Poor Man's Budget | MCQs

Explanation

Liaquat Ali Khan Presented Poor Men’s Budget in 1946.

Following were some of the main features of the Poor Man’s Budget:

Salt Tax was completely abolished for the first time.

The minimum exemption limit for income tax was raised from Rs. 2000/- to Rs. 2500/-

Special income tax of 25% was introduced on businessmen whose annual profit was more than Rs. 100000/-

A graduated tax was introduced on the capital gains exceeding Rs. 5000/-

A commission was proposed to look into the accounts of those who accumulated wealth during the Second World War and to introduce heavy taxes on them.