Union Budget 2026: Targeted Tax Relief, Not Sweeping Changes, Says Deloitte's Tarun Garg

• Deloitte India's Tarun Garg expects Union Budget 2026 to focus on targeted tax relief and compliance simplification, not major personal income tax overhauls.
• Significant rationalisation in personal income tax has already occurred in recent budgets, particularly under the new tax regime.
• Senior citizens may benefit from higher deductions on interest income and healthcare expenses, addressing rising medical costs and inflation.
• The government might fine-tune the new tax regime, possibly including employer-driven provident fund deductions to bridge gaps with the old regime.
• A potential increase in the standard deduction under the new tax regime (e.g., by Rs 25,000 or more) could offer relief to salaried taxpayers.

Why It Matters: Budget 2026 will likely offer targeted tax relief and administrative efficiency, avoiding broad personal tax reforms.