Every person in India, whether earning monthly income or buying items, must contribute by paying taxes. However, have you ever wondered how the tax system in India came into existence?
James Wilson, a Scottish-born economist, presented the first budget in India in 1860.
In the budget, he introduced income tax for the first time in India in 1860 during the rule of the East India Company.
James Wilson implemented tax for the first time in India on 24 July, 1860, which is why people also celebrate this day as 'Income Tax Day'.
After the First War of Independence in 1857, Wilson gave up his parliamentary seat in Britain. He was transferred to India by Queen Victoria to restructure India’s financial system, mainly to establish a comprehensive tax system and introduce paper currency in the country.
Moreover, Wilson also started Standard Chartered Bank. Earlier this bank was present in Australia, China and India originally functioning as Chartered Bank. Later, these three banks were merged to form Standard Chartered Bank in 1969.
Later on, Wilson worked with the British administration to help in matters related to finance.