The FM may also have to sweeten the Union Budget 2017 for the people of India, at large, who have faced some hardships due to demonetisation; and also to promote digital transactions and head towards a cashless economy.
Sunil Subramaniam, CEO, Sundaram Mutual believes 2017 the government will focus on rural economy and infrastructure space in the upcoming Union Budget as they will aim to kick-start the economic growth.
The GDP growth forecasts have been affected by demonetisation, which in turn has led to high expectations of a budget which will cut taxes, incentivize savings, raise more revenue, be anti-inflationary and push growth
It is now just a week to the Union Budget and this time it will grab more attention for the model changes that the government has either announced or will ring in besides tackling the usual subjects of tax concessions and financial grants.
In an interview to CNBC-TV18 Abinash Verma, DG, ISMA said the news is negative for the industry and that ISMA has requested the government to continue with both cess and SDF. He added it has also requested the government to revise the cess to a lower rate rather than scrapping it completely.
Tapan Singhel, MD and CEO of Bajaj Allianz General Insurance said that the government should make it mandatory for employers, both in the organised and unorganised sectors to provide health cover to all their employees.
The coming budget is also expected to encourage cashless transactions and digital payments.
Measures such as the recently announced concessional tax rate of 6% as opposed to the present rate of presumptive taxation of 8% for income received through banking and digital business by small businesses is a welcome move.
On a comparison of income threshold and peak rate of a few countries, it is observed that the income threshold considered for peak rate as well as the maximum tax rate in India is on the higher side.
Besides the clearly defined road map for GST roll out, the government may take steps to bridge the gap between the current tax rates vis-Ã -vis the probable rate in GST so that the negative effect of inflation on introduction of GST can be managed.
The optimism around US economy's growth and a strengthening dollar are signs that IT companies are going to give out a stellar performance in the long-term, says Mahesh Nandurkar, India Strategist at CLSA.
One can expect the government to announce a marginal cut to the headline corporate tax rate along with a clear roadmap detailing the manner in which the proposed reduction and incentive phase out will be achieved.
The finance ministry has rolled out a list of sectors and is inviting response from people on which sectors need more attention in the Budget on Twitter.
Speaking to CNBC-TV18's Latha Venkatesh at the biannual conference, Varnam, held in Bengaluru, paint sector head honchos said they are all expecting Union Budget 2017 to boost affordable housing and help them recover all the ground lost on account of demonetisation.
The government has waived basic custom duty on nickel -- a key steel making raw material -- in a major relief to the steel industry which is facing tough times.
Brokerages and analysts are pinning their hopes on Union Budget to deliver income tax sops to help reduce pain induced by the government‘s demonetisation drive.