The Union Budget 2018 has been well received with some positive and some not so positive reforms. It is a budget that focuses on health, farmer and rural development. For the corporate sector and MSME industry it’s a relief that corporate tax rate has been reduced to 25% for those having a turnover of up to Rs 250 crore.
There are certain pain points that the Budget didn’t cover. For example, the industry was expecting a reduction in corporate tax rates and personal income tax rates. Additionally, it did not focus on export industry. These areas could have been taken into consideration.
The government needs to take steps to boost the real estate sector, which saw a complete miss in the Budget. However, the proposals include some positive reforms for employment generation and ease of doing business in India, which is good news for the corporate sector.
The government should focus on affordable housing, and manage the fiscal deficit in order to keep inflation under control.