Key facts
- A government booklet released to mark Narendra Modi's tenure as India's longest-serving Prime Minister stated that tax reforms reflect the administration's vision of 'Ramrajya'.
- Reforms like GST, faceless tax, and Digital India have built public trust and are supporting India's goal of becoming a USD 5-trillion economy.
- The annual tax-free income limit has been increased six times since 2014, from Rs 2 lakh to Rs 12.75 lakh.
- The income taxpayer base has grown from 5.26 crore to 12.13 crore.
- The middle class is highlighted as the primary beneficiary of these reforms, with domestic consumption increasing by nearly Rs 2 lakh crore.
A government booklet released to mark Narendra Modi's tenure as India's longest-serving Prime Minister stated that the reduction in income tax burden over the past 12 years reflects the administration's vision of 'Ramrajya'. The booklet highlighted that reforms such as Goods and Services Tax (GST), faceless tax initiatives, and Digital India have fostered public trust, which is crucial for India's ambition to become a USD 5-trillion economy.
The government has provided tax relief on four occasions since 2014, significantly increasing the annual tax-free income limit six times from Rs 2 lakh to Rs 12.75 lakh. This has contributed to a sharp rise in the income taxpayer base, from 5.26 crore to 12.13 crore.
The booklet emphasized that increased government income has been returned to citizens, not merely accumulated in the treasury. Enhanced taxpayer confidence, supported by quicker income tax refunds, has improved cash availability and encouraged investment in national infrastructure such as roads and hospitals. The government views this as a demonstration of good governance and the message of 'Ramrajya'.
Modi became India's longest continuously serving Prime Minister on June 10, 2026, surpassing Jawaharlal Nehru's record. The publication noted India's economic transition from the 'Fragile Five' to the 'Fastest Growing Economy' through decisive reforms, including inflation control, GST implementation, and banking reforms that reduced non-performing assets (NPAs).
Further details from the booklet indicate that next-generation GST reforms have simplified lives and led to savings of up to 10% across all income groups, with GST collections reaching an all-time high of Rs 2.42 lakh crore in April. The middle class is identified as the biggest beneficiary, with domestic consumption increasing by nearly Rs 2 lakh crore and public sector banks reporting record profits.