Budget 2026: Modi, Sitharaman Eye Major Relief for Common People, Middle Class

• Budget 2026 aims to boost India's economy towards a $5 trillion goal by increasing disposable income for common people and small businesses.
• Experts suggest raising the highest income tax slab to ₹36-40 lakh and the basic exemption limit to ₹5 lakh to enhance purchasing power.
• Increasing the home loan interest deduction limit to ₹4 lakh under Section 24(b) could revive the housing sector.
• A higher medical insurance deduction limit (₹1-1.25 lakh under Section 80D) is proposed to cover rising healthcare costs.
• Recommendations include increasing standard deduction for employees to ₹1 lakh, equalizing tax rates for LLPs/partnership firms with companies, and offering GST compliance incentives.

Why It Matters: Budget 2026 proposals focus on tax relief and simplified rules to boost consumption and support small businesses.