There is only one state in India where people do not have to pay income tax. There is a special reason behind this, due to which the government has given this exemption to the people here.
Everyone has to pay income tax. If you earn more than the prescribed limit, then you have to inform the government about it and pay tax. But, there is a state in India where there is no tax on income.
It is difficult to believe this but it is true. Actually, Sikkim is the only state in the country where citizens do not have to pay any tax. However, there is a special reason behind this.
Sikkim has the status of a special state in the country and gives its citizens complete tax exemption. This arrangement has been implemented under Article 371 (F) of the Indian Constitution and Section 10 (26AAA) of the Income Tax Act 1961.
When Sikkim joined the Indian Union in 1975, it was given the status of tax-free special status. The purpose of this special right was to strengthen the economic status of the state and provide financial freedom to the people here.
The special thing is that the tax exemption given to the citizens here is not limited only to income tax, but this discount is also applicable on interest and dividend received from shares and other items.
Related Articles:-
Canadian govt has announced an increase in visa and processing fees, new rates to be announced today
EPFO’s new rules: Now there is no need to link Aadhaar with UAN, you can withdraw money easily
