Highlights of Union Budget 2026-27

The following are the highlights of the Union Budget 2026-27 presented by Finance Minister Nirmala Sitharaman in the Lok Sabha. * No change in Income Tax rates * Securities Transaction Tax (STT) raised on futures and options (F&O) to 0.05 pc and 0.15 pc * TCS on sale of overseas tour packages slashed to 2 pc * TCS on overseas education, medical expenses under LRS (Liberalised Remittance Scheme) cut to 2 pc * New Income Tax Act, 2025, to be implemented from April 1; rules, forms to come soon * ITR filing date for non-audit businesses extended by a month till August 31 * Tax holiday up to 2047 for any foreign company for providing services globally from data centres in India * Fiscal deficit pegged at 4.3 pc of GDP in FY27, lower than 4.4 per cent in FY26 * Debt-to-GDP to be cut to 55.6 pc from 56.1 pc in the current fiscal year * Total Budget size at Rs 53.5 lakh crore * Govt capital expenditure hiked to Rs 12.2 lakh crore from Rs 11.11 lakh crore in FY26 * Rs 1.4 lakh crore to be devolved to states as tax share. * Net tax receipts estimated at Rs 28.7 lakh crore * Gross market borrowings estimated at Rs 17.2 lakh crore * Budget focuses on 3 Kartavyas -- accelerating growth, fulfilling aspirations, and Sabka Sath, Sabka Vikas * Reform express on track, over 350 reforms rolled out * Proposes Rs 10,000 crore SME Growth fund to create future champions * Trust-based systems for Customs, advance ruling validity period extended to 5 years * High-level committee to increase the services sector contribution to 10 pc by 2047.