Budget 2026 brings many big changes for Indian citizens and business owners. The Union Minister of Finance, Nirmala Sitharaman, shared the new fiscal plan on February 1, 2026. This budget focuses on a “Sankalp” to support the poor and build the capacity of every person. The Ministry of Finance built this plan on three “Kartavyas” or duties. The first duty is to grow the economy. The second is to fulfill the dreams of the people. The third is to follow the vision of Sabka Sath, Sabka Vikas. These updates change the prices of many everyday goods. Some items now cost less to help with living costs. Other items now cost more to help local industries grow.
At CreditCares, we help you understand these shifts so your business stays profitable. If you want to grow your factory or shop after these tax cuts, you need a good cibil score for business loan. We provide the data and help you need to get the best funding. You can check your ideal credit score for business loan on our platform to prepare for the year ahead.
Budget 2026: The New Economic Direction
The Budget 2026 updates include a major reform of the Income Tax Act. A new Income Tax Act, 2025, will start in April 2026. This act will have simple rules and forms. The state wants to reduce legal fights and make tax filing easy. For businesses, this means less time on paperwork. The state also increased the money for building roads and rails to 12.2 lakh crore rupees. This spending helps firms in transport and construction.
Small businesses get a big boost in Budget 2026. The state proposed a 10,000 crore SME Growth Fund. This fund helps top small firms grow into industry leaders. They also raised the limit for credit guarantees to 10 crore rupees for small units. This makes it easier to get a loan without giving security. If you are an entrepreneur, you should know your business loan credit score india to use these funds.
Full List of Cheaper Items in Budget 2026
The government cut customs duties on many items in Budget 2026. These cuts help with health care, green energy, and making gadgets in India.
Healthcare and Life-Saving Drugs
Treating serious illness will now cost less.
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Cancer Medicines: The basic customs duty on 17 specific drugs for cancer is now zero.
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Rare Diseases: Medicines for seven more rare diseases are now free from import duty.
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Medical Foods: Special food used for these treatments is now cheaper to import.
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Health Hubs: The state will help build five new Regional Medical Hubs to improve care.
Electronics and Household Goods
Making appliances in India is a major goal in Budget 2026.
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Microwave Ovens: Parts used to make microwaves are now free from duty.
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Lithium-Ion Cells: Machines used to make battery cells get a tax extension. This keeps the cost of electric vehicle batteries low.
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Personal Imports: The tax on goods bought from abroad for personal use fell from 20% to 10%.
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Mobile Phones: Certain parts for local phone making now have lower duties.
Energy and Technology
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Solar Glass: Sodium antimonate used to make solar glass is now duty-free. This helps solar panel makers.
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Critical Minerals: Capital goods needed to process minerals like lithium are now free from duty.
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Aviation: Parts for making training planes and small aircraft are now tax-exempt.
Travel and Education
Spending money on foreign trips or fees has lower upfront taxes.
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Overseas Tours: The tax collected at source (TCS) on foreign tour packages fell to 2%. It was 5% or 20% before.
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Foreign Fees: Sending money for studies or medical care abroad has a 2% TCS now.
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Student Visas: A new e-Student visa will help foreign students come to India.
Exports and Marine Sector
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Seafood: The duty-free limit for items used in fish processing rose from 1% to 3%.
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Fish Catch: Fish caught by Indian ships in the deep sea are now free of duty.
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Leather and Textiles: Raw materials for these exports have lower duties to help Indian firms compete globally.
Full List of Costlier Items in Budget 2026
To help local makers and raise funds, some items saw a tax rise in Budget 2026.
Stock Market and Finance
Trading in the markets will cost more in taxes.
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Futures Trading: The Securities Transaction Tax (STT) on futures rose to 0.05%.
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Options Trading: STT on options premium rose to 0.15%.
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Share Buybacks: Companies must pay a tax on buybacks. For corporate promoters, the rate is 22%. For others, it is 30%.
Imported Industrial Goods
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Umbrellas: The duty on umbrellas is now 20% or 60 rupees per piece to help local makers.
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ATM Machines: Importing cash machines and their parts will now cost more.
