Finance Minister Nirmala Sitharaman has begun her Budget speech to present the Interim Budget 2024-25 at Parliament on Thursday, February 1, a day after the commencement of the Budget Session.
Despite some speculations suggesting the interim budget might be a vote on account, many experts anticipate crucial announcements, especially for income taxpayers and salaried individuals.
Expectations include measures to enhance the appeal of the new income tax regime.
Significant announcements in the EV, real estate, cryptocurrency, and renewable energy sectors are also expected.
The Finance Minister will set the stage for the temporary financial plan until the new government takes over. This will be the sixth budget presentation put forth by the finance minister including five annual and one interim.
Live Updates from Budget 2024
‘When we assumed office in 2014, the country was facing enormous challenges. With ‘Sabka Sath Sabka Vikas‘ as its mantra, the government overcame those challenges,’ says Union Finance Minister Nirmala Sitharaman as she began presenting the Union Budget 2024.
Our government focused on policies that brought secularism into action, reduced corruption, and prevented nepotism. We delivered Sabka Sath, Sabka Vikas through social and geographical. Garib, Mahilaye, Yuva, Annadata — Focus on