"I aim to simplify tax administration and bring greater transparency," she said.

While maintaining the existing income tax slabs and rates applicable to the small taxpayers, the government made some changes in taxes applicable to corporates and the super rich.

"My tax proposals will aim to stimulate growth, incentivize affordable housing and encourage start-ups by releasing the entrepreneurial spirit," the finance minister said.

Corporate tax: The government proposed to widen the lower corporate tax rate of 25 per cent to companies having annual turnover up to Rs 400 crore, from Rs 250 crore at present.

"This will cover 99.3 per cent of the companies. Now only 0.7 per cent of companies will remain outside this rate."

Surcharge: The surcharge applicable to those in the income categories of Rs 2 crore-5 crore and above Rs 5 crore will have to bear an increase by around 3 per cent and 7 per cent respectively in effective tax rates.

"In view of the rising income levels, those in the highest income bracket need to contribute more to the nation's development."

Excise duty and cess: In view of easing crude oil prices in the international markets, the government proposed to increase the special additional excise duty, and road and infrastructure cess each by one rupee a litre on petrol and diesel. It is also proposed to increase custom duty on gold and other precious metals from 10 per cent to 12.5 per cent.

Start-ups: The issue of establishing identity of the investor and the source of funds will be resolved by putting in place "a mechanism of e-verification", Ms Sitharaman said. With this, funds raised by start-ups will not require any kind of scrutiny from the Income Tax Department.