In the Budget of 2025, recognizing the significant contribution of the middle class in nation building, the Finance Minister provided substantial tax relief to individual taxpayers under the simplified tax regime. For a taxpayer earning up to INR 12 lakh of total income, there is nil tax payable. This limit earlier was INR 7 lakhs.

Budget 2026 needs to fix stock option tax confusion for cross-border employees. Current rules create hardship for expatriates and returning Indians. Experts urge clear guidelines for taxing Employee Stock Option Plans earned across different countries. This will reduce disputes and improve compliance for mobile workers. The government aims for tax certainty and ease of doing business.