Expert Take | Prateek Pant's view on Budget 2019
The budget is positive for real estate, but not favourable for deficit target, says Prateek Pant
February 01, 2019 / 05:54 PM IST
Prateek Pant, Head of Products and Solutions, Sanctum Wealth Management discusses what he likes and dislikes in the interim Budget 2019.
The budget has focused on salaried and middle-class citizens by reducing the tax outgo on individuals with income up to Rs 5 lakh. This effectively leads to no tax outgo for income up to Rs 7 lakh.
Capital gain rollover under Section 54 has been increased from one house to two houses for capital gains up to Rs 2 crore. This will benefit the dwindling real estate sector as well.
What doesn't work
Further to a shortfall in GST collections, an additional expenditure of Rs 20,000 crore towards PM Kisaan Samman Niddhi makes achieving the deficit target of 3.4 percent difficult.
Capital expenditure may again be sacrificed next year to keep the fiscal deficit under control to accommodate Rs 75,000 crore towards PM Kisaan Samman Niddhi.