The focus on Inequality is completely missing from the Finance Minister’s Budget Speech and the Budget. Oxfam India’s recent report highlights that India’s 100 top billionaires saw their fortunes increase by Rs 12,97,822 crore during the crisis at the time when 84% households saw a fall in income.
No commitments were made to bring in a wealth tax or ensure growth was equitable and inclusive.
The budget failed to tap into this potential source of revenue at a time when the recent Fight Inequality Alliance survey suggests that 78% people were in favour of imposing a 2% COVID cess on individuals earning more than INR 2 crore per annum. It would be critical to note that the budget has a 80,000 crores shortfall to meet expenditure targets which it proposes to meet through market-borrowing. Instead, the budget offered several incentives to start-ups and businesses such as Rs1.97 lakh crore in next 5 years for PLI schemes in 13 Sectors and extended tax holiday for start-ups.