PRESS RELEASE
CITU
OPPOSES GOVT DECISION THE SLASHING DOWN THE INTERESTS RATE ON SMALL SAVINGS,
PPF etc,.
Press Release
` 1st April 2020
CITU OPPOSES GOVT DECISION THE SLASHING DOWN THE INTERESTS
RATE ON SMALL SAVINGS, PPF ETC WHICH WILL AFFECT THE SUPERANNUATED WORKERS AND
EMPLOYEES-THE SENIOR CITIZENS MOST
The Centre of Indian
Trade Unions denounces Govt decision to drastically reduce the interest rates
on small savings by around 140 basis points. This is a second-time reduction in
interest rate on small savings within a span of less than one year, last being
in June 2019. This will affect financially the mass of the populace, the
superannuated, income-less several crores of senior citizens in particular who
survive mainly on the meager return on their savings. It will also act as
disincentive for generations of small savings of the common people through
Govt-run savings instruments, which is an important source of resources for
both the central and state governments for developmental work. This decision
will also act in promoting the mutual funds and other speculative financial
instruments being run by major big corporate, in collaboration with foreign
financial agencies.
This cut in interest
rates on small savings is being justified for sustaining govt revenue and
contain the fiscal imbalance owing to economic slowdown and post lockdown
situation which is nothing but a deceptive plea. .
The questions arise,
why the has the Govt left, rather freed the ultra rich section from sharing the
burden of so called fiscal-imbalance,–the so called high
net-worth-individuals(HINI)-all from big corporate/business community –who have
cornered more than 50 per cent of national wealth, wholly burdening the people?
It is these toiling
people in industries, services and agriculture who creates wealth for the
national economy, delivers resources to national exchequer shouldering the
increasing and widening burden of indirect taxes and also income tax through
deduction from their wages. And now they are being fleeced further
despite they being worst affected and sufferers of economic slowdown and also
unavoidable lockdown phenomenon.
And the so called HINI
from the big corporate/business community are favoured with tax concessions
worth lakhs of crores of rupees in every budget including the latest one and
yet they habitually evade their direct tax obligations after consuming all concessions,
which is indirect and patronised pilferage from national exchequer. Only during
2014-2019, the unpaid direct tax accumulation from the same class has reached
Rs 5.84 lakh crore as per official estimate. This very community of HINI is
favoured with a rebate/waiver of more than Rs 2 lakh crore of their due
bank-loans during last year. Why should not they be charged additional
tax/cess out of their huge accumulated wealth which are amassed through
extraction and expropriation of the wealth created by the working people. Why
should there not be stringent action of recovering from them, their unpaid
accumulated direct tax dues?
CITU denounces the
brazenly anti-people discriminatory action of the Govt in slashing down the
interest rate on small savings. CITU reiterates the demand of the entire trade
union movement to differentially treat the interests rates on social security
savings and small savings instruments from commercial interest rate, and
maintain them at a higher level. CITU also demands restoration of the interest
rates on all small savings.
Issued by
( Tapan Sen )
General
Secretary