Budget Proposes 14% Minimum Alternate Tax Final Levy For Companies Opting New Regime From April 2026

The Union Budget 2026–27 on Sunday proposed changes to the Minimum Alternate Tax (MAT) regime applicable to companies, to take effect from April 1, 2026, alongside the implementation of the Income Tax Act, 2025.Presenting the budget, Finance Minister Nirmala Sitharaman said, “I propose to make Minimum Alternate Tax a final tax for companies opting for the new tax regime.”She further announced a reduction in the rate, stating, “The MAT rate is proposed to be reduced to 14 per cent.”The proposal...

Budget Proposes Hike In Securities Transaction Tax On Futures And Options

The Union Budget 2026–27 on Sunday proposed an increase in Securities Transaction Tax (STT) on futures and options trades.Presenting the Budget, Finance Minister Nirmala Sitharaman announced higher STT rates for derivative transactions. “I propose to raise the STT on Futures to 0.05 per cent from the present 0.02 per cent,” she said. The Finance Minister also proposed a hike in STT on options. “STT on options premium and exercise of options are both proposed to be raised to 0.15 per cent from...

Budget 2026-27 Proposes Revision Of Baggage Rules, Higher Duty-Free Allowances For International Travellers

The Union Budget 2026–27 on Sunday proposed changes to customs rules governing baggage clearance during international travel to address passenger concerns and align duty-free allowances with current travel patterns. Presenting the indirect tax proposals, Finance Minister Nirmala Sitharaman said, “I propose to revise provisions governing baggage clearance during international travel to address genuine concerns of passengers.” She added that the revised rules would “enhance duty-free allowances...

Budget 2026-27 Proposes Cuts On Customs Duty On Personal Imports, Exempts Cancer Drugs And Rare Disease Medicines

The Union Budget 2026–27 presented on Sunday proposed customs duty relief for personal imports and medicines used in the treatment of serious illnesses.Finance Minister Nirmala Sitharaman said, “To rationalise the customs duty structure for goods imported for personal use, I propose to reduce the tariff rate on all dutiable goods imported for personal use from 20 per cent to 10 per cent.” She also announced healthcare-specific exemptions. “To provide relief to patients, particularly those...

Union Budget 2026–27: Buyback Proceeds To Be Taxed As Capital Gains, Promoters Face Additional Levy

The Union Budget 2026–27 has introduced a significant reform in the taxation of share buybacks by shifting the tax incidence to shareholders and aligning buyback income with the capital gains framework.Under the new proposal, proceeds received by all categories of shareholders, including retail investors, institutional investors, and foreign shareholders from share buybacks will be taxed as capital gains, instead of being subject to a separate buyback distribution tax at the company level. This...

Breaking: Budget 2026–27 Keeps Income Tax Slabs And Standard Deduction Unchanged

Finance Minister Nirmala Sitharaman on Sunday presented her ninth Union Budget since taking charge in 2019, keeping income tax slabs under the new tax regime unchanged from changes made last year The income tax slabs under the new tax regime remain as follows: Income up to ₹4 lakh – Nil ₹4 lakh to ₹8 lakh – 5% ₹8 lakh to ₹12 lakh – 10% ₹12 lakh to ₹16 lakh – 15% ₹16 lakh to ₹20 lakh – 20% ₹20 lakh to ₹24 lakh – 25% Above ₹24 lakh – 30%, plus applicable cess. The standard deduction...

Budget 2026-27 Proposes Sharp Cuts In TCS On Overseas Travel, Education And Medical Remittances

The Union Budget 2026–27 on Sunday also proposed significant reductions in tax collection at source (TCS) rates on overseas travel and certain foreign remittances. Presenting the direct tax proposals, Finance Minister Nirmala Sitharaman announced a cut in TCS on foreign tour packages. “I propose to reduce TCS rate on the sale of overseas tour programme packages from the current 5 per cent and 20 per cent to 2 per cent, without any stipulation of amount,” she said. The Finance Minister also...

Breaking: Interest On Motor Accident Compensation To Be Tax-Free Under Budget Proposal

Interest received on compensation awarded by Motor Accident Claims Tribunals may soon be taken out of the income-tax net. While presenting the Union Budget 2026–27, Finance Minister Nirmala Sitharaman announced a proposal to exempt such interest from tax and remove the requirement of tax deduction at source. “I propose that any interest awarded by the Motor Accident Claims Tribunal to a natural person will be exempt from income tax, and any TDS on this account will be done away with,”...

Union Budget 2026-27: Govt. Proposes Major Push To Promote Ayurveda

While presenting the Union Budget 2026 in the Parliament today, Finance Minister Nirmala Sitharaman has made announcements that are aimed at promotion of India's native healthcare system - Ayurveda and the AYUSH ecosystem, with a focus on infrastructure expansion, quality enhancement, and global integration As part of the initiative, three new All India Institutes of Ayurveda will be set up across the country. These institutes are aimed at boosting education, research, and clinical practice in...

Budget 2026–27 Proposes Allowing Individuals Resident Outside India To Invest In Listed Shares Through PIS

The Union Budget 2026–27 on Sunday proposed allowing individuals resident outside India to invest in equity instruments of listed Indian companies through the Portfolio Investment Scheme, while also raising the permissible holding limits.Presenting the budget, Finance Minister Nirmala Sitharaman said, “Individual persons resident outside India will be permitted to invest in equity instruments of listed Indian companies through the Portfolio Investment Scheme.” She announced an increase in...

Union Budget 2026-27 Proposes 'Corporate Mitras' To Support MSME Compliance

The Union Budget 2026–27 on Sunday proposed the creation of a cadre of trained paraprofessionals, referred to as “Corporate Mitras”, to support micro, small and medium enterprises in meeting compliance requirements.Presenting the Budget, Finance Minister Nirmala Sitharaman said, “The government will facilitate professional institutions such as the Institute of Chartered Accountants of India, Institute of Company Secretaries of India and Institute of Cost Accountants of India to design short-term...

Union Budget 2026-27 Today: LIVE UPDATES

Union Finance Minister Nirmala Sitharaman will present the Union Budget 2026–27 in Parliament at 11 am today, marking her ninth consecutive Budget and an unusual first for Sitharaman, with the annual fiscal exercise being tabled on a Sunday.Follow this page for live updates.