Budget Overview
The Union Budget 2026-27, presented by FM Nirmala Sitharaman, was marked by substantial reforms and strategic financial allocations. The budget included
a strong emphasis on capital expenditure to stimulate economic growth. Nirmala Sitharaman delivered the budget speech, which outlined key initiatives and adjustments across several sectors. The speech provided insights into the government's financial strategy, focusing on long-term economic development amidst global uncertainties. The budget's focus also included updates on tax regimes, with adjustments to income tax slabs and rates under both the new and old tax systems. This budget presentation aimed to address economic challenges while fostering growth and development.
Tax Slab Details
The Union Budget 2026 featured updated income tax slabs and rates for the fiscal year 2026-27. These changes were detailed to provide clarity on the tax liabilities of individuals and businesses. The government continued to offer both the old and new tax regimes, allowing taxpayers to choose the option that best suited their financial situation. The details of the income tax slabs under both the new and old regimes were released for public awareness. The budget also addressed questions like what would be the impact of the Section 87A rebate limit under the new income tax regime for the fiscal year 2026-27. The budget aimed to bring transparency and predictability to the taxation system, ensuring taxpayers could navigate the financial landscape more effectively.
Health Sector Updates
Several significant updates were introduced in the health sector as part of the Union Budget 2026. One notable change was the government's decision to waive customs duty on drugs used to treat cancer and rare diseases. This move was intended to reduce the cost of essential medications, making them more accessible to patients in need. The budget demonstrated the government's commitment to improving healthcare outcomes and reducing the financial burden on patients. These measures were designed to support healthcare initiatives and improve health sector services. These adjustments signaled the government's prioritization of healthcare and its dedication to the overall well-being of the population.
Defense Budget Boost
The Union Budget 2026 allocated a substantial amount to the defense sector, reflecting the government's commitment to national security. The defense budget jumped significantly, reaching Rs 7.85 lakh crore, with a significant portion, Rs 2.19 lakh crore, earmarked for modernization. This increased investment was aimed at enhancing the capabilities of the armed forces and bolstering national defense infrastructure. This increase underscores the government's strategic focus on strengthening India's defense capabilities and ensuring national security. These investments were intended to update equipment, modernize infrastructure, and improve overall operational readiness.
Semiconductor Mission 2.0
The Union Budget 2026 saw the launch of the India Semiconductor Mission 2.0. This mission was introduced by FM Nirmala Sitharaman and aimed to boost the country's semiconductor ecosystem. The initiative seeks to promote local manufacturing, research, and development in the semiconductor industry. This launch indicated the government's dedication to creating a self-sufficient and innovative semiconductor industry. The mission will facilitate investment, encourage innovation, and support the growth of the semiconductor sector in India. By focusing on indigenous capabilities, the government aims to enhance the country's technological and economic development.
