Finance Minister is all set to present Union Budget 2022 tomorrow on 1st February, 2022. Like previous year this year too it will be paperless and available on Mobile App. We have compiled few major expectations of various stakeholders from union budget.
- Institute of Chartered Accountants of India (ICAI) has suggested to insert ‘COVID-19’ as an eligible disease for the purpose of claiming deduction under section80DDB.
- Trade bodies including Assocham and Confederation of Indian Industries (CII) in their pre-budget meetings, have sought higher standard deduction.
- Real estate sector has sought an increase in the limit of tax deduction from the current Rs 2 lakh to Rs 5 lakh which is given to the home loan borrowers. Further, amendment to section 80C have also been demanded by realty developers to the ministry.
- Federation of Automobile Dealers Association (FADA) has requested the Finance Ministry to reduce GST to 18 percent stating that two-wheelers are not a luxury item and hence GST rates need to come down.
- All India Gem and Jewellery Domestic Council (GJC) has urged the Finance Ministry to reduce the GST rate from 3% to 1.5%. Further, the exemption from Capital Gain under Section 54F of the Income Tax Act in certain case have been demanded by them.
- The Government may introduce a fresh Act in Budget 2022, regarding special economic zones (SEZs). According to which SEZs will be able to sell goods in the domestic market at low duties. The news rule will also allow easier exit for loss-making units and units to be able to accept payment in Indian currency.
- As per KPMG’s survey, in which around 200 finance professionals participated. Out of which 64 percent of respondent feet that in the upcoming budget current basic exemption limit of Rs 2.5 lakh will be increased.
- Domestic manufacturers of polyvinyl chloride (PVC) seek the import duty untouched on the material in the upcoming budget. They fear that reducing import duty by the government may hamper planned domestic capacity addition.