Budget 2026: Middle Class Demands Tax Relief, Simpler Compliance, and Green Incentives

• Taxpayers seek reduced personal income tax rates, rationalized slabs, and increased basic exemption limits, especially for incomes up to Rs 15 lakh.
• Demands include making the new tax regime more attractive with progressive standard deductions and essential deductions for health, home loan, and life insurance.
• Simplification of property transaction compliance is requested, particularly for NRI sellers, by streamlining the TDS process.
• Expectations include raising the advance tax threshold to Rs 50,000 and allowing tax payments/refunds through overseas bank accounts for NRIs.
• Tax policy changes are sought to promote sustainability, such as amending perquisite valuation for electric vehicles and reinstating EV loan interest deductions.

Why It Matters: The middle class expects Budget 2026 to deliver tax relief, simplify compliance, and promote sustainability.