The countdown to Union Budget 2026 has begun. ⏳

As we transition into the Income Tax Act, 2025, the focus has shifted entirely to the New Tax Regime. With popular deductions like Section 80C no longer on the table for those opting for the new system, the expectation isn't about saving through investments, but about having more disposable income through better slabs.

Here is what the buzz looks like for citizens and companies this year:

👤 For the Salaried Class & Citizens

Since the New Tax Regime is the default, the "Middle Class" is looking for adjustments that compensate for the lack of traditional deductions:

• Standard Deduction Hike: Currently at ₹75,000, there is a strong push to increase this to ₹1,00,000 to help offset inflation.

• Slab Rationalization: Expectations are high for a "GST-style" compression of slabs. Many hope the 30% peak rate will only kick in after ₹24 lakh or even ₹30 lakh, up from the current levels.

• Home Loan Relief: Since Section 24(b) interest isn't available in the new regime, there is a demand for a dedicated Interest Deduction (capped at ₹2 lakh) to keep the housing dream alive.

🏢 For Corporates & MSMEs

India Inc. is looking for consistency and "Ease of Doing Business 2.0":

• Capex Continuity: Markets expect a capital expenditure outlay of ₹12–13 lakh crore (a 10–12% growth) to keep the infrastructure engine humming.

• PLI Expansion: A potential additional outlay of ₹25,000+ crore for PLI schemes, specifically targeting high-tech manufacturing, AI, and green energy.

• MSME Support: Lowering compliance costs and introducing a dedicated credit guarantee scheme for small businesses.

📊 The Macro Picture

• GDP Growth: Forecasted at 6.5% – 7.5%, making India the fastest-growing large economy.

• Fiscal Deficit: Economists are eyeing a target of 4.2% to 4.3%, showing a commitment to fiscal discipline.

The 2026 Budget is more than just numbers; it’s a statement on how India plans to reach its $5 trillion goal while simplifying the lives of its taxpayers.

What is your "Budget Wishlist"?

With deductions like 80C gone, do you think higher standard deductions and wider tax slabs are enough? Or should the government bring back some specific relief for home buyers?

👇 Drop your expectations in the comments!

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