Budget 2026 Expectations: Finance Minister Nirmala Sitharaman set to deliver Budget speech at 11 am on February 1—See her full schedule

Budget 2026 Expectations LIVE: Urban affordable housing definition should be expanded, says Sterling Developers' Ramani Sastri 

Budget 2026 Expectations LIVE: Centre should revisit tax benefits for homebuyers, says NAREDCO Maharashtra's Prashant Sharma

NAREDCO Maharashtra President Prashant Sharma says that the real estate sector continues to be a critical driver of economic growth, employment generation and allied industries, and the industry is hopeful of seeing measures in the upcoming Union Budget that further strengthen end-user demand, enhance affordability and accelerate project execution. "Granting infrastructure status to housing, especially affordable and mid-income segments, would significantly improve access to institutional finance and reduce borrowing costs for developers," he says. 

“We strongly urge the government to revisit tax benefits for homebuyers by increasing the deduction limits on home loan interest and principal repayment under Sections 24(b) and 80C, which have remained unchanged for years. Rationalization of GST on construction materials and clarity on input tax credit would also help ease cost pressures. Additionally, faster approvals, policy support for redevelopment and urban housing, and incentives for sustainable and green developments will go a long way in supporting the sector’s long-term, inclusive growth," adds Sharma. 

Union minister of state for agriculture and farmers’ welfare predicts an inclusive budget for all sections

Ahead of the Union Budget, Union Minister of State for Agriculture and Farmers’ Welfare, Bagirath Chaudhary, expressed confidence that the upcoming budget would focus on the comprehensive development of every section of society. Addressing organisational meetings held by the BJP in Ajmer Rural and Ajmer City, Chaudhary highlighted that the budget would be a significant step towards the vision of a ‘Developed India’.

BJP plans grassroots outreach to highlight Union Budget 2026 benefits

The meetings, held at the BJP district office in Ajmer and K.D. Jain School in Kishangarh, brought together state ministers, local leaders, representatives, and a large number of party workers. Chaudhary announced that live broadcasts of the budget would be organised at the assembly, mandal, and booth levels, enabling party workers to disseminate key information to the public. He emphasised that the budget is not merely a document of figures but a tool for empowering every community. Highlighting the anticipated announcements for the holistic development of villages, farmers, workers, and marginalised groups, Chaudhary predicted that the budget would be a landmark in fulfilling Prime Minister Narendra Modi’s vision of a developed India.

Budget 2026 Expectations LIVE Update: There should be a level-playing field, says SBI Chairman CS Setty on parity between deposits & other financial instruments

Speaking on the banking industry's long-standing demand for better parity between bank deposits and other financial instruments, SBI Chairman CS Setty says: “As a banker, I would definitely say there should be a level playing field."

Fiscal constraints make preferential treatment difficult for deposits, he tells Zee Business. 

FM Nirmala Sitharaman plan on budget day

Finance Minister  Nirmala Sitharaman will begin the day by leaving home between 8:15 am and 8:30 am, followed by a photo opportunity at Kartavya Path scheduled between 8:45 am and 9:15 am. She will then proceed to Rashtrapati Bhavan before arriving at Parliament at 10 am. A Cabinet meeting is slated for 10:15 am, after which she will deliver the Union Budget speech in Parliament at 11 am, where key announcements, including income tax expectations, are keenly awaited.

Budget 2026 Live Updates: Proposal for a comprehensive tax amnesty scheme under customs

In the pre-budget recommendations, Taxmann's Advisory & Research noted that in the Union Budget 2019, the government had initiated the Legacy Dispute Resolution Scheme to settle pending disputes arising in Central Indirect Tax laws and had observed tremendous success in the initiative, receiving widespread acclaim from the industry.

The advisory stated that a large number of disputes are pending under customs laws that cause difficulties for taxpayers as well as the legal process, and has recommended that a scheme should be designed in line with the Sabka Vishwas Legacy Dispute Resolution Scheme (SVLDRS) 2019, pertaining to pre-GST indirect tax disputes, or with respect to income tax disputes under Vivad se Vishwas (VSV).

Taxmann recommended that the government should consider allowing taxpayers the opportunity to settle customs disputes by offering a complete waiver of interest and penalties.

