Laid-off man who paid ₹1 crore in income tax sparks debate on unemployment benefits for taxpayers
An Indian professional's social media post claiming he paid nearly ₹1 crore in income tax over 14 years but received no support after being laid
An Indian professional's social media post claiming he paid nearly ₹1 crore in income tax over 14 years but received no support after being laid off has triggered a massive discussion on unemployment benefits, taxation, and public welfare in India. Mohamed Nowsath shared his experience in a post on X, expressing frustration over what he described as the absence of a social security system for taxpayers who lose their jobs. "14 years of career, paid close to 1 crore as income tax so far. Now, being laid off. Absolutely no trace of any support system. Thank you India," Nowsath wrote in his X post two days ago. The discussion gained further momentum after he revealed that his severance package would also be subject to tax. "Just learned that my severance pay will also be taxed!
I don't know what to say," he wrote. Debate over social security and personal responsibility The viral posts prompted mixed reactions online. While several users agreed that India lacks adequate social security for people who suddenly lose their income, others argued that individuals should prepare for such situations through personal savings and emergency funds. One X user asked, "What support system is expected?" Responding to the question, Nowsath wrote: “A certain percentage of salary or income tax being paid with tax exemption for 3-6 months may be?!” Another user, Manoj Arora, compared India's system with other countries, writing: "We justify our taxes by comparing with other countries. But forget to compare the returns that the taxpayers get in those countries," referring to unemployment benefits available in countries such as the UK, Australia, Canada and France.
However, not everyone agreed with Nowsath's views. "I don't understand. What do these people want? The government provided tax saving avenues like EPF / NPS / 80C Etc. Who stopped us from leveraging that? And now, you can still use government hospitals/schools that are totally free, no one's stopping you!" another X user wrote. 'At least provide quality public services,' says Nowsath Replying to criticism, Nowsath argued that if taxpayers are not entitled to financial support during periods of unemployment, they should at least receive better public infrastructure and services in return for the taxes they pay. Also Read | Presumptive taxation gets a rewrite under Income Tax Act 2025 "Many are upset that I asked for financial support during unemployment for income taxpayers," he wrote.
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