Overview

• A viral Reddit post revealed a seasoned professional would see his tax outgo jump from ₹12 lakh to ₹22 lakh on a ₹75 lakh salary due to a 10% surcharge above ₹50 lakh.
• Under the FY 2025–26 tax code, exempt slabs up to ₹4 lakh and progressive rates up to 30% apply without allowances or deductions, deepening the impact on high-income earners.
• Commenters on Financial Express, Business Today and News18 expressed frustration that public services do not match outsized contributions from the salaried middle class.
• To mitigate the surcharge bite, professionals are considering compensation through performance-linked variable pay, stock-based equity awards or engagement as consultants.
• The ongoing debate highlights concerns that India’s current tax structure disincentivizes career growth beyond the ₹50 lakh threshold.