Proposal Impact Earning Tax slabs recalibrated Lower tax for all income levels Higher exemption limits for women (Rs 1.25 lakh) and senior citizens (Rs 1.5 lakh) Women, senior citizens gain Sec 88 & 80L abolished; the new Sec 80C allows blanket deductions up to Rs 1 lakh Everyone gains; but people with taxable incomes over Rs 5 lakh gain more New fringe benefits tax on employers targets cash reimbursements and soft perks Salary structures to become cleaner New bill to set up pension regulator Growth-oriented pension investments in future Investing Corporate taxes down 36.6% to 33.6%; surcharge up from 2.5% to 10% Higher profitability should drive share prices Depreciation rates down from 25% to 15% Capital-intensive manufacturers to take a hit STT up on all transactions Marginal increase in transaction costs Corporate bonds market to be revived; gold exchange traded funds (ETFs) to be launched Options for investors to diversify portfolios Spending Service tax on builders Apartment prices likely to go up but deductions on home loans stay Dream home lure to endure Clubs, recruitment firms in service tax net Higher outgo for you Higher excise on cigarettes, pan masala, gutka, imported liquor You'll pay more Import duty on plasma TVs, hi-fi audio, DVD players, mobile phone, PC components down You'll pay less Cash transaction tax of 0.1% on all cash withdrawals of Rs 10,000/day Other modes of fund transfer (ECS, cards etc) will be preferred