What are you expecting from this year’s Budget 2018-19? There is no doubt that expectations from Budget 2018 are very high. After 2 major steps taken by BJP Govt. demonetisation and implementation of Goods and Services Tax (GST), it become very tough to keep the expectations of common man.
Besides that also, 2019 will see the Lok Sabha polls and this will be their last Budget before Lok Sabha polls 2019. So, due to many such reasons Budget 2018-19 is going to be very much important.
Union Budget 2018-19 Date
Union Budget 2018-19 is going to be presented by our Honorable Finance Minister Mr. Arun Jaitley on February 1 2018. This is quite early compared to our previous Budget sessions so far. But it is on the cards as after BJP Govt. has made it clear few years back.
Narendra Modi government’s fifth and also the last full-fledged budget presentation before the 2019 Lok Sabha polls. The budget session of parliament will begin from January 29. The first phase of union budget session will take place from January 29 to February 9. The second session will be from March 5 to April 6.
Expectations from Budget 2018-19
Well, there is no limit of expectations as it’s obvious. One can expect many things to happen, but ultimately our Govt will take necessary actions as per their decisions whether many people may like it or many may criticise the same. But there are few certain things which as a salaried class many people are expecting from long time which has not been addressed inn budget.
These are some of the changes which will surely improve the aam aadmi life in India. Again these are all expectations that one can let Mr. Finance Minister aware to take into consideration. Let’s what are those few Budget 2018-19 expectations as per my understanding.
Income Tax Slab Rate for FY 2018-19 Ay 2019-2020
This is a very common and almost in before every budget the speculation of of changes of income tax slab rates spreads automatically. But frankly speaking, till date the income tax slab rate in India has room for improvement. So far up to Rs 2.5 lakh there is no income tax liability. Let’s hope that in this year’s budget FM may increase that basic exemption limit of income tax rates.
Interest on Housing Loan Should Be Increased Beyond 2 Lakh limit
Buying a second home was a very good way to save extra income taxes till few years back. But FM has capped that housing loan interest exemption limit up to 2 lakh when you buy a send home. E.g. if the interest paid on housing loan after setting off the rental income earned is Rs.3 lakhs, one can set off loss of Rs.2 lakhs against other income and the balance loss of Rs.1 lakh can be carried forward for set off against house property income of any of the next 8 years.
Increase in 80C limit
Section 80C is the most popular section where there are various investment options available to get tax exemption. You can checkout the 80C deduction list first, if you have any doubt. The problem here is that the maximum limit set is Rs 1.5 lakh only, where there are more than 10 investment options.
Reducing Taxes / GST on Insurance Products
We all know that the awareness about the life insurance is spreading in our country, as the number of people’s life covered is significantly low. In such a scenario, paying high taxes of GST on insurance premium could be a negative impact on this as well. Fm can think on this and at least waive off such taxes on some condition or some minimum life cover so that people can be encouraged more to buy term insurance & health insurance.
Increase Medical Bill reimbursement limit
The cost of medical expenses has touched rocket high in recent years. But we are getting only Rs 15,000 as income tax exemption every year which is very negligible amount I think. FM can think about this limit and may increase this limit so that one can save more income tax.
So, there could be various other expectations from Budget 2018-19, but as a salaried individual I think these few of the common expectations everyone is eyeing on from this upcoming Union Budget 2018. You can also share your views or expectations if any by writing a simple comment below.