Mahesh Krishnamoorthy, Managing Director, Core Integra.
Credit: Core Integra
Finance Minister Nirmala Sitharaman will present the 8th consecutive Union Budget on February 1, 2025. Reports suggest that the government is mulling over cutting income tax for those who are earning up to Rs 15 lakh a year in February's budget, in turn providing relief to the middle class.
The IT sector has pinned high hopes on the Union Budget FY 2025-26 documents and is keeping its fingers crossed regarding their expectations from the government's most important financial document of the year.
"As we approach the Union Budget 2025, the business community expects simplification of regulations, lesser penal provisions, single window clearances and digitalization of compliances.
This will not only enable ease of complying but bring higher transparency and better governance.
One of the key expectations is the implementation of the new labour codes which will bring about a significant transformation in the manner in which labour law compliances are done today.
Not only will it consolidate and simplify the regulations but ensure better adherence. It would also pave way for integrated platforms for digital submissions. It is anticipated that the budget will mention at least a phased roll out starting with the Code on Wages and Social Security.
The new Wage code will also take care of benefits and better governance of the unstructured workforce thereby fostering collaborative and resilient business environment as we moved towards a GDP of USD 5 trillion."
From the industry perspective, the expectations would be to initiate steps towards simplification of labour laws, digitalization of compliances and enhanced transparency in licensing and registration processes.
From an individual’s perspective, the expectations would include lesser complexity in direct tax slab rates, eliminate surcharge & cess, increase in the sec. 80 C limits, higher housing loan interest benefit under sec. 24 and exclusion of housing loan principal, stamp duty and registration expenses from sec. 80C to an independent benefit section.
It would also be a positive move if the Budget announces some additional benefits or concessions to tax payers," said Mahesh Krishnamoorthy, Managing Director, Core Integra.
Union Budget 2025 | Nirmala Sitharaman, who continues to be Finance Minister, will present her record 8th Union Budget this time. While inflation has burnt a hole in the pockets of 'aam janata', reports suggest there might be a tax relief for those making up to Rs 15 lakh per year. Track the latest coverage, live news, in-depth opinions, and analysis only on Deccan Herald. Also follow us on WhatsApp, LinkedIn, X, Facebook, YouTube, and Instagram.