Budget Provisions In Personal Finance Area To Be Keenly Watched
Sops sought for boosting real estate investment after demonetisation shock; experts say people should get relief for retirement planning
Photo Credit :
New budget provisions in the personal finance segment will be keenly watched following the demonetisation drive, which has upset most people's financial calculations.
Because public expectation are high from the new budget, there is a big possibility of tax exemptions, Surya Bhatia of Asset Managers said during a pre-budget discussion organised by BW Businessworld.
The Finance Ministry must be mindful of this because people have gone through many demonetisation pains.
The real estate sector has been affected in a big way and people who had invested in property have high hopes from this budget.
Major Ashish Chadha, COO of Chadha Investment Consultancy, said real estate relief via tax sops will boost investor confidence.
Nirmal Prakash, MD, Delta ID, said there are 280 million earning accounts and the new segment is going to pay the tax.
The experts feel in the last 20 years the number of taxpayers has been stagnant. This budget is likely to expand the tax base and help the digital push.
Asked if he expects a tax break in the wake of demonetisation? Paisa Bazaar co-founder Naveen Kukreja feels digital payments are the hope of tomorrow. General tax exemption may not happen but retirement savings should be encouraged. Increasing tax breaks for senior citizens and low-income women workers can be looked at in this budget.
Chadha added: "We need to understand that India is a poor country. Our basic need is to have a flat. The government needs to streamline and simplify the structure. The retirement planning needs longevity."