Did Tax Cuts Help BJP?

The Budget proposal raising of the income tax exemption limit from Rs 7.5 lakh to Rs 12 lakh days before the Delhi election might have just helped sweeten voter choice in Delhi which has a large number of professionals, state and central officials and businessmen who are in the tax net.

The re-arranging of tax slabs will ensure gains for all assesses including those in the highest bracket who will also pay Rs 1.1 lakh less under the new tax regime. The disenchantment of the middle class Delhi resident over the spread of civic mess in the city in the wake of rapid encroachment and deteriorating services was evident even before the election.

But this section of voters who was willing to back Aam Admi Party leader A K Kejriwal in the Capital is a direct beneficiary of the Budget proposal and the generous increase in the exemption limit was a nudge in the right direction. BJP would have hoped that the signal would communicate its intent to do more for this section that has had a diffused character and is not seen as a vote bank.

AAP did try to reach out to the middle class in the wake of reports that this band of tax payers was unhappy over being ignored by successive Budgets and demanded a list of concessions from the Centre. The Budget, however, exceeded expectations and made BJP the firm favourite with this class of voters.

The problem with residents of leafy colonies and apartment complexes as far as the BJP is concerned that they do not vote in full force. This time too voting in many such areas was not high but AAP suffered as the voters who did turn out plumbed for BJP. In the meanwhile, AAP’s own loyal voters among the less well off showed a lack of enthusiasm for the party which they felt was not doing enough.

Delhi Assembly Election 2025Finance Minister Nirmala SitharamanIndian middle classNarendar Moditax cutUnion Budget 2025Web Exclusive