Tax payers always have headaches

 

The change of tax rules and act itself each year is a headache for honest tax payers (read that as Salaried and middle class professionals) as it throws out all the strategic plans made by them. Why should a statute need to be changed each year is a question my son and clients often asked for which I always had no reply. ‘Only the rates needs to be changed’ is the oft quoted suggestion. But yesterday, the Changed direct tax code 2025 turned upside down our whole world.

Even my son whose fundamental qualification  was in commerce moaned at the loss of Assessment year and Previous year saying he had mooted this 12 years ago while I retorted I too had mooted it 40 years ago but no one listened. Instead they put it in as an objective question of 2 marks asking assessment year  for the given previous year. Funnily, some did make mistakes proving it was not that easy a concept.

“So is this beneficial for us taxpayers or no?” asked my son. While I knew in my heart of hearts that every year we are told it is better, yet I end up paying more, I still rolled up my sleeves to analyse. I studied in detail, what I could have concluded upfront without wasting energy and time. The rare Long Term income rate was reduced while regular annual source income tax rate went up. Conclusion: It is  very bad news for us. I plodded through the whole melee of calculation and simulation, though on the computer, I ended up with the headache. “Maybe the Ladki Sister. scheme needed more funds than planned” I muttered. Hearing I had a headache, my son quipped, “Maybe Government should give Amrutangan (generic not trademark) allowance for tax payers having annual headaches”.