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Mr. Akshay Mehrotra, Co-Founder and CEO of EarlySalary expectation from budget 2021.

“With the current rise in the cases and surge over major parts of the country, there is a threat of pause repetition in the economy. And the 2022 budget is expected to regain confidence throughout various sectors.

The previous 2 years have been challenging for everyone, especially the working population there was an increased strain on income and risk to health. The increased healthcare costs during the pandemic have given many of us a setback. Hence, I think some anticipations on the 2022 budget with regards to income tax relief in the areas of the standard deduction to be increased from Rs. 50,000 to Rs. 1 lakh.

A considerable workforce currently works from home. Hence, setting up work from home capabilities like deck, electricity, internet, and many more be provided with a tax-exempt. Likewise, a reduction of GST to 5% on insurance can help promote health insurance purchases by the middle class. To help incentivize homeowners, the tax deduction of Rs. 1.5 lakh on interest can be increased to Rs. 2 lakh. The reduction of VAT on fuel can help tackle the inflation due to surging fuel prices.

Apart from the working force, the country needs to work on strengthening the public health infrastructure with the rise of Omicron cases. We hope to see many relief measures coming around this space and many enhancements to be furthered that were initiated in the last budget.

Lastly, we hope the 2022 budget will be a boon to the fintech sector as the lending space continues to grow. For the same, I think that there should be changes in debt financing options to get access to financial institutions beyond banks. Fintech and new direct digital lending players need access to more debt capital and carveouts, which can help lower the cost of borrowing for them and help customers get access to more affordable credit on demand.”

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