Union Budget 2020 has offered simpler direct tax option for individual tax payers and the government has reduced the tax rate. The tax rate has been reduced in case an individual tax payer decides to give away exemptions. While the tax rebate looks big in terms of percentage, for many tax payers, giving up exemptions will not bring the tax burden lower compared to last year.

Comments on Union Budget 2020 by Mr. Siddhartha Mohanty, MD & CEO, LIC Housing Finance follow......

Extension of time period till March 2021 is a welcome step taken by government in the affordable housing space benefiting both, Individuals and developers While tax holiday on profits would encourage more builders to take up affordable housing projects, individual can firm up home buying decision to enjoy the additional tax benefit of Rs.1.50 lacs. It is a right step towards realising the mission of Housing for All by 2022.

However, earlier Finance Minister during Congress regime, P. Chidambaram, has commented about the budget as disappointing.

"People did not deserve such a budget, but will have to live with it until govt is forced to revisit it, as in 2019," Chidambaram said, expressing his disappointment over the budget. "The growth rate has declined in six successive quarters," he added.