Fertilizer: Last Year’s Budget speech, finance minister had promised to revamp the complex fertilizer subsidy regime to a nutrient-based one. This goal are not going to be met.

Oil Subsidy: The politically volatile issue of recasting subsidies on petroleum products — in particular, kerosene and cooking gas-have expectedly been postponed as any increase in prices at this juncture would merely add to inflationary fires that are raging.

Politics: No Major Compulsions: only major state going to polls is Bihar.

Excise Duty: May withdraw part of stimulus package by hiking excise duties (or Central value added tax) on most manufactured items by 2%.

Infra Funding: Raising long term funds from retail investors through some structures maybe a tax free long term bond whereby retail savings can be tapped and that can be used for productive infrastructural development.

Power Equipment Imports: Govt is considering to levy between 11% and 14% across the board import duty on foreign generation equipment, ways and means to boost domestic manufacturing of power equipment.

Auto: Auto industry wants the govt to continue the excise duty concessions it doled out in the wake of slowdown. Interestingly, petition for continuation of 4% excise cut has been backed by ministry for heavy industries.

Power Sector Projects: Power ministry has sought scrapping of service tax for power sector projects in the Budget for 2010-11 —an exemption that infraprojects such as roads, airports, railways and bridges already enjoy. A 10% service tax is currently levied on power sector projects, after a 2% cut last February as part of the stimulus package.

Electrification: Govt may give a push to rural electrification in Budget.

Food: Finance ministry is looking to replace the public distribution system with food coupons that can be used to buy food items from the open market.

Mutual Funds: The Securities and Exchange Board of India has proposed scrap tax benefits for corporates investing in mutual funds.

STT: Proposal that securities transaction tax (STT) should be cut by 1/3rd

Income Tax: Income tax exemption limit can be raised a little bit to give relief to middle class families.

Airlines: Civil aviation ministry has demanded a gross budgetary support of $ 425mn of which 60% is been slotted for equity infusion into Air India

Service Tax: May be restored to 12% while excise duty could be increased marginally.

Corporate Tax: Govt may not tinker with corporate tax rates in the budget despite pressure from industry to slash rates.