Implementing such a scheme would be in consonance with the government’s objectives to simplify tax regulations, curtail litigation, and foster ease of doing business, it said.

Also Read: Budget 2026 Expectations: From income tax to GST to customs, what taxpayers can look out for—A quick take

Budget 2026 Live Updates: Facility to revise GST returns

Under the existing framework of GST law, the filing of returns once done cannot be revised. This inflexibility results in bona fide errors or omissions remaining uncorrected and gives rise to unnecessary disputes and litigation.

Experts have suggested that introducing a facility for revision of periodic returns under GST could help enhance the element of accuracy, transparency, and equity in tax compliance.

As followed under the erstwhile VAT regime, the taxpayer should be provided an opportunity to rectify the inadvertent mistakes. This would facilitate improving voluntary compliance, reduce unnecessary litigation, and build trust between taxpayers and tax administrations without causing any loss of revenue.

Accordingly, suitable provisions are recommended to be introduced to allow revision of GST returns already filed on account of enabling the rectification of errors in returns such as GSTR-1, GSTR3B, GSTR-9, and GSTR-6, within a prescribed timeframe and subject to appropriate safeguards.

Budget Expectation 2026 Live News: Concessional tax regimes for firms/LLPs

The government has introduced concessional and alternative tax regimes for domestic companies, individuals, HUF and cooperative societies. However, partnership firms and LLPs are still taxable at a flat rate of 30 per cent. The report from Taxmann Advisory & Research has recommended that the government introduce corresponding concessional tax regimes for the firms and LLPs.

Budget Expectation 2026 Live News: Clarity needed on the valuation of business benefits and perquisites 

The Income-tax Act, 2025, establishes business-related benefits and perquisites as taxable income, yet it lacks guidelines for determining their income value.

The same ambiguity applies to TDS provisions, which create uncertainty for both taxpayers and deductors.

Existing clarifications about existing regulations only use purchase or sale prices as their basis, which fails to cover all benefit types and commercial contracts.

The lack of standard valuation methods results in businesses facing different assessment results, which leads to increased compliance challenges. 

Tax experts and advisors have demanded that authorities establish definitive regulations which will assess the fair market value of benefits and perquisites that are taxable under Section 26(2)(f) and TDS under Section 393(1) to achieve consistent results and minimise conflicts.

Budget 2026 Live Updates: Need for trade and customs reforms

Respondents in the FICCI survey also requested that trade facilitation and customs processes should become more efficient, while logistics and port-related delays needed to be eliminated, and export incentives with refund systems should be strengthened.

The survey recommended higher allocations under the Remission of Duties and Taxes on Exported Products (RoDTEP) scheme. The survey recommended that the Special Economic Zone (SEZ) policy undergo reforms, which would result in better customs tariff management through the elimination of the current tariff rate systems. The survey recommended that customs tariffs should undergo rationalization which would create three standard rate tiers to achieve better compliance and predictability.

Also Read: Budget 2026: India Inc upbeat on growth; jobs, infra and exports top industry wish list, says FICCI

Budget Expectation 2026 Live News: Focus on direct tax reforms and dispute resolution

According to the Federation of Indian Chambers of Commerce and Industry’s (FICCI) Pre-Budget Survey, the direct tax system requires three main changes. The first requirement for direct tax systems is to establish a system which allows for online tax reporting. The second requirement is to provide taxpayers with assured tax outcomes. The third requirement is to develop better systems for handling disputes and managing litigation. The corporate restructuring field and investor services section need to facilitate organisations according to the respondents' requirements.

Budget Expectation 2026 Live News: Commodity taxes and export impact

When asked about potential changes in commodity transaction taxes due to rising gold and silver prices, Mishra said minor adjustments are possible. 

“Speculative interest has risen in gold and silver. The government may make small changes in commodity taxes, but major tax rates are unlikely to change. The policy focus is on tax certainty, not frequent changes,” he said. Mishra also commented on the impact of the 50 per cent US tariffs on Indian exports.

“Since the tariffs were imposed, overall exports have accelerated. Many categories were equally affected by Section 232 tariffs, but exports continue to grow. The US Supreme Court may soon rule some tariffs unconstitutional. Until then, the government does not need drastic budget measures,” he said.

Also Read: Budget Outlook 2026: Will tax rates be cut or increased?

