India is a country where every person living has to pay income tax. Actually, some rules to income tax have been implemented for this. The person whose income is above the limit is to pay tax. At present, income up to 12 lakhs has been made tax free. If a person earns more than this, he will have to pay tax.
If we tell you that there is such a place in the country. Where the millionaire does not have to pay tax, what will you say. It is obvious that anyone will be surprised to hear this, but there is a state in India where 12 lakhs, if a person earns 12 crore rupees, will not have to pay tax. This state is none other than a beautiful Sikkim.
Sikkim is a state in India which is recognized because of its beauty. This is a tax free state where no person living has to pay tax. Those who live here are completely out of the purview of taxation. No rules of income tax apply to these people.
Let us tell you that in 1975, Sikkim was mixed in India with the condition that the old and special law here will remain intact. It has its own income tax manual. This law of 1948 controls tax rules since 1975. Under this, no resident of Sikkim pays tax to the Government of India.
People living in Sikkim have been exempted from income tax under Section 1961 10 (26AAA) of the Income Tax Act. According to media reports, Sikkim's tax laws were canceled in 2008 and under this section, the residents there have been exempted from tax. This section protects the special tailor given to Sikkim. In 2008, more than 94% of the people here were given income tax exemption. Apart from this, share dividend and returns are also exempted. In this case, in the Supreme Court, all the people of Sikkim have been asked to get the benefit of exemption from income tax under the rules.
