In her budget statement on Saturday, Finance minister Nirmala Sitharaman declared that under the new tax system, those earning up to Rs 12 lakh will not be obliged to pay taxes.
 
The internet erupted in enthusiasm as soon as she made her statement. Following this, a flurry of memes ridiculed the idea that those earning more than Rs 12 lakh might no longer rejoice over pay increases. In the middle of this, a post by an X user that highlighted India's wealth disparities became popular and sparked an online debate.

It all started after an X user expressed his thoughts on the new income tax slabs. "Only IT folks are crying about today's tax rebate up to 12L. For many in non-IT fields, 12L is a dream salary even after 7-10 years of experience. These IT folks earning 24L+ should stop calling themselves "lower middle class." Forget 12L-check the median salary of india and see where you stand. Acting like you're poor with a 24L salary? Please stop the nonsense," the post read.
 
A fintech fan responded to this by saying that anything below Rs 60 lakh annually is "poor." According to the user, anyone making Rs 2 lakh a month is considered middle class as 70% of income is spent on taxes like GS and VAT. "Middle-class people make less than 2LPM net. people in the middle class earn 60L-1cr. The upper middle class is defined as those earning more than $1cr+. The user added, "If you don't have generational wealth, you're not rich."

"If you earn 60LPA, it would take a minimum 5-6 years to own a flat in a metro city, assuming for a spouse and two kids," the user added in the following post.

The fintech techie's comment quickly garnered several reactions, triggering a debate online. "It's not about salary; it's about overall wealth. Someone with a 24L salary and a 5 Cr portfolio in a 60/40 allocation, along with a primary residence, is wealthier than someone earning 60L with 50L in liabilities and a personal residence," explained one user.

"The income tax slab alone offers a useful standard for classifying individuals. Individuals in the low-income category make less than 4LPA. 8–12 middle class, 4–8 lower middle class. upper middle class, ages 12 to 15. 15–20 upper class. "In a family of four, only one individual making 12L should be counted as 12/4," another said. "If 60L-1Cr is considered "middle class," what does 12L mean? Below the poverty line? This is merely troll farming, not economics. Finally, "rich" will entail paying cash for a mumbai apartment, a third user said. "Keep shifting the goalposts."
 



 
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04/02/2025 08:24 AM