Summary Points: India: At a Rs.50L CTC, you face a 26% income tax hit (Rs. 13 lakhs), plus GST (avg. 12% of spending), pushing total tax to 32.2%, that’s a lot of money. USA: A PPP-equivalent of (Rs.50 Laks) $171,429 salary sees 25.4% in federal taxes ($43,619), with 7% sales tax bumping it to 29.1%…
Summary Points: Only 25.5% of India’s 143.81 crore population (36.67 crore) are working and earning, and 7.67% of them (2.81 crore) paid income tax in FY 2023-24. Personal income tax has grown at 15.6% per year over 29 years, outpacing the Sensex (11.58%) and GDP growth (10-11%). Indirect taxes like GST, paid by all, make…
Summary Points: Tax Harvesting Basics: Sell and reinvest equity mutual funds or stocks to keep long-term capital gains (LTCG) under Rs.1.25 lakh and avoid the 12.5% tax. Tax Loss Harvesting: Use losses from underperforming investments to offset gains, slashing your tax bill (e.g., saving Rs.2,500 on a Rs.1.5 lakh gain). Real-Life Wins: See how Priya…
Hey everyone, today I have come with a topic that’s been buzzing in my chai breaks since the latest budget: taxes! Specifically, how the ever-changing tax rules are impacting our decisions related to investments. Now, I know taxes aren’t exactly the most exciting thing to talk about, but trust me, understanding this stuff can boost…
Why do we pay taxes? The tax paid by us becomes a receipt (income) for the government of India. They use the receipts to fund essential expenses like defence, police, judiciary, public health, infrastructure etc. But you will be surprised to note that almost one quarter (23.31%) of the total government expense is spent on…
