By our correspondent, Ahmedabad, 4 April 2014

What’s bad in hopping? Let’s hope what Dr. Subramanian Swamy said today in Ahmedabad may actually happen one day.

Senior BJP leader Dr. Subramanian Swamy today in an interaction session hosted by Khadia Footpath Parliament in Ahmedabad hinted that BJP government may abolish Income Tax for those who earn below Rs. 25 lakh. Even for those who earn above Rs. 25 lakh will not have to pay tax on their bank deposit, stock market, share, debenture and government bonds. There are only 40,000 people in country who earn more than Rs. 25 lakh. If we give exemption on bank money, stocks, debenture, bonds only 4,000 in entire nation will have to pay Income Tax.

Swamy said, this will energize people, savings will escalate, investment will be up, growth rate will go up.

Dr. Swamy while explaining logic behind this idea said, the middle class which contribute majorly to saving should be energized. Rather than showing them dream for bright future, they should be energized with some quick and current actions. Income Tax should be so much reduced that middle class people happily become ready to invest.

Dr. Swamy said the income tax contribution is around Rs. 2 lakh crore. The sum can be earned through alternative ways such as auction of spectrum, auction of coal blocks, bringing back black money deposited abroad etc.

Dr. Swamy said Congress governments spent 2 or 3% for eduction, we want to increase it to 6%.

He said a scheme for SME will be introduced under which loan will be available at low interest rate, the government will extend its help in providing marketing support for first three years, there will be duty on foreign import, and mechanism to complain against dumping in WTO.

Dr. Swamy said presently there’s Excise tax on 2800 items. If we rank them all, the first 22 items contribute 90% to total Excise revenue. The other all items should be exempted.

He said the prices of essential commodities are up because unlike any other country, here the central government has permitted forward trading in agriculture commodity, which should be banned first.

Dr. Swamy said the government will not allow Wallmart. He said the decision is not against competitive environment. If our cheap labor are not permitted to work in roads and construction industry in America, then why we should permit their cheap goods here in India.