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Sunday, 29 November 2015

Real & Apparent Earning - Col Ranbir Lamba

Earn simple Rs. 1000/- But Govt turns it to Rs 417 Yeah Hai FM ka Jadoo

What Government earns without working

Income Tax + cess= Govt. earns 333.33)

The VAT + Service Tax (Including Swach Bharat Cess) would be 195.50 (Govt earns 195.5)= Govt. earns 333.33)

A) Govt. earns 333.33)

B ),one has to use bike for the 20km trip to and from home. Fuel Expenses - 45 Rupees (Govt earns 23 rupees on that. Including latest excise hike of 1.50)

C)one has to pay Rs.17 on road taxes on my bike. Considering 200 rides a year for 5 years, I pay Rs. 17 a ride to the Govt. (Govt. earns 17)

D) to earn one has to do job .one has to pay Rs.17 on road taxes on my bike. Considering 200 rides a year for 5 years, I pay Rs. 17 a ride to the Govt. (Govt. earns 17)

E) one has worked for 8 hours but government has earned without working

So when i went out for a meal for Rs.1000/- the Govt. earned 195.5+333.33+23+17+17 = 583
Rupees.
You work & get 1000 but in reality = 1000-583=417

This is your today's lesson on direct and indirect taxation.
You get only 40% in broader sense but in real sense 35% or less

Col Ranbir Lamba

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