CHENNAI: While experts claim that Union Budget annoucement of increasing income tax slabs to Rs 7 lakh per annum for those who opt for new tax regime would increase spending by citizens, parties like Makkal Needhi Maiam (MNM), Naam Tamilar Katchi (NTK) and Marumalarchi Dravida Munnetra Kazhagam (MDMK) expressed disappointment. The new regime would discourage saving habit of the citizens, they rued.

In a statement, MNM leader Kamal Haasan said that as the crores of people struggle to run their life, the budget shows empty exultant and there is no project that will benefit the poorer section directly.” A few announcements have been made for the middle class, however the announcement will not be helpful as they are facing financial distress. There is no announcements to improve rural economy, control inflation and unemployment,” he said.

He opined that the budget has announcements that will encourage spending and benefit corporate firms. “The budget is a disappointment as there is no significant announcement for Tamil Nadu,” he added.

NTK coordinator Seeman expressed that the 2023 budget announcement is hoodwinking the public like the last 9 years of budget announcements of Narendra Modi’s government did.

“As income tax relaxation is announced only for the persons opting for the new regime, this will impact the middle class. This is also an attempt to pushing salaried persons into the new regime. Moreover, the new regime will reduce saving mentality and decrease investments in institutions like the LIC. This will hinder infrastructural development of the country,” he said. The act of reducing excise duty for mobile phones and electronic items and not reducing duties on fuel shows that the budget is only for rich, he added.

Seeman condemned the reduction of food subsidy by 31 per cent and subsidy for fertilizer by 22 per cent. “Reducing subsidy for fertilizers and promising credit to the farmers will push farmers into debt,” he warned.

MDMK founder Vaiko pointed out that the budget has not included schemes to promote agriculture, which is disappointing. The senior leader warned that the government may start hydrocarbon projects in Cauvery Delta.