Budget 2025 Expectations Live: Focus on middle-class tax relief and structural reforms

As anticipation builds for the Union Budget 2025-26, middle-class taxpayers are keenly awaiting potential income tax relief. A reduction in tax burdens for individuals earning up to ₹15 lakh annually could significantly boost disposable incomes and fuel consumer spending. Industry bodies like the Confederation of Indian Industry (CII) have also advocated for tax cuts, with Chairman Sanjiv Puri suggesting relief for incomes up to ₹20 lakh to stimulate consumption and drive revenue growth. These expectations align with the groundwork laid in Budget 2024-25, where a committee led by Chief Commissioner V.K. Gupta began reviewing the Income Tax Act for potential reforms.

Finance Minister Nirmala Sitharaman, in her eighth consecutive budget presentation, will unveil the Union Budget for FY 2025-26 on February 1 at 11:00 am IST in the Lok Sabha. This budget marks the Modi government's second comprehensive budget of its third term, aiming to address India’s evolving economic challenges. With a focus on structural reforms and growth-oriented initiatives, it promises to hold immense significance for the country’s economic trajectory.