What Will a Tax-Friendly Budget Mean for India?

Tue, 31 Jan Pre-Open

   Previous Close   

   09:30 am   

   11:30 am   

   01:30 pm   

   Closing   

We're just a day away from the Union Budget 2017-18. Come tomorrow, Arun Jaitley will don the mantle to provide a roadmap on how the government plans to manage the Indian economy for the year ahead. There's speculation all around, especially on the taxation front...

What will Jaitley do? Will taxes be cut for the common man? What about corporate India? Will the rich get taxed more? The din of analysis sounds everywhere. Let us address these questions by keeping some major things in perspective...

Each year, taxpayers look towards the finance minister to bring in some good news. And this year is no exception. In fact, the topic is more sought out this time around, thanks to the government's demonetisation move. There are many requests made to Finance Minister Arun Jaitley to expand the income tax slabs.

An article in Firstpost mentions accounting regulator ICAI suggesting an increase in tax exemption limits and expanding the taxation slabs. The ICAI has suggested nil tax on income from Rs 0 to 3 lakh. This is against the present slab of Rs 0-2.5 lakh. Further, it has suggested 10% tax on income from Rs 3-10 lakh, 20% from Rs 10 lakh to 20 lakh, and 30% on Rs 20 lakh and beyond.

On the corporate tax side, the proposal is to bring down the tax rate to 25% over four years beginning this year.

But will it be in India's best interest to cut tax rates?

Maybe so. After all, a relaxation in tax rates could encourage more people to disclose their income (which is the need of the hour). If that happens, it will mean more revenues for the government. And if the government plans it through, these revenues can be strategically used for the development of the economy.

Also, a reduction in tax rates will prop-up public consumption and private investments. This will further aid the growth of the Indian economy.

What we also want is to see the government getting rid of the complicated layers of exemptions, and to have a simple and uniform tax rate which is lower than the current one.

This will not only make for better tax compliance by taxpayers, but also make it easier for the tax department to administer appropriate tax collections, as well as reduce tax litigation.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

Read the latest Market Commentary

Top Gainers TodayTop Gainers over 1-WeekTop Gainers over 1-MonthTop Gainers over 1-YearTop Gainers over 3-YrsTop Gainers over 5-YrsTop Losers TodayTop Losers over 1-WeekTop Losers over 1-MonthTop Losers over 1-YearTop Losers over 3-YrsTop Losers over 5-YrsOnly BuyersOnly SellersMost Active StocksMost Popular Stocks52 Week High Stocks52 Week Low Stocks

INDICESBSE (Rs 0 to 1)BSE (Rs 1 to 2)BSE (Rs 2 to 4)BSE (Rs 4 to 10)BSE (Rs 10 to 20)BSE (Above Rs 20)BSE - AllBSE-30BSE-100BSE-200BSE-500BSE AutoBSE BankexBSE Capital GoodsBSE Consumer DurablesBSE FMCGBSE HealthcareBSE ITBSE MetalBSE Oil & GasBSE PSUBSE TeckBSE RealtyBSE PowerBSE A GroupBSE B GroupBSE Mid-CapBSE Small-CapBSE Basic MaterialsBSE Consumer DiscretionaryBSE IndustrialsBSE UtilitiesBSE Sensex 50BSE Sensex Next 50BSE Bharat 22BSE 150 MidCapBSE 250 SmallCapBSE 250 LargeMidCapBSE 400 MidSmallCapBSE AllCapBSE LargeCapBSE SmallCap SelectBSE 100 LargeCap TMCBSE InfraBSE ManufacturingBSE CPSEBSE Private BankBSE Diversified FinancialsBSE MomentumBSE Low VolatilityBSE QualityBSE Enhanced ValueBSE Divident StabilityS&P BSE IPOBSE SMEIPOBSE 100 ESGBSE CarbonexBSE GreenexNSE (Rs 0 to 10)NSE (Rs 10 to 20)NSE (Above Rs 20)NSE - AllNSE-50NSE ITNSE Nifty Midcap 50NSE JR. NiftyNSE Bank NiftyNIFTY Next 50NIFTY 100NIFTY 200NIFTY 500NIFTY MidCap 100NIFTY SmallCap 250NIFTY SmallCap 50NIFTY SmallCap 100NIFTY LargeMidCap 250NIFTY MidSmallCap 400NIFTY AutoNIFTY Consumer DurablesNIFTY FinanceNIFTY FMCGNIFTY MediaNIFTY MetalNIFTY PharmaNIFTY Private BankNIFTY PSU BankNIFTY RealtyNIFTY Oil & GasNIFTY SME EmergeNIFTY CommoditiesNIFTY CPSENIFTY EnergyNIFTY India ConsumptionNIFTY InfraNIFTY MNCNIFTY PSENIFTY Serv SectorNIFTY100 Liquid 15NIFTY Midcap Liquid 15NIFTY Midcap 150 Quality 50NIFTY50 Equal WeightNIFTY100 Equal WeightNIFTY100 Low Volatility 30NIFTY100 Alpha 30NIFTY Alpha 50NIFTY Dividend Opportunities 50NIFTY High Beta 50NIFTY Low Volatility 50NIFTY200 Quality 30NIFTY 500 Value 50NIFTY 100 Quality 30SECTORSAgricultureAirlinesAluminiumAsset Management CompaniesAutomobilesAuto AncillariesBanks (Private)Banks (PSU)BankingCementChemicalsDefenceDiagnosticsDronesEngineeringElectric VehicleElectric Vehicle BatteryEnergy SourcesESGEthanolFertilizersFintechFMCGFoodGreen HydrogenHotelsInfrastructureInsuranceInvestment and FinanceInvITIT (Large)IT (Others)LogisticsMediaMetalMiningIndia's Big Tech StocksIndian PharmaMNC PharmaPSUPaintPaperPlasticPowerRating AgenciesReal EstateREITsRenewable EnergyRetailingSemiconductorShippingSteelSugarSupply ChainTelecomTextilesTravel Support Services

10 results 25 results 50 results 100 results All results

Indian Share Market Update: Top Gainers and Losers