Date:05/05/2005 URL: http://www.thehindu.com/2005/05/05/stories/2005050501551001.htm

Opinion - Letters to the Editor

Gift for senior citizens

The passing of the Finance Bill with a few welcome last-minute changes is appreciable. In fact senior citizens should have been completely exempted from paying income tax. That would have got the Government more political mileage.

N.V.B.S. Satyanarayana,
Hyderabad

The increase in the IT exemption limit for senior citizens has been variously described as a bonanza, benefit, etc. A senior citizen, under the existing dispensation, pays no tax up to an income of Rs.1,97,000 taking into account the standard deduction, relief under Section 88B and exemption on interest income from bank deposits.

This has now been reduced to Rs.1,85,000. By reducing the exemption at the proposal level and restoring it partially later, an illusion of benefit has been created.

G. Ganesan,
Hyderabad

Who is a senior citizen? A person retires at the age of 58-60. The UTI senior citizen schemes define a senior citizen as a person above 58 years for medical hospitalisation benefits. Banks, Railways, airlines, define a senior citizen as a person above 60 years.

But the Income Tax Department classifies a senior citizen as a person above 65 years to avail the IT exemption limits of Rs.1,85,000. Why?

L.P. Subramanian,
Chennai

The raising of the IT exemption limit for women is unfortunate. When the Constitution guarantees equality for all under the law irrespective of caste, creed, sex, etc., why should preferential treatment be accorded to women with regard to paying income tax. At the cost of being branded a male chauvinist, I oppose such concessions for the fairer sex.

B.C. Unnikrishnan Nair,
Thiruvananthapuram