Budget 2026 Live Updates: Focus on disinvestment and expenditure efficiency

Mishra suggested that rather than raising taxes, the government should focus on disinvestment and expenditure efficiency.

“Expenditure growth should be aligned with normal GDP growth, around 10 to 11 per cent, particularly for infrastructure and capital expenditure,” he said.

He added that government salaries and pensions could rise significantly next year due to arrears from the newly notified 7th Pay Commission, which may limit fiscal expansion this year.

Budget Expectation 2026 Live News: Will tax rates be cut or increased?

Axis Bank Chief Economist and Axis Capital Global Research Head Neelkanth Mishra has shared his views on the upcoming Union Budget 2026, discussing where the government should focus, the likelihood of tax rate changes, and key priorities for the economy. Mishra said the government should continue its focus on fiscal consolidation. 

“The government has set a roadmap to bring down central government debt to 50 per cent of GDP by 2031. I think it will follow through. Fiscal deficit, which was 4.4 per cent, is expected to be around 4.2 per cent in 2026-27. This is likely to be the target,” he said.

Regarding taxes, Mishra indicated that increases are unlikely. “There is little scope to raise taxes. Corporate taxes were reduced earlier and the effect is showing now.

Personal income taxes are also unlikely to see significant hikes. There are reports about benefits through family collective filing, but they are not macroeconomically significant,” he said.

Also Read: Budget Outlook 2026: Will tax rates be cut or increased?

Budget Expectation 2026 Live News: Simplifying taxation for foreign companies

The firm also mentioned that a similar approach is outlined in a suggestion made by NITI Aayog, which proposes an optional presumptive regime of taxation through sector-specific margins supported with legislation and safe harbour provisions. According to the paper, such a system promises to reduce litigation, strengthen investor confidence, and bring India closer to global best practices.

With the Union Budget just around the corner, as suggested by Taxmann, the government has an opportunity to address this long-pending issue by incorporating suitable amendments in the Income-Tax Act, 2025, in order to provide a facility of presumptive taxation for foreign companies.

Budget 2026 Live Updates: Introduce presumptive tax regime for foreign companies

Taxmann's report highlighted that challenges persist in India’s tax system in terms of Permanent Establishment (PE) and profit attribution disputes, resulting in litigations that take a very long time. Even the recent working paper prepared by NITI Aayog has recognised the lack of certainty of PE/PA as a dampener of FDI investors and ease of doing business.

The firm has recommended that a presumptive taxation regime can be introduced on a sectoral basis as a voluntary scheme for foreign firms, with a predetermined percentage of Indian receipts qualifying as taxable profit. This would reduce litigation, improve certainty, and strengthen India’s position as a global investment hub.

Budget Expectation 2026 Live News: Reintroduce 15% concessional tax for new manufacturing firms

Taxmann Advisory & Research noted that Section 201 of the new ITA 2025, corresponding to Section 115BAB of the ITA 1961, recognises new manufacturing companies as entitled to a 15-per cent concessional corporate tax. However, the benefit has been acknowledged for firms that commenced only till March 31, 2024. With the expiration of the sunrise clause itself, there is a great degree of uncertainty now.

Taxmann has recommended that the sunset provision deadline should at least extend up to March 31, 2027. The firm believes that this will once again reassert India's intention in manufacturing, will keep investment from going into other countries, and will reassert India's diplomacy of creating a manufacturing marketplace in India.

Budget Expectation 2026 Live News: Abolition of the old tax regime?

According to Taxmann Advisory & Research, the AY 2025-26 tax system shows that the old tax regime is becoming a liability. It resulted in more scrutiny for taxpayers who received delayed refunds while their deductions needed multiple checks, with some taxpayers withdrawing unsupported deductions through their amended returns. 

The new tax regime under Section 202 ITA 2025 and 115BAC ITA 1961 provides taxpayers with fewer deductions, which they can use to benefit from its simpler tax brackets, lower tax rates and quicker tax processing system. 

For Taxmann, running two parallel regimes is inefficient because the old regime requires verification systems and invites misuse, while the new regime has automated data processing methods. 

The advisory recommends a phased abolition of the old tax regime ahead of Budget 2026–27 because this approach will make it easier to follow tax regulations while decreasing legal conflicts and providing clearer tax rules.