Union Budget 2021: Income tax cuts, work from home benefit: Expectations of middle class people on a budget

With Covid's increased work-from-home background, it is also expected that the budget will reduce costs for home-based employees this time.

NEW DELHI: Finance Minister Nirmala Sitharaman is preparing to present a Budget amidst recession and Kovid-like deaths. This is Fr. He will present the Union Budget 2011-22. The economy has already been hit by Kovid, and businesses are in trouble.

This has raised the expectation of this time's budget, and is wondering whether this will accelerate the economy. This time, the masses are looking forward to the budget, as well as the promise of job creation. The middle class taxpayer is quite reliant on the budget this time around tax cuts and income increases.

With the increasing backlog of work from home due to Covidi, it is anticipated that the budget will reduce the cost of home-based workforce salaries this time around.

Middle class taxpayers are expecting some exemption from spending on salaries. At the same time, the central government has also demanded that it focus on increasing the threshold cut. The standard deduction is a defined income tax deduction. 

This standard reduction in the budget for 2018 -19 instead of the medical and transportation allowance Introduced. In this case, the deductible salary amounted to 40,000. This was later raised to 50 thousand in the next budget.

Read this: Thinking in budget this time to cut income tax

Under Section 80, a person is entitled to a tax deduction of up to Rs 1.5 lakh on various payments including life insurance premiums, home loan premium payments, fixed deposits and future funds. Due to inflation, the government has raised the upper limit to Rs 2.5 to Rs 3 lakh. The increase in this exemption limit is a tax-saving tool supported by the government.

The Kovid epidemic has made health insurance essential for everyone's lives. Against this backdrop, these insurance policies are necessary, and many companies have mandated this health insurance for their employees. Considering this, the government is likely to increase the limit on health insurance premiums under Section 80D.


Post a comment