Union Budget 2021-22

Pre-budget expectation survey

To gauge the market sentiments and better understand the expectations from this year’s budget, Grant Thornton Bharat, in association with CII, conducted a survey on pre-budget expectations during 13-20 January 2021.

Key findings of the survey

Focus of the Budget: Expectations are high on bold policy announcements to boost investment into infrastructure and large projects as well as increase consumption. 67% of those surveyed hope to see policy initiatives in infrastructure sector to propel the economy in the right direction.

Sector wise impact: Respondents ranked the agriculture sector, healthcare and pharma sector; and manufacturing and industrial sector amongst the top three sectors that they feel should receive the greatest thrust.

Growth-related optimism: 60% respondents believe that the Indian economy is on the growth path. 67% are optimistic about India's infrastructure and consumption spending in the coming year.

Tax rates: Despite the rising fiscal deficit, 55% believe the government should not tinker with the tax rates and maintain status quo. However, 90% believe that the government should provide relief to individual taxpayers.

Tax reforms: On expected tax reforms, 75% believe transfer pricing, customs and corporate tax areas are most in need of reforms. However, 67% felt that there is simplification required in the TDS and TCS provisions.