FM Jaitley must have take into account global trade tensions, protectionism and rising crude prices.
Here are 5 important things which we can expect from this budget which also happens to be fourth budget of PM Narendra Modi led NDA government.
1. Cashless push:
This is the first Union budget after demonetisation. It is expected to promote cashless transactions. Benefits to promote people to go cashless through credit cards, debit cards and mobile wallets, apps are expected to be part of this budget.
2. Relief for farmers:
After demonetisation, farmers were not able to sell their rabi crops due to unavailability of new cash in sufficient amount. In this budget, it is expected that farmers who were hit by note ban would get some benefits so that they can be compensated for their pain.
3. Real estate:
India's real estate sector in 2016 was not smooth for the major GDP contributors. Both, Real Estate Regulatory Act (RERA) and demonetisation caused major damages to this sector. Relaxation in income tax rate, hike in the HRA deduction limit for salaried people, may be announced. Measures to standardize the construction material costs are also expected from this budget.
4. Housing loan:
In 2015, PM Narendra Modi-led government announced the Pradhan Mantri Awas Yojna (PMAY). The scheme is aimed to provide housing for all. Hence, some tax concessions in the budget may be announced. The increase in the tax deduction for interest paid on housing loan is anticipated. In the Union Budget 2017-18, some concessions may be offered to increase the tax benefit on payment of interest beyond the annual Rs 2 lakh, to give a helping hand to both the industry and taxpayers.
