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Budget 2025: A Win for the Common Man or Big Corporations?

For over 25 years, MGA Group has been helping businesses and individuals navigate financial complexities. With each budget announcement, we critically analyze its impact on different sectors of the economy. Budget 2025 presents several tax reforms and policy changes, but the real question is—who benefits the most?

While the government claims to focus on economic growth and inclusivity, a deeper look raises concerns. Is this truly a "common man's budget", or does it favor big corporations?

1️⃣ The Forced Shift to the New Tax Regime

🔹 The old tax regime offered essential benefits like home loan interest deductions, insurance exemptions, and 80C investments—key tools for middle-class financial planning.

🔹 By removing these deductions, taxpayers are left with fewer incentives to save and invest.

2️⃣ Capital Gains Tax – Who Really Pays the Price?

🔹 Retail investors and small traders who rely on market gains will see their profits shrink.

🔹 Corporations and high-net-worth individuals (HNIs) have sophisticated tax-saving strategies to minimize liabilities.

3️⃣ Rural Development Funds – Will They Reach the Right Hands?

🔹 While increased funding is a positive step, where is the accountability?

🔹 A transparent tracking system should be in place to ensure these funds actually reach farmers and rural communities instead of being lost in bureaucratic inefficiencies.

4️⃣ Angel Tax Abolition – A Boost for Startups, But What About SMEs?

🔹 Why was similar relief not extended to small and medium enterprises (SMEs)?

🔹 SMEs continue to struggle with high tax burdens and difficulty in accessing credit.

Conclusion: Who Wins in Budget 2025?

✅ The budget favors structured corporations, startups, and big investors.

❌ The common man, small investors, and SMEs have been overlooked in crucial areas.

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