Income Tax: Even if the income is not 12 lakh but 12 crore, in this place in India people do not have to pay even a single rupee tax
Income tax rule: Many rules have been made regarding income tax in India. Every citizen of the country has to pay tax on his income. However, the government has fixed the limit for paying tax on income. In such a situation, the question comes to mind whether there is a place where one does not have to pay even a single rupee tax (Income Tax). Let us tell you that there is a place in India, where the residents do not have to pay even a single rupee tax. Let us know -
Breaking News - (income tax rule). Every citizen living in India has to pay income tax, this rule applies to everyone. However, the government has set a limit for paying income tax. In the February budget, the government has increased the annual tax free income of up to Rs 7 lakh to Rs 12 lakh annually.
But despite this, if your income is more than 12 lakhs, then you will have to pay tax. In such a situation, a question arises in the minds of taxpayers that there is no such place in the country where one does not have to pay even a single rupee tax, no matter how much income one earns annually.
You will be surprised to know that there is a state in the country where the residents do not have to pay even a single rupee tax even if they earn 12 lakhs or even 12 crores rupees annually.
Yes, this is true. In fact, Sikkim (income tax in Sikkim) is the only state in the country where citizens do not have to pay any tax on their income.
Let us tell you that there is a special reason behind this, due to which their income is tax free (Income Tax Free State). Let us know about this special rule -
Why do people of Sikkim not have to pay tax?
Let us tell you that Sikkim (income tax provision in Sikkim) was added to India in 1975, at that time a condition was kept that its old laws and special status would remain intact.
This northeastern state followed its own Sikkim Income Tax Manual 1948, which governs tax laws since 1975. Under this rule, no resident of Sikkim has to pay even a single rupee tax to the Government of India.
Under which law one does not have to pay tax -
According to media reports, Sikkim's tax laws were abolished in 2008. That year, Section 10 (26AAA) was inserted in the Union Budget, exempting residents of the state from taxes. A section in this act protects the special status given to Sikkim and includes "Sikkimese" as per Article 371 (F).
Know this special law -
The central government exempted more than 94 percent of Sikkimese people from income tax in 2008. Under Section 10 (26AAA), Sikkimese individuals do not have to pay even a single rupee tax on dividend income on shares. This new law was added later for Sikkimese residents.
The Supreme Court of India had held that the tax exemption available under Section 10 (26AAA) will be available to all Sikkimese people, including those who had permanently settled in the state before Sikkim was merged with India.