The Indian Budget for 05-06
The Union Finance Minister, P Chidambaram, unveiled the annual budget and the highlights have been tax reforms and focus on infrastructure of 7 major cities and increased rural focus.
One of the things the urban business crowd is going to hotly debate is the slapping of a 0.1% withdrawal tax if Rs. 10000 or more is withdrawn from banks/ATM in a single day. In effect, one gets taxed for withdrawing one’s money on which one has already paid tax!
More stories on the budget:
From Moneycontrol.com, and Business Standard
Posted on February 28, 2005, in Uncategorized. Bookmark the permalink. 2 Comments.
Gautam Ghosh 
The point is not about Rs.10 or Rs.1; the core issue is that the Govt. doesn’t give a damn about continuing to burden the honest taxpayers. (read salaries). In any case I am anyway paying tax on what I earned, so why eye my money that i invest? Go tax the politicians!
this is just to keep track of money tranction from a accout so that it can be checked for blackmoney…..anyways its not big amount. And to counter that “it is a tax at income at which tax is already being paid”….u can think of it as part of tax which was not collectd before. Anyway, a person who make tranction of more than 10k/day can afford it. For Government’s advantage, its gonna be huge revenue for him.