Systemic Correction over Mere Tax Cuts: Anupam Mittal's Take on Budget

New Delhi: The Union Budget’s latest provision, which spares salaried individuals earning up to Rs 12.75 lakh from income tax, has been lauded by Anupam Mittal, founder of People Group and Shaadi.com. Calling it a “foundational overhaul”, the Shark Tank India investor highlighted how previous Budgetsunfairly burdened the middle class while offering loopholes and tax benefits to the ultra-rich and businesses.
For years, India’s working professionals found themselves squeezed by multiple tax obligations, leaving them with little financial malleability. However, in her Budget speech, Finance Minister Nirmala Sitharaman announced a major relief—under the new tax regime, individuals earning up to Rs 12lakh will not have to pay income tax, and with standard deductions, the exemption extends to Rs 12.75 lakh. The Finance Minister emphasized that this measure would not only reduce the financial strain on the middle class but also ignite savings, investments, and consumer spending.

Anupam Mittal resonated with this lens, amplifying that economic strength is built upon a prosperous middle class, not an overburdened one. “You don’t build an economy by making people feel gareeb (poor). You build it by making them wealthier,” he wrote in a LinkedIn post.

He further drew comparisons from history, citing the United States’ post-World War II economic boom, which was fueled by empowering its working class. Similarly, China’s economic expansion in the 2000s was driven by policies that enhanced middle-class income and consumer spending. According to Mr. Mittal, India had long followed a flawed approach—over-taxing its most productive demographic rather than incentivizing them to invest and spend. He believes this budget marks a shift in that trend by allowing more disposable income, which will inevitably lead to greater economic activity.

In addition to tax relief for the salaried class, the budget also introduced several other taxpayer-friendly initiatives. One such measure includes rationalizing Tax Deducted at Source (TDS) rates, which will simplify the tax process for individuals and businesses. Additionally, the threshold for tax deductions available to senior citizens has been doubled to Rs 1lakh, offering much-needed financial respite to retirees.

Another significant change is the extension of the deadline for filling out updated income tax returns. Taxpayers will now have four years, instead of two to rectify and update their returns, providing more flexibility and reducing compliance pressure.

This progressive tax reform is expected to revitalize the financial ecosystem by increasing disposable income and stimulating household consumption. By shifting focus from over-taxation to economic empowerment, the government aims to cultivate a more dynamic and resilient economy. With business leaders like Anupam Mittal endorsing these changes, the Budget signals a move toward long-term economic sustainability rather than just temporary relief measures.