Highlights of Budget 2023-24
- Income upto Rs 7 Lakhs – No
Income Tax for new Tax Regime. Rebate limit increased to Rs. 7 Lakhs. now
no tax upto 7 Lakhs
- Slab Rates - 0-Rs 3 lakh: Nil; Rs
3-6 lakh: 5% Income tax; Rs 6-9 lakh: 10% Income tax; Rs 9-12 lakh: 15%
Income tax; Rs 12-15 lakh: 20% Income tax; Above Rs 15 lakh: 30% In New
regime
- I introduced in 2020, the new
personal income tax regime with 6 income slabs, starting from Rs 2.5 Lakhs.
I propose to change the tax structure in this regime by reducing the
number of slabs to 5 and increasing the tax exemption limit to Rs 3 Lakhs
- Individual with Annual Income
of 9lacs will be required to Pay Rs45,000/ of Income Tax
- Salaried Class and Pensioner
Standard Deduction increased to Rs 52,500/-
- PAN to be a common business
identifier for entities.
- Required financial support to
be provided to poor persons who are in prison and unable to afford penalty
or bail amount
- Presumptive tax for professionals
Rs. 75 lakhs (earlier 50 lakhs) for Traders Rs. 3 lakhs maximum cash 5%.
- Senior Citizen Saving Scheme
amount increased from 15 Lakhs to 30 Lakhs. Big boost for the security of
Senior Citizens who now earn 8% return on higher govt secured investment
scheme
- Unified Filing Process
announced in the budget. This will require entities to do only one time
filing for all compliances under several regulations. Data will be shared
with all regulators
- Mobile phones, TVs, camera
lenses & lithium batteries to be cheaper.
- Announced Mahila Samman Saving
Certificate announced at 7% interest rate.
- Reduction in Basic customs duty
from 21% to 13%
- Estimates fiscal deficit of
5.9% of GDP in FY24, reiterate commitment to bring fiscal deficit to below
4.5% of GDP by fY26
- TDS rate reduced from 30% to
20% without PAN while withdrawing in certain cases
- Central Processing Centre to be
set up for faster response to companies filing forms under Companies Act
- 9.6 cr LPG connections, 220 cr
Covid vax for 102 cr people given, 47.8 cr JanDhan accounts opened
- National Rural Livelihood
Mission has achieved remarkable success by mobilising rural women into 1
lakh SHGs
- The world has recognized India
as a bright star, our growth for current year is estimated at 7.0%, this
is the highest among all major economies, in spite of massive global
slowdown caused by pandemic and the war
- This is the first budget in
Amrit Kaal, this budget hopes to build on the foundation laid in previous
budget and the blueprint laid for India@100, we envision a prosperous and
inclusive India in which the fruits of development reach all
- Economy has become a lot more
formalised; efficient implementation of many schemes like Ujjwala, Jan
Dhan Accounts, Cash Transfer of 2.2 lakh cr to farmers have insured
inclusive growth
- India’s growth at 7 pc in
current fiscal highest among major economies; Indian economy on right
track
- •11.7 Crore Toilets under
Swacch Bharat Mission •9.6 Cr LPG Ujjwala •220 Crore COVID-19 Vaccination
•47.8 Crore PM Jan Dhan Yojna •46.4 Crore under PM Insurance Schemes •2.2
Lakh Crore Cash Transfer to 11.4 Crore Farmers
- Govt implementing scheme to
supply free grains to poor under PMGKAY with expenditure of Rs 2 lakh cr
from Jan 1
- Indian economy has increased in
size from being 10th to 5th largest in last nine years
- The agricultural credit target
will be increased to Rs 20 lakh crores with a focus on animal husbandry,
dairy and fisheries
- 157 new nursing colleges will
be setup in co-location with the 157 medical colleges that have already
been setup
- Large potential to be tapped in
tourism; promotion of tourism to be taken up in mission mode:
- Implementing many programs for
green fuel, green energy, green farming, green mobility, green buildings,
green equipment, and creating policies for efficient energy use across
various economic sectors
- Green growth efforts to help
reduce carbon intensity; create green job opportunities. Green growth
efforts to help reduce carbon intensity; create green job opportunities
- The National Book Trust and
Children Book Trust will be encouraged. National Digital Library for
children and adolescents for facilitating availability of quality books.
