The Union Budget 2026-27, presented in Kartavya Bhawan, prioritises economic growth, citizen capacity building, and inclusive development. Key initiatives include a new Income Tax Act from April 2026, simplified tax rules, and rationalised penalties. The budget also focuses on enhancing public capital expenditure, developing high-speed rail corridors, and boosting the biopharma and IT sectors.
YUVA SHAKTI-DRIVEN BUDGET EMPHASIZES ON GOVERNMENT'S 'SANKALP' TO FOCUS ON POOR, UNDERPRIVILEGED AND THE DISADVANTAGED
FIRST BUDGET PREPARED IN KARTAVYA BHAWAN INSPIRED BY 3 KARTAVYA
FIRST KARTAVYA IS TO ACCELERATE AND SUSTAIN ECONOMIC GROWTH
SECOND KARTAVYA IS TO FULFIL ASPIRATIONS OF PEOPLE A
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FAQ :
The New Income Tax Act, 2025 is set to come into effect from April 2026.
Public capital expenditure is proposed to be enhanced from Rs 11.2 lakh crore in BE 2025-26 to Rs 12.2 lakh crore in FY 2026-27.
The budget proposes to club various IT services under a single category with a common safe harbour margin of 15.5% and enhances the threshold for availing safe harbour to Rs 2,000 crore.
Yes, foreign cloud service providers will be given a tax holiday until 2047.
Biopharma SHAKTI is an initiative with an outlay of Rs 10,000 crores aimed at building the ecosystem for domestic production of biologics and biosimilars.
A Rs 10,000 crore SME Growth Fund is proposed to create future champions among MSMEs.