Budget 2026: 5 Key Expectations Of Middle Class, Farmers, Investors, And Senior Citizens Left Unmet

New Delhi: Finance Minister Nirmala Sitharaman presented the highly-anticipated Union Budget 2026, with the government focusing on the common man, women, farmers, and youth. The total budget size stands at a whopping ₹53.47 lakh crore, registering a 7.7% jump from the current financial year. The massive budget outlay shows the government's push for growth and development across various sectors.

Several key announcements have been made in the budget to benefit the common man. Notably, 7 new high-speed rail corridors have been proposed, connecting major cities like Mumbai-Pune, Hyderabad-Bengaluru, and Delhi-Varanasi, among others, which is expected to slash travel times, boost economic activity, and enhance regional connectivity.

In a move to make healthcare more affordable, 17 life-saving cancer medicines have been exempted from basic customs duty, providing much-needed relief to patients facing high treatment costs. Additionally, 7 more rare diseases have been included in the list for customs duty exemption on imported medicines and special medical foods.

The budget also puts infrastructure development front and centre, with a focus on enhancing connectivity and logistics. The government has allocated ₹12.2 lakh crore for public capital expenditure, with a big chunk dedicated to railways, highways, and waterways. The budget also proposes operationalizing 20 new National Waterways to cut logistics costs and promote sustainable transportation.

However, the Union Budget 2026 seems to have left many expectations unmet, which the common man was expecting would be important and provide relief. Several highly anticipated major announcements have not been made, leading to disappointment among various sections of society.

No Income Tax Exemption

The previous budget announced a 'zero' tax for ordinary taxpayers on annual income up to ₹12 lakh under the new income tax regime, leading hopes that the limit would be increased to ₹14 lakh in the Union Budget 2026. However, the government has not made any changes to this, leaving many taxpayers disappointed.

The current tax structure under the new regime offers a rebate of ₹60,000 for incomes up to ₹12 lakh, making it tax-free. However, incomes above ₹12 lakh are taxable, and the standard deduction of ₹75,000 for salaried individuals elevates the tax-free income threshold to ₹12.75 lakh.

Exemptions In The New Tax Regime

The new tax system had taxpayers expecting tax exemptions for investments in popular schemes like PPF, NPS, and ELSS, but the government chose not to make any changes, leaving these investments eligible for exemption only under the old tax regime. Under the old regime, investments in these schemes qualify for tax exemption up to ₹1.5 lakh under Section 80C of the Income Tax Act, providing a valuable benefit to taxpayers who opt for it.

The lack of similar benefits under the new tax system is seen as a missed opportunity to incentivize savings and investments. With the new tax regime offering lower rates but fewer exemptions, taxpayers are left weighing the pros and cons of each option. The unchanged exemption rules mean those investing in PPF, NPS, and ELSS will continue to seek benefits under the old regime, while others might explore alternative investment avenues.

Farmers Expectation

Farmers had pinned their hopes on the Union Budget 2026, expecting a raise in their income through an increase in the PM Kisan Yojana allocation. However, the budget has left them disappointed as the government chose not to increase the allocation, keeping it unchanged at ₹6,000. The decision comes as a blow to farmers who were hoping for a much-needed increase to ₹12,000.

Adding to their woes, the budget is also silent on the much-awaited issue of Minimum Support Price (MSP) for crops, with no major announcement being made to address the concerns of farmers.

No Major Announcement For Senior Citizens

Senior citizens had been eagerly awaiting the Union Budget 2026, hoping for some much-needed relief in the form of insurance scheme support and concessions on railway train tickets. However, the budget has left them disappointed, with the government choosing to focus on the announcement of new rail corridors instead.

The Budget lacks concrete measures to support senior citizens, and the absence of any changes to the TDS deduction rules has only added to their worries. According to analysts, senior citizens continue to face challenges in accessing affordable healthcare and travel options, and the budget remains silent on these issues. The decision not to provide any specific benefits or concessions for senior citizens has been met with disappointment.

Stock Market Investors

The Union Budget 2026 also dealt a blow to stock market investors, leaving many feeling disappointed and concerned about the government's stance on the market. The decision to increase transaction charges for F&O traders came as a surprise, especially since expectations were running high that these charges would be reduced to boost trading activity.

The increased charges are likely to dampen trading volumes and impact market liquidity, adding to the concerns of investors. Adding to the disappointment is the government's decision to maintain the status quo on long-term capital gains tax (LTCG) and short-term capital gains tax (STCG), despite hopes that reductions in these areas would provide much-needed relief to investors. 

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