s Budget is practically the same as the Interim Budget of the outgoing UPA-II. Jaitley surrenders a revenue of ₹22,000 crore in direct taxes and makes up ₹27,000 crore in indirect ones. Some customary tweaks have been applied in customs and excise.

With no changes in revenue, controlling the fiscal deficit becomes a governance game. The Sensex has already reinforced this view today. Budget 2014 is a trailer for the main event slated for 2015.

R Narayanan

Ghaziabad, Uttar Pradesh

The Budget reflects the Modi Government’s genuine concern for the nation and gives relief to salaried and senior citizens. Measures to improve employment opportunities, set up new institutions, and give relief to the agricultural sector and farmers, SMEs and so on are appreciable. Heavy taxing of tobacco products and reduction on items like footwear, soaps and so on, are welcome. Of course, it is very difficult to satisfy everybody.

VS Ganeshan

Bangalore

Really revealing

The most revealing statement in the Economic Survey is the damage caused to the economy by the foolish programme called MNREGA which creates an artificial scarcity of workforce in villages and sends wages skyrocketing. Small farmers suffer due to the sudden non-availability of traditionally skilled agricultural workers. Those who are coaxed to work, dictate their wages and other terms.

Most of the women workers prefer to work for the village panchayat and other official agencies, involving cutting grass and other useless activities that are harmful to the ecology. Manmohan Singh took great pride in claiming that the Government had spent more than ₹1.3 lakh crore on this scheme. What a colossal waste of money! The entire amount has gone down the drain without any benefit to the economy or the people. If the money had been spent in the development of cottage and household industries and skill development, the same workforce would have benefited by earning a decent living, and simultaneously giving a good return to the economy by way of goods and services produced.

MG Vasudevan

Thrissur, Kerala

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