New Delhi [India], Feb 1: Union Budget papers arrive in Parliament. Finance Minister Arun Jaitley will be presenting the last full Budget of the Narendra Modi government before 2019 Lok Sabha elections. Jaitley has a politically tough task of keeping voters in good stead, on the one hand, going into the general elections and enforce fiscal discipline maintaining northward movement of GDP growth rate.

With GST taking out manipulation in indirect tax rates for most of the commodities, people's expectations are high in terms of welfare schemes, more relaxation in income tax front, railways and air fare, and policies giving firm push to agriculture and industry. Here is what is expected of Arun Jaitley when he lays down Modi government plan for the next fiscal.

Taxation

• Exemption limit from personal income tax may be increased from existing Rs 2.5 lakh to Rs 3 lakh if not Rs 5 lakh as has been the demands from several quarters.
• Standard deduction on salary may be reintroduced to giving more relief to salaried class.
• Personal Income tax slabs may be rationalized. New slab for annual income between Rs 10 lakh and Rs 20 lakh may be introduced with 20 per cent income tax rate.
• Corporate tax may be reduced from 30 per cent to 25 per cent as Arun Jaitley had promised in 2015 Budget.
• Minimum alternative tax may be cut from 18.5 per cent to 15 per cent.
• Excise duty on alcohol may be increased.
• Excise duty on petroleum may be slashed as the prices of petrol and diesel have soared in recent times.
• FM Jaitley may tax long term capital gains through stock market investments.
• Custom duty on gold may be brought down from 10 per cent to 2-4 per cent to check smuggling.
• The tenure for tax exemption on term deposits may be reduced from five years to three.