Union Budget 2018: Salaried Class Shouldn't Be Paying Taxes, Says RSS-backed Bharatiya Mazdoor Sangh

New Delhi: RSS affiliated labour union chief has said what every salaried person wants: to not pay taxes.

Brijesh Upadhyay, general secretary of Bharatiya Mazdoor Sangh, said salaried class employees shouldn’t be paying taxes. He said such a thing can be achieved if only best practices are followed.

“The rules and regulations in India are such that we make the salaried class pay taxes, which shouldn’t be the case. What businessmen earn is income which is subject to taxation, what salaried class earns is remuneration in exchange of services provided. This shouldn’t be taxed,” said Upadhyay.

In the Budget 2016, Finance Minister Arun Jaitley slashed income tax rate to 5% from 10% for the income slab between Rs 2.5- 5 lakh per year. While those earning up to Rs 5 lakh were the major beneficiaries of this move, other taxpayers too got a benefit of Rs 12,500.

Talking about labourers in particular, Upadhyay said, “Labourers in India are one of the most poorly paid people. If they have to pay such high taxes, what will they save.”

Central trade unions have demanded tax exemption on income of up to Rs 5 lakh, minimum monthly wage of Rs 18,000 and Rs 3,000 minimum pension for workers in a pre-budget consultation with Finance Minister Arun Jaitley.

At present, the minimum EPF pension is Rs 1,000.

Representatives of the trade unions included members from Bharatiya Mazdoor Sangh as well. The unions also took up their 12-point charter of demands with Jaitley.

Upadhyay also raised concerns about India not having a national employment policy.

“Seventy years and no employment policy. Industrial policy has been framed on three occasions but nothing on employment policy. Today, the biggest problem is unemployment and the reason is we don’t have an employment policy. None of the governments cared could think about it,” added Upadhyay

In a written reply to the Rajya Sabha in 2014, Minister of State for Mines, Steel, Labour and Employment Vishnu Deo Sai said that the government had set up a task force to evolve a policy frame work for domestic workers in the context of regulatory mechanism and providing social security.

The task force is yet to come out with a policy.

“We have not come out with any legislation to form an employment policy. The issue is not being addressed and so the problem will continue,” said Upadhyay.​