Budget 2018: Any commentary on the new direct tax code would be closely watched (Representational image)
Expectations are high that the government will announce some income tax sops for the middle class in Budget 2018, the last full-year Budget before general elections due next year. With eight state elections also due this year, the government is also expected to focus on the farm sector and small businesses. This will also be the first Budget after the rollout of GST, which came into force from July 1. Experts would be closely watching the fiscal deficit target for the next fiscal year. The Economic Survey, which was tabled on Monday, called for a pause in fiscal consolidation, leading to concerns that the government could widen its fiscal deficit targets for 2018-19.