The Times of India

Last year, FM Sitharaman announced major changes in the new income tax regime, and while tax experts believe that there is little fiscal room in Budget 2026 for any big tax income tweaks, there is also a hope that some changes may be brought about to further boost consumption.

As Finance Minister Nirmala Sitharaman prepares the Union Budget 2026-27, tax data reveals a significant shift. Direct tax collections have surged, surpassing indirect taxes as the government's primary revenue source. This trend highlights a growing reliance on income and profit-based taxation, impacting fiscal strategy and taxpayer compliance.

Budgets set the direction for government spending, taxation, and growth priorities, but actual execution takes time. Sectors like infrastructure, railways, defence, and capital goods tend to react positively to higher capex announcements, while banks and consumption stocks respond to tax relief or income-support measures.

Budget 2026 should prioritize reforms in withholding taxes, dispute resolution, and customs procedures to enhance ease of doing business. Simplifying TDS, addressing tax dispute pendency, and accelerating customs automation are crucial for reducing complexity, building trust, and boosting investments.

India's Union Budget 2026-27 will be presented on a Sunday for the first time in history, a significant procedural reform. Finance Minister Nirmala Sitharaman also achieves a record ninth consecutive budget presentation, marking a new milestone in the nation's financial reporting tradition.

India's Commerce Minister Piyush Goyal announced the conclusion of the India-EU free trade agreement, expecting it to double exports to Europe within five years. With 99% of Indian exports gaining duty-free access, the pact aims for mutual benefit, with consumers anticipated to be major beneficiaries. Negotiations for a separate trade deal with the US are also progressing well.

Gold prices dropped by a whopping Rs 14,000 per 10 grams and silver prices tanked by Rs 20,000 per kg in Delhi on Friday. The sharp dip came after gold hit a fresh high of Rs 1,83,000 and silver of Rs 4,04,500 on Thursday.

Sunetra Pawar has been sworn in as Maharashtra's deputy chief minister, stepping into the role previously held by her husband, Ajit Pawar, following his tragic passing. She will assume his responsibilities, excluding the finance portfolio. This significant political transition occurred after her unanimous election as the NCP legislative party leader.

Experts anticipate the Union Budget will prioritize job creation, agricultural development, inclusive manufacturing, and digital transformation for sustainable growth. Concerns are raised about investment skewing towards capital-intensive industries, neglecting smaller sectors and leading to urban concentration. A call for balanced development, rationalized welfare, and a broader tax base through lower GST rates is highlighted.

India's Union Budget, a key economic event, holds many fascinating historical details. The Constitution calls it the 'Annual Financial Statement'. This year's budget presentation on a Sunday is a first. From colonial-era evening timings to the shift to February 1, traditions have evolved. The 'bahi khata' now symbolizes Indian identity. The railway budget is now integrated.

Starting February 1, India implements a new excise duty regime for cigarettes based on length, alongside a health cess on pan masala and tobacco products. This marks the first significant tax increase in seven years, aligning India's tobacco taxation closer to global public health norms and replacing the GST compensation cess framework.

As the Union Budget 202627 nears, education stakeholders are urging focused policy and financial support to boost learning, employability, and workforce readiness. With rising allocations, expectations are high for AI-led learning, climate education, skilling, and teacher development, aiming to solidify India's global talent hub ambitions.

Budget 2026 has an opportunity to build trust by using existing digital systems to create a more transparent, responsive and taxpayer-centric compliance ecosystem.

Renewable energy firms face hurdles securing power purchase agreements for 45 GW of green projects, despite granted transmission connectivity. Slow demand growth, solar surplus, and assured power post-2028 are cited. Developers risk bank guarantee forfeiture. Officials are exploring solutions to align bids with demand and ensure project execution.

Planning a bank visit in February 2026? Be aware of closures in Sikkim on Feb 18 for Losar, Maharashtra on Feb 19 for Shivaji Jayanti, and Mizoram/Arunachal Pradesh on Feb 20 for State Day. Remember, banks also close on the second and fourth Saturdays. Digital services remain active for your convenience.

With Budget 2026 just a day away, all eyes are on what Union Finance Minister Nirmala Sitharamans red bahi khata will hold. The traditional red ledger, carried into Parliament on Budget Day, reflects a conscious shift away from colonial-era customs towards a more Indian and personal symbol of budgeting.

The UAE and Scotland have inked a landmark pact to boost investment and economic ties. Signed on January 30, 2026, the Memorandum of Understanding aims to foster capital, technology and expertise exchange. This strategic alliance will unlock new opportunities for businesses in both nations, focusing on sustainable growth and job creation, building on previous successful engagements.

India's Commerce Minister Piyush Goyal expressed no disappointment over delays in the India-US trade deal, emphasizing that each nation prioritizes its interests. He confirmed ongoing friendly negotiations, suggesting a potential conclusion this year. Goyal highlighted India's commitment to fair trade and safeguarding its economic sensitivities, even as it pursues other FTAs.

Indian stock markets will operate on Sunday, February 1, 2026, for the Union Budget presentation, a rare occurrence. Both BSE and NSE confirmed normal trading hours, with only specialized sessions like T+0 settlement suspended. This marks the first Sunday Budget presentation since 2000, while the year's holiday schedule remains unchanged.

Pakistan's prime minister Shehbaz Sharif revealed a difficult truth. He and Army Chief Asim Munir sought billions in loans from friendly nations. This was done quietly to bridge the country's external financing gap. Sharif acknowledged the compromises involved in seeking such aid. China was a key supporter. Pakistan has a history of relying on the IMF for financial support.

The US has permitted India to resume Venezuelan oil purchases, aiming to reduce its reliance on Russian crude. This move is part of a broader US strategy to redirect India's energy imports away from Russia amidst growing pressure and trade costs. India is set to significantly cut Russian crude imports in the coming months, diversifying its supply sources.

Commerce and industry minister Piyush Goyal has been in the thick of action, negotiating with multiple countries, fromNew Zealand to Chile. Having just finalised a landmark deal with the European Union, Goyal spoke to TOIs Sidharthaabout the way forward on other agreements and maintained that talks with the US are progressing well. Excerpts:

Jane Lauder, Kevin Warshs wife, is the granddaughter of global cosmetics industry legend Este Lauder. She is the daughter of billionaire Ronald Lauder, who is the sole heir to the The Este Lauder Companies.

Niva Bupa CEO Krishnan Ramachandran highlights a key issue in India's health insurance market. He explains that loss-making corporate group policies are cross-subsidised by retail health insurance. This practice, rather than high acquisition costs, is impacting retail insurance penetration.

Households may also look for targeted relief at the lower end of the income spectrum. Under the new tax regime, the current rebate ensures that individuals with income up to Rs 12 lakh face no tax liability. For salaried taxpayers, the Rs 75,000 standard deduction effectively extends this relief to those with gross income up to Rs 12.75 lakh.

Bank of Baroda posted a net profit of Rs 5,055 crore for the December 2025 quarter, a 4.5% rise year-on-year. This growth was primarily driven by a significant reduction in provisions, despite margins facing pressure. The bank saw healthy deposit and advance growth, with asset quality continuing its upward trend.

Deepening the debt market is critical from an issuers perspective to ensure access to long term, cost-effective funding and an investors perspective, offering liquidity, transparency and risk diversification.

As India's Union Budget approaches, defence spending is under scrutiny. Experts advocate for a substantial, sustained hike in defence capital expenditure, emphasizing domestic manufacturing and technological advancement. While geopolitical tensions necessitate increased spending, the focus must be on strategic calibration rather than indiscriminate increases to bolster national security and industrial capabilities.