The union Indian budget is just around the corner and the countdown has already begun. Whether it is the consumers, taxpayers, financial experts, and businesses, everyone has their focus on the upcoming budget. Most people are expecting a fair budget from Union Finance Minister Nirmala Sitharaman. People, at least the common salaried employees are expecting tax cuts and a reduction in the prices of daily necessities from the union government. Here are the five key predictions related to the Indian budget in 2020:
1. Relief for the common taxpayers
fundamental exception limit must be raised to three lakh INR per annum for an
individual salaried person and 3.5 lakh INR for the aged citizens of India and six
lakh INR for the super senior citizens of the country.
team, formed by the central government to outline new tax laws, as well as
suggested rationalization of the individual tax rate. It has suggested five tax
ranges of five percent, then 10 percent, the next 20 percent, and finally 30
percent as well as 35 percent. Time will tell what tax cuts the salaried
employees will receive in the upcoming budget.
2. More deduction for home loans
is suggested that the union government must promote the real estate sector by providing
an increased deduction for rates of interest on property loan and mull over raising
the limit to 250,000 INR for a single self-possessed real estate property and
300,000 INR for double self-possessed real estate properties.
3. Number of cities under the
the current time, more deductions are permissible if an employee is residing in
any of the four major and big metropolitan cities such as Mumbai, Kolkata, Delhi,
and Chennai. At present, the leasing costs for a property in cities such as
Hyderabad or Bengaluru are equivalent to or more than what it is for a renter
in a city like Delhi. Consequently, there is also a pressing requirement of insertion
of numerous other cities in this group such as Bengaluru, Pune, Hyderabad, Ahmadabad,
Gurgaon, Jaipur, and Noida.
4. Increase the exemption limit for
now, the earnings of minors incorporated in the hands of parents are off the
hook to the amount of 1,500. The standard spending to meet the rate of a
minor’s, health, education, lifestyle costs that have increased significantly
in the last few years is sadly insufficient. It is recommended that this limit
must be increased to a minimum of 5,000 INR for each minor. Now, what the union
government will decide is up to them and therefore, all have an eye on the
5. LTA for travelling in foreign countries
of now, an employee is eligible to assert an exemption for his or her leave
travel allowance or LTA allowed to him or her by the employer or company for
going for a holiday anywhere in India. Now, this exception is still permissible
only for vacations within the country. It is suggested that the exclusion
should be permitted for Indian tourist destinations and for foreign travel.
is eagerly looking forward to the Indian budget in 2020. Let us see what it has
in store for the common taxpayers and consumers in the days to come.