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Nehru-Indira govts imposed heavy taxes on people’s earnings: PM Modi

Prime Minister Narendra Modi took a sharp swipe at the Congress on Sunday, invoking former Prime Ministers Jawaharlal Nehru and Indira Gandhi to highlight the heavy taxation policies of their governments.While addressing a rally at RK Puram in Delhi, PM Modi claimed that if Indira Gandhi were in power today, those earning Rs 12 lakh annually would have had to pay Rs 10 lakh in taxes."If someone had a salary of Rs 12 lakh at the time of Jawaharlal Nehru, one-fourth of it would have gone to tax. If today there was the government of Indira Gandhi, Rs 10 lakh of your Rs 12 lakh salary would have gone to the government as tax," Modi said.

Notably, the Congress-led government in the 1970s imposed one of the highest direct tax rates in history, reaching 93.5% in 1970 and peaking at 97.5% in 1973-74.The Prime Minister's remarks came a day after Finance Minister Nirmala Sitharaman presented the Union Budget 2025-26, which delivered significant income tax relief.

 

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