Every year before declaring the Union Budget, the series of expectations and suggestions started growing which is very obvious. Then what will Budget 2017-18 will delivery to India? The expectations from Budget 2017 is really high specially for salaried class people in India.
After demonetization move, when Govt is claiming that Black money hoarder will get hit and as many people will come into the banking system, the income tax liability from the salaried class people may get high. So, obviously the major attraction of Budget 2017 is from the Income tax point of view only.
Speculations are also like that in coming days Govt may declare India as Zero tax nation, which looks like not possible on ground. But one can expect a major revolutionary changes in the income tax slab for next financial onward. In this article, I will share the best 10 Budget 2017 expectations which started getting viral in social media and leading newspapers in India.
Budget 2017-18 expectation for salaried persons
1) The much discussed topic right now is the what will be the upcoming income tax slab rate. People are expecting a complete modification of basic exemption limit to entire tax slabs to get new structured.
2) NPS of national pension scheme is the new hope for salaried class to start accumulating money for retirement. In fact right now this is the best EPF alternative, but this tool is not EEE. That means maturity is taxable. So, the expectation is to make it tax free.
3) The 80C investment limit is set to Rs 1.5 lakh from so long with many investment options under one bracket. FM may increase the limit of 80C exemption limit to give huge boost to investors.
4) The concept of tax saving fixed deposit scheme should be withdrawn and instead of that one person should allowed to do a certain amount of FD / year without worrying about any income tax.
5) The popularity of Mutual fund investments are growing in country and people started understanding the concept of wealth creation. In such a case investment through ELSS mutual fund should be encouraged by putting some special income tax relaxation rule.
6) After demonetization, it is expected that the real-estate market is going to get a correction in coming days. In such a case, a low home loan may increase the purchasing power of buyers and the real-estate market will get a direct boom.
7) Senior citizens should be provided with much more relaxation in case of income tax or TDS rules from fixed deposit or income tax slab rate.
8) I have read some places that the deduction for home loan interest rate should be hiked to Rs 5 lakh which will again boost common people purchasing power and they can easily buy their dream home or first home comfortably.
9) As people are travelling more abroad, the exemption limit for LTA is not enough in that case for the period of 4 years. So, FM can raise the LTA limit at-least for foreign travels.
10) Freelancers, Bloggers and small business owners who are making money online from business or providing service or selling digital products online are also paying taxes. FM should provide some relaxation or abolition of income tax to boost this segment in India.
Well, I am sure there are many such expectations from individuals and the list will be endless. These are few of them which I found interesting and may be possible under Union budget 2017. But again, these are all speculation or proposal or suggestion which you should read for interest only. For actual Budget 2017 declaration, you have to wait till February 2017.