- Government May Provide Tax Relief to Boost Consumption: The upcoming budget is likely to include tax cuts aimed at increasing disposable income to stimulate economic activity and consumption.
- Tax Benefits for Green Real Estate: The budget is expected to include incentives for sustainable practices in the real estate sector, such as tax benefits for adopting eco-friendly measures.
- Simplification of Tax Regimes: Industry bodies are pushing for reforms to simplify India's tax system, including consolidating capital gains taxes and reforming GST to reduce complexity.
- Fiscal Deficit Target: Finance Minister Nirmala Sitharaman has stated that India is on track to meet its 4.5% fiscal deficit target by FY 2026.
- Unemployment Rate Decline: The annual Periodic Labour Force Survey reports a decline in the unemployment rate and an increase in the labor force participation rate since the pandemic.
- Stock Market Anticipation: Investors are closely watching potential changes in tax slabs and capital gains tax structure in the upcoming budget, with hopes for positive measures to boost market confidence.
- Tax Relief Expectations: There is speculation about potential tax relief measures in the Union Budget 2024-25, including rationalizing tax slabs and raising exemption limits (India Today).
- New Income Tax Regime Adjustments: Experts suggest that the standard deduction limit may be increased to benefit middle-class taxpayers under the new income tax regime.
- GST Reforms for Tourism Industry: The travel and tourism industry is advocating for a uniform GST rate and simplified registration processes to enhance competitiveness and reduce administrative costs.
- Economic Growth Projections: The Economic Survey projects a real GDP growth of 6.5-7% for FY25, driven by improving rural demand and easing inflation.