- Indian Institute of Millet
Research will be supported as a centre of excellence
- Agri accelerator fund will be
set up to encourage agri startups in rural areas
- Govt to support Hyderabad-based
millet institute as centre of excellence
- New program to promote Research
& innovation in Pharma sector will be launched; will encourage
industry to invest too
- Agriculture credit target
increased to Rs 20 lakh cr for FY’24, with focus on animal husbandry,
dairy and fisheries
- National cooperative database
is being created to map cooperative societies
- Govt plans to set up massive
decentralised storage capacity to help farmers
- Capital investment outlay
increased by 33%YOY to Rs10 lakh cr; 3.3 percent of GDP
- The agricultural credit target
will be increased to Rs 20 lakh crores with a focus on animal husbandry,
dairy and fisheries
- For realising vision of Make AI
In india, 3 centres of excellence will be setup in partnership with
Private sector
- PM Awas Yojana outlay hiked by
66 pc to Rs 79,000 cr
- More than 39,000 compliance has
been reduced to make environment more business friendly
- All cities and towns will be
enabled for 100% mechanical desludging of septic tanks to transition from
man-hold to machine-hold mode
- Capital investment outlay being
increased by 33% to Rs 10 lakh crores, which would be 3.3% of GDP
- 63,000 Primary Agricultural
Credit Societies are being computerized with investment of Rs. 2,516
crores; model bylaws were formulated for PACS, national database is being
prepared, with this, massive decentralized storage capacity to be set up
- The Economy has become a lot
more formalized as reflected by the doubling of EPFO membership to 27
crore and ₹
7,400 crore digital payments of ₹126 lakh crore through #UPI in 2022
- Centre to continue 50-year
interest-free loans to state governments for one more year
- Govt to provide Rs 5,300 cr
assistance to drought-prone central region of Karnataka
- The outlay for PM Awaas Yojana
being enhanced by 66% to over Rs 79,000 crores
- e-court 3.0 Rs. 7,000 Crores
investment e-court is future
- Dedicated multidisciplinary
courses for medical devices to be supported in institutions to ensure
skilled manpower for futuristic medical tech and high end manufacturing
and research
- New programme to promote
research and innovation in pharmaceuticals to be taken up through centres
of excellence, industry to also be encouraged to invest in research and
development in priority areas
- Facilities in select ICMR labs
to be made available for research by public and private medical college
faculty, private sector research teams for encouraging collaborative
research and innovation
- Mission to eliminate sickle
cell anaemia by 2047 to be launched, will entail awarness creation,
universal screening of 7 crore people in 0 – 40 years in affected tribal
areas, and counselling
- The tourism sector holds huge
opportunities for jobs and entrepreneurship. promotion of tourism will be
taken up on mission mode with the active participation of states’
convergence of government programs and public-private partnership
- 157 new nursing colleges to be
established in colocation with existing 157 medical colleges set up since
2014
- 63,000 Primary Agricultural
Credit Societies are being computerized with investment of Rs. 2,516
crores; model bylaws were formulated for PACS, national database is being
prepared, with this, massive decentralized storage capacity to be set up
- For the first time package of
assistance for traditional artisans and craftspeople has been conceptualized,
which will enable them to improve the quality, scale, and reach of their
products, integrating with the MSME value chain
- For realising the vision of
Make AI in India and Make AI work for India, 3 Centres of Excellence for
Artificial Intelligence will be set up in top educational institutions
- For enhancing ease of doing
business, more than 39,000 compliances have been reduced, over 3,400 legal
provisions decriminalised
- For business establishments
required to have Permanent Account Number, the PAN will be used as a
common identifier for all Digital Systems of specified government agencies
- Rs 35,000 crores priority
capital for the energy transition; Battery storage to get viability gap
funding
- National Data Governance Policy
will enable anonymised data; KYC process will be simplified by adopting
risk-based system:
- Govt to bring National Data
Governance policy
- Rs. 500 crores committed for
Goverdhan Scheme for Bio Gas
- 50 additional airports,
