Skip to main content

How much do we pay as taxes?

I always believe that a business mind never rests. Even on a holiday. So I spent my Sunday, trying to figure out how much do we pay as taxes in India and what is the ROI (return on investment) of that amount that we are paying.

To cut a long story short, my calculations tell me, that a middle class Indian can pay over 50% of his/ her income in taxes and never even know about it. The return on this investment, can be seen with the standard of living in India and the kind of facilities Indians get.

My maths is bit weak, so I won't indulge in a jumbo bumbo of numbers. Still I can assure you that you lend your Govt about 50% of what you earn.
Taxes are levied by the
Central Government
State Government
Municipal Corporations/ local bodies

All this to make a World class India, with world class highways to cruise on which, incidentally
you need to shell out a toll tax.
Almost everything that you buy, has a tax. It is a heady mix of excise, VAT, customs duties etc etc.
All services rendered come with a burden of a service tax.
Your income is taxed. More you earn, more you got to pay as a punishment for earning more than others.
Then there are so many surcharges, cess, etc etc. which are like additional top ups to a pizza.
Furthermore, as they provide you with street lights, good quality roads and 24 hours water and electricity, a house tax is charged on the property you own in most of the cities in India.

2 broad sectors that are generally excluded from taxes is agriculture and handicrafts. That is local taxes are not charged on them. Then, if you are a very rich business house, then you may get some tax relief, depending on your equation with the political class.

Whether taxes in India are too high or not, depends on what value are you getting in return of the hard earned money you give away as a gift to your dear government. And, on that only and only you can comment.

The United Arab Emirates, has a system of no taxation and they still are building a country that is a delight to watch.
As to other countries, I am not aware of how much they tax their citizens, but I feel,
low or high can only be justified with the level of standard of living of the population.
If taxes are high, and you are getting good facilities than it is ok and vice versa.

So what is your verdict on India. Please do, share in.

Comments

Popular posts from this blog

चाहने वाला हूँ तेरा, देख ले दर्द ज़रा; तू जो वेइखे एक नज़र कारा लखान दा शुक्र सोहनीये! देख तू कह के मूझे , जान भी दे दूंगा तुझे; तेरा ऐसा हूँ दीवाना, तुने अब तक ये ना जाना हीरीए !!! --------------------------------------------- आ सोनी तेनू चाँद की मैं चूड़ी पहरावा, मैनू कर दे इशारा ते मैं डोली ले आंवा !!!

Career Impact in times of Corona Virus

In the last few days, as India comes to terms with Covid-19 and struggles with dealing with this pandemic, one question several people are asking me relates to its impact on their careers. Coronavirus is what you hear everywhere these days. Public distancing and lockdowns are being touted as effective preventive measures to limit its spread. The highly contagious virus has brought the entire global economy to its knees. In this environment, what happens to our careers? Feb-March-April is a period when several corporates roll out their annual appraisal. Salaries are hiked, promotions granted, and career advancements planned. This year, however, things look not so promising for anyone as companies brace for adverse effects on balance sheets and glaring losses due to prolonged disruptions in businesses. Here is what you need to do, confined in your homes to thrive your career -  1) Work from home - Don't just pretend to work. Get some real work done. When this is all

STANDARD CONTENTS IN A GUEST ROOM

IN A 5 – STAR HOTEL GUEST ROOM:- 1. BED:- 1. Mattress (1) 2. Maters protector (1) 3. Bed sheet (2) 4. Night spread (1) 5. Blanket (1) 6. Pillows (2) 7. Bed cover (1) (Boisters) 2. ENTRANCE DOORS:- 1. Lire exit plan 2. DND card on the door know 3. Collect my laundry card 4. Please clean my room card 3. WARDROBE:- 1. Coat hangers 2. Skirt trouser hangers 3. Laundry bags 4. Pot 5. Extra blanket and pillows 6. Bed slippers 4. LOUNGE :- 1. Sofa,