Arvind Kejriwal Writes To PM Modi, Demands Banning Loan Waivers For Billionaires

As the Delhi Assembly elections approach, Arvind Kejriwal, Aam Aadmi Party's national convenor and former Chief Minister of Delhi, has reached out to Prime Minister Narendra Modi. He urged the government to prioritise loan waivers for farmers and the middle class over wealthy individuals. Additionally, he called for a nationwide law to prevent loan waivers for billionaires.

The Delhi Assembly elections are set for February 5, with results expected on February 8. Kejriwal aims to secure a third consecutive term after AAP's overwhelming victory in 2020, where they won 62 out of 70 seats.

Loan Waiver Concerns

During a press conference on Tuesday, Kejriwal criticised the central government's alleged bias towards the affluent by forgiving corporate loans worth thousands of crores. He argued that such actions place an undue tax burden on ordinary citizens while benefiting the rich. "Common people are paying half their salaries in taxes, while the loans of the rich are being waived," he remarked.

Kejriwal suggested that stopping loan waivers for billionaires could allow the government to halve income tax and GST rates. This could also double the taxable income threshold and eliminate GST on essential goods. "This is a massive scandal, and it's time to put an end to it," he asserted.

Proposed Tax Reductions

In his letter, Kejriwal stated, "Prime Minister should declare that no rich person's loan will be waived off. If you want to waive off, then waive off farmers' loans, middle class's home loans. This money will benefit the middle class a lot."

Kejriwal further argued that by waiving loans for the wealthy, the government could reduce tax rates. "I have calculated that if loans are not waived off, then tax rates will be halved. A person earning 12 lakhs annually pays his entire salary in tax; this is the sorrow of the middle class," Kejriwal wrote.

He questioned why home loans or car loans of ordinary citizens aren't forgiven if corporate debts can be written off. Kejriwal emphasised that such measures would significantly relieve common people from financial burdens.