corporate tax rates in India are among the highest +demonetisation +Increase in individual income tax slab limits is expected to be the highlight of the budget in order to revive the consumption cycle. SBI forecast an increase in personal income tax exemption limit from Rs 2.5 lakh to Rs 3 lakh.Excise duty exemption on some food items (ice-cream, cheese, RTE, packaged juices, etc) may be lifted as a step moving towards GST. Currently, some food items enjoy 0-6% excise duty. Removing the exemption will push up the prices of these food items.Given huge illegal market share, tax increase should be modest at 8-10% hike in excise duty for cigarettes. Minimum alternate tax rates could also be rationalised.Tax-saving infrastructure bonds, which allowed investors to get additional tax deductions, could be reintroduced.

Source: Times of India February 01, 2017 05:15 UTC