of Modi 3.0 The first budget will be presented next month. The middle class has a lot of expectations from the upcoming budget. According to the news coming from sources, the government can increase the budget allocation for many welfare schemes including income tax relief. According to the report of global brokerage firm Jefferies, the government can give a big gift to first time home buyers. Jefferies has said in its report that the government should bring back the credit linked subsidy scheme for urban homes. Real estate experts say that this demand has been there for a long time. The government had also given indications. In such a situation, it is expected that this time it will be announced in the budget. The return of this scheme will give a lot of savings to first time home buyers. They will be able to fulfill their dream of a home easily.
The government has no shortage of money
The central government will not face any financial difficulties in carrying forward capital expenditure and development work in the upcoming budget. This is due to the dividend given to the government by the Reserve Bank of India (RBI) and the increase in tax income. Jefferies says that the upcoming budget will have a positive impact on affordable housing, consumer companies, price-sensitive industries and companies affected by capital expenditure. However, this budget will not have any impact on the IT and pharma industries.
The government has a financial buffer
The brokerage firm said that the government has a financial buffer of 40 to 50 basis points for more capital and social spending. The report further said that increasing income tax collection allows the government to give tax exemptions. This can provide relief to taxpayers. Along with this, increased spending will also support economic momentum. Also, capital expenditure should increase by Rs 30,000 crore.
Budget may increase on welfare scheme
Jefferies has expressed hope that in this budget, the expenditure on government welfare schemes can be increased by Rs 50,000 crore. At the same time, the borrowing target can be reduced. Apart from this, F&O trading can be curbed in the budget. However, there is no possibility of any change in the capital gains tax regime.
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