Income tax and Senior citizens

I see. The retirement age has been changed from 55 to 60. So, I suppose it could also be change to 65 now so as to synchronize it across all institutions.

Hi Buchiji Let us hope so, but this is India.. Thanks for response. God bless you friend, cheers. Professor. .

Hi faisai, I think that for Income Tax purposes also, age should be brought down. My argument is - most people retire by 58, or 60. That is the standard retirement age in our country. So when they pay taxes after retirement, the income is actually from their retirement savings. Initially, the tax would seem higher, as exempt income level increases with each year. Last year it was 225000 this year is ti 245000. But the retired person ends up paying higher taxes in the initial years, which amount was actually necessary to be ploughed back for increasing savings to combat inflation. This impact of first five or seven years hurts their purses rather badly, losing them respect among their family members. In a country that has no social security system, and no plans or laws to save elderly from being harassed by their kids, this is very sad! Effectively, the person is forced to save more for retirement. Not everybody is in government jobs, forcing them to do work past retirement age in private jobs - at a lesser pay than youngsters, effectively depriving youngsters of an opportunity to be employed and creating resentment of sorts. If on the other hand, people who retire do not have to pay any taxes on income from their retirement savings if they not employed, then they would be safe for the rest of their lives. And youngsters would find employment as well. That is why the definition of senior citizen should be uniform in all departments. Age 60 would be fine, except in cases of people opting for voluntary retirement.

I am sorry but I still don't quite follow the arguments. Why the retirement age should be 60 instead of 65 so that the tax is cover by income rather than savings? Older people being asked to work pass their "retirement age" for less pay is exactly because the "official" "retirement age" is at 60 which I don't quite see why it has to be that way. If it has to be unified, I couldn't help asking, why can't we make it 65.

I want to say that the income tax department should also consider persons of age 60 as Senior citizen, so that they enjoy the soecial priviledges.. Thanks for response. God bless you friend, cheers. Professor. .

Nice to know you are going back.. The pension is transferable.. Thanks for response. God bless you friend, cheers. Professor. .

Herro Hatley I don't know what the guideline for taxing social security is. I do know that they do not deduct taxes, but when I do our taxes we are taxed. My husband is 76, I am on disability. It throws us into owing every year. The defining guideline could be that we have retirement income, although taxes are deducted. I'm not sure how IRS regulations affect us. I use an electronic filing program. Prosperous mylotting

Mm Hatley and Texlady.. Thanks for the detailed responses. God bless you friend, cheers. Professor. .

Thanks for sharing the information. God bless you friend, cheers. Professor. .

Wow free train or bus, wonderful.. Thanks for sharing information about your place. God bless you friend, cheers. Professor. .