Crucial segment: The BJP, AAP, and the Congress have been reaching out to the middle class in their election rallies in the national capital.
| Photo Credit: File photo
Rajkumar, a 59-year-old government employee from south Delhi’s Vinobapuri, on Saturday expressed joy over the income tax relief announced in the Union Budget. With his annual income falling within the revised limit of ₹12 lakh, he is happy he will be exempt from paying income tax in his last year of service.
As the sole earning member of his family of three, he said this will translate to savings of around ₹20,000-₹30,000, which he plans to use for household expenses, including buying essentials like ‘saag-sabzi’. “I will be able to spend more on the household, so it will be really helpful,” he said.
The sentiment is echoed by other residents in the middle-class neighbourhood. A local clothing store owner noted that everyone’s making announcements with the Delhi Assembly poll approaching.
Around 67.16% of Delhi’s population falls within the middle-class category, earning between ₹5 lakh and ₹30 lakh per year, according to a 2022 report by People’s Research on India’s Consumer Economy (PRICE).
The ruling AAP and the Opposition Congress and BJP leaders have been reaching out to the middle class in their election rallies. AAP national convener Arvind Kejriwal had said no political party is interested in addressing the “interests of the middle class” while releasing the party’s manifesto with promises for the segment.
‘Voters deceived’
Delhi BJP president Virendra Sachdeva on Saturday hailed the Narendra Modi government’s decision to raise the income tax exemption threshold, saying it will give a boost to the aspirations of young professionals working in multinational companies and the middle class.
The ruling AAP, however, criticised the Budget, stating that the middle class has been “deceived” as there is no relief on GST or home loans. Mr. Kejriwal said that he had demanded that the Budget announce that no billionaire’s loans will be waived in the future.
“The money saved from this should be used to provide relief on middle-class home and vehicle loans, and waive farmers’ debts. Income tax and GST rates should be halved. I am saddened that this was not done,” Mr. Kejriwal said on X.
For voters like Mr. Rajkumar, savings are a top priority. He and fellow residents welcomed the relief under the Budget, citing the importance of savings in determining their vote. “We save thousands of rupees because we have free electricity, buses for women, mohalla clinics, and water. These are all important to me while voting.”
‘Can invest now’
Other residents of the area, including Jitender Sharma, a private sector employee, said the announcement will increase consumption and investments. “People will be able to invest in the automobile sector, order online,” he said.
Two government school teachers, aged 30 and 56, also welcomed the relief on income tax, stating that they will no longer have to pay taxes. While the younger teacher plans to invest in stocks, the older teacher said she will spend slightly more on luxury items and take care of her household.
Due to the Election Commission’s directive, there were no new schemes announced for Delhi in the Budget.
Published – February 02, 2025 01:47 am IST