India is a country where people are worried/tensed when they are not earning, and even when they are earning. When they don’t earn, they are worried about a meal a day and when they are earning, they get tensed on their liability to pay tax; having said that, paying tax is not a bad thing to do. That’s more of our duty towards our nation.
It’s more like paying for a cause but why do we have to pay so much when we can actually cut it to a smaller amount or maybe no tax at all. Afraid of possible raids by the Income Tax Department, people try to maintain a clean sheet and end up paying more tax than they actually should. This tax paid by the people is very good for the government but a big hole in the pockets of the masses. It’s like giving your hard earned money to the government as a punishment of not saving it properly.
The tax paid, however, is used for making things easy for us as the government improves the infrastructure, education system and many other things which we don’t see as a direct benefit to us. And as we all know and agree, whatever that doesn’t benefit us directly or materialistically, is not a benefit for us. So, in order to get direct benefits, there are escape plans from paying tax. To put it across in a subtle way or financial terms, we have “Tax Savings” options. Tax saving is all about ensuring that you invest your hard earned money in different tax saving schemes and reap the fruits of not paying tax and getting tax free dividends too!