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Industrial Chemicals: Potassium hydroxide now has a 7.5% duty. It was zero before.
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Coffee Machines: Machines for roasting or brewing coffee from other countries lose their tax benefits.
Luxury and Other Goods
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Alcohol: The tax on selling liquor and scrap is now a flat 2%.
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Tendu Leaves: The TCS on these leaves fell to 2%, but other luxury items see stable or higher taxes.
MSME Growth and Business Loans in Budget 2026
Small businesses are at the heart of the Budget 2026 plan. The state wants to help you scale up. But you need capital to buy new machines or build a new unit. Lenders check your credit history first. A good cibil score for business loan is usually 750 or higher.
If your score is not high, do not worry. You can look at a secured business loan low credit score option. This uses assets like your shop or home as security. We also help you understand the lap credit score requirement if you want a loan against property. Our business loan eligibility credit score guide explains what banks look for in your report.
Impact of Budget 2026 on Manufacturing
The state is building seven new high-speed rail lines to link major cities. These rails will help move goods faster. If you make parts for these projects, you need a strong bank limit. Banks will check your project loan credit score for large funds. The Budget 2026 updates also help makers of solar parts and electronics with lower import costs.
You must track the cibil score range for businessmen to stay ready for new loans. A low score can mean higher interest rates. The credit score impact on business loan terms is very large. We help you fix errors in your report to boost your standing.
Direct Tax Reforms and the New Income Tax Act
The Ministry of Finance wants to trust the taxpayer more. The Budget 2026 plan includes several reforms for individuals and firms.
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New Act: The Income-tax Act, 2025, will make filing easy for every person.
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Fix Errors: You can fix mistakes in your tax return until March 31 by paying a small tax.
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Less Penalty: The pre-payment for tax appeals fell from 20% to 10% of the tax amount.
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Asset Disclosure: Students and young workers get six months to show foreign assets without a big fine.
These changes help you keep more of your money. If you have a can i get a loan with a 700 cibil score query, we have the answers. A score of 700 is good, but you can always improve it for better rates.
Why Partner with CreditCares?
Managing a business after the Budget 2026 updates is a full-time task. You need to watch your costs and find new ways to grow. CreditCares is your financial friend. We stay updated with every report from the Ministry of Finance and the Press Information Bureau.
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We explain the cibil score range for businessmen.
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We help you understand what banks check in your company credit report.
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We match you with the best lenders for your specific industry.
Our goal is to see Indian businesses lead the world. We make the loan process simple. Check your credit and apply for the right fund today.
Frequently Asked Questions (FAQs)
1. What is the main focus of Budget 2026?
The focus is on “Yuva Shakti” and the poor. It uses three duties to grow the economy and help every person reach their goals.
2. Which health items are cheaper in Budget 2026?
Import duties on 17 cancer drugs and 7 rare disease medicines are now zero. This makes life-saving care cost less for every family.
3. How did the tax on foreign travel change in Budget 2026?
The TCS on foreign tour packages fell to 2%. Previously, it was as high as 20% for large amounts.
4. What is a good CIBIL score for a business loan?
A good cibil score for business loan is usually 750 or more. It gets you fast approval and the lowest interest rates.
5. Why is the duty on umbrellas higher now?
The duty rose to 20% or 60 rupees per piece to protect Indian makers from cheap imports.
6. Can I get a loan if I have a 700 CIBIL score?
Yes, you can. A can i get a loan with a 700 cibil score check shows that you are in a good position for most funds.
7. Is there a new tax act in Budget 2026?
Yes, the Income-tax Act, 2025, starts in April 2026 to make tax filing easy for every citizen.
8. Where can I read the full Budget 2026 speech?
You can visit the official Ministry of Finance website for the full text.
Plan Your Future with Budget 2026
The Budget 2026 plan is a mix of relief and new costs. Understanding these changes helps you stay profitable. At CreditCares, we help you get the money you need to succeed. Stay ahead of the competition with the right financial partner. Visit our site to start your growth story today. We provide the best advice for your credit score and loan needs. Stay informed and build a strong future for your business.
