Taxpayers expects increase in limit under Section 80C in upcoming Union Budget 2021
The Union Budget 2021 will be presented by Finance Minister Nirmala Sitharaman on February 1, 2021. As she gets ready to announce the most important and awaited Budget everyone is having huge expectations in order to recover from the economic shock.
Citizens are expecting more relief this time in many sectors like automobile and real estate. They have even asked the government to provide more tax breaks to citizens and increase their disposable income. Meanwhile, like every year everyone is hoping for some additional tax relief in the upcoming Budget.
Particularly, taxpayers belonging to middle class families are looking up to Finance Minister, Sitharaman to increase the limit under Section 80C of the Income Tax Act.
Several appeals have been made for increasing the basic exemption limit to Rs 5 lakh and the tax deduction limit for healthcare may also rise seeing the current situation of the country.
At present the limit of exemption is 1.5 lakh Rs but even experts are hoping a hike in the limit in the upcoming Budget. This limit under Section 80C was revised only one time in 2014 in last decade. That time Finance Minister Arun Jaitley had increased the limit from 1 lakh to 1.5 lakh.
Apart from Income Tax limit citizens are expecting government to take new steps in many other fields like aviation, automobile, defence, health care and employment.
The aviation sector hopes for a reduction in high taxes and levies as airlines try to find their feet again after the coronavirus outbreak. Meanwhile Automakers in the country now expect more demand-creating measures in the budget for quicker sales recovery.
India's healthcare sector is also looking for holistic reforms like reduction in taxes on healthcare and treatment besides higher budgetary allocation. Better allocation for pharma research is also on the cards. Farmers, protesting against farm laws are also expecting a relief and increase in funds for the them.