helipods, water aero drones, advanced landing grounds will be revived to
improve regional air connectivity:
- Aspirational Blocks programme
covering 500 blocks has been launched for saturation of govt. programmes;
Pradhan Mantri Primitive Vulnerable Tribal Groups Development Mission is
being launched to improve conditions of vulnerable tribal groups
- If MSMEs fail to execute
contract, 95 pc of performance security will be returned to small business
as part of Vivad Se Vishwas
- Pradhanmantri Kaushal Vikas
Yojana 4.0 in next 3 years plan to provide training to lakhs of youth
- 38,000 teachers and support
staff to be recruited in next 3 years, for 740 Eklavya Model Residential
Schools serving 3.5 lakh tribal students
- The Mission will saturate these
families with basic facilities such as safe housing, clean drinking water,
improved access to education, health, nutrition and sustainable livelihood
opportunities; Rs. 15,000 crores to implement the Mission in 3 years
- To skill the youth for
international opportunities, 30 Skill India International Centres will be
set up across different States
- Govt to bring another dispute
resolution scheme under Vivad Se Vishwas-2 to settle commercial disputes
- Customs duty on lab grown
diamonds to be reduced
- State support mission of Niti
Aayog will be continued for 3 years
- Replacing old polluting vehicles
is an important part of greening our economy. We have allocated adequate
funds to scrap old vehicles of the central govt
- The Unified Skill India Digital
platform will enable demand-based formal skilling, linking with employers
(including MSMEs) and facilitating access to entrepreneurial schemes
- For efficient administration of
justice, Phase 3 of the eCourt’s project will be launched with an outlay
of Rs 7000 Crores:
- Govt to support setting up of
battery energy storage of 4,000 MwH
- States will be encouraged to
set a ‘Unity Mall’ in State capital or the most popular tourist
destination in the state for the promotion and sale of ‘One District, One
product’ and GI products and other handicraft
- Govt to set up Gowardhan Scheme
for promoting circular economy with total investment of Rs 10,000 cr
- Credit guarantee for MSMEs – Rs
9000 crores infused in the corpus which will allow additional
collateral-free credit of Rs 2 lakh crores; to be effective from 1st April
2023
- MIS Scheme limit increased from
4.5 lakh to 9 lakh
- Revamped credit guarantee
scheme will take effect from April 1, 2023, through the infusion of Rs
9,000 crore in the corpus. This will enable additional collateral-free
credit of Rs 2 lakh crore to MSMEs.
- To provide support to 47 lakh
youths in 3 years, a Direct Benefit Transfer under a pan India national
apprenticeship scheme will be rolled out
- Rs 7.3 lakh crore debt settled
before initiating insolvency. Banks recovered 77% more than the
liquidation value due to IBC
- One-time new small savings
scheme MAHILA SAMMAN SAVING CERTIFICATE to be made available for 2 years
upto March 2025, with deposit facility of upto Rs 2 lk in name of women,
with 2 year tenor, with 7.5% fixed rate & partial withdrawal option
- PM-PRANAM will be launched to
incentivise states to promote alternative fertilisers
- Govt to facilitate 1 crore
farmers to adopt natural farming
- Over the next 3 years, one
crore farmers will get assistance to adopt natural farming. 10,000 bio
input resource centres will be set up
- Revamped credit guarantee
scheme for MSMEs with infusion of Rs 9,000 cr to be launched from April 1
- Pradhan Mantri Kaushal Vikas
Yojna 4.0 will be launched to skill lakhs of youth
- Govt to launch Dekho Apna Desh
initiative to promote domestic tourism
- Govt to set up National
Financial Information Registry for facilitating efficient flow of credit,
foster financial stability
- 100 critical transport
infrastructure projects for last and first mile connectivity for ports,
coal, steel, fertilizer and food grain sectors to be taken up on priority
with investment of Rs. 75000 crores, including Rs. 15000 crores from pvt.
Sources
- Integrated IT portal will be
set up for reclaiming unclaimed shares and dividends
- Govt to set up single window
system for registrations and approvals in IFSC Gift City
- Average income tax return
processing time has reduced from 93 days in 2021 to 16 days in 2022. New
common Income Tac Return Form would be introduced
- 16% increase in NCCD on Certain
Cigarettes
- 100 Joint Commissioners to be
allocated for disposing off small appeals
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