'We are responsive government': Nirmala on tax sops sought by middle class

In a recent exchange on social media, Union Finance Minister Nirmala Sitharaman addressed a citizen's heartfelt plea for middle-class relief, highlighting the government's responsiveness. The X user expressed admiration for Sitharaman’s efforts, stating, “We deeply appreciate your efforts and contributions to the country… I humbly request you to consider providing some relief for the middle class.” Acknowledging the concerns, Sitharaman responded by emphasizing that the government "listens and attends to people’s voices," adding, "Your input is valuable."

Thank you for your kind words and your understanding. I recognise and appreciate your concern.
PM @narendramodi ‘s government is a responsive government. Listens and attends to people’s voices. Thanks once again for your understanding. Your input is valuable. https://t.co/0C2wzaQtYx

— Nirmala Sitharaman (@nsitharaman)

Thank you for your kind words and your understanding. I recognise and appreciate your concern.
PM @narendramodi ‘s government is a responsive government. Listens and attends to people’s voices. Thanks once again for your understanding. Your input is valuable. https://t.co/0C2wzaQtYx

— Nirmala Sitharaman (@nsitharaman) November 17, 2024

">November 17, 2024

The dialogue underscores ongoing discussions about middle-class tax burdens, a frequent topic in public forums. India’s middle class, which constitutes around 2% of the population, contributes significantly to national revenue through income tax and GST. Government data from 2023 reveals that only 2.24 crore individuals, or 1.6% of the population, paid taxes in 2022-23. This group plays a key role in funding infrastructure and welfare initiatives.

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In recent years, the government has shifted towards relying more on direct taxes, including income and corporate taxes, compared to indirect taxes. The 2024 budget introduced a modest relief for salaried taxpayers by increasing the standard deduction under the new tax regime from ₹50,000 to ₹75,000, translating to an additional ₹17,500 for eligible taxpayers. The exchange highlights a recurring call for relief amidst rising living costs.