Updated: Nov 27, 2019
Now, our Government has taken Ease of Doing business further by stress on ‘Ease of Living’ for the common men of this country, especially for those belonging to poor & middle class of the society. ~Finance Minister, Budget speech ’18
Assumptions of higher domestic growth, better tax collection appear very ambitious. Rise in commodity prices (including oil), growing protectionism in major economies of the world (USA, UK etc.), shrinking exports, lowering private investment, rising bond yield along with perils of rising inflation (due to expected rise in food and oil price and putting more disposable rural income through government spending) can throw the fiscal off mark.
Major reforms have been made in the direct tax regime, such as decrease in the corporate tax rate, increase in cess, taxation of long term capital gains from transfer of equity, relaxation of deductions available to senior citizens, and more.
As for the indirect tax regime, GST did not see any change, however, major rate changes have been made in basics customs duty on various products.
A synopsis of the Budget with our analysis has been attached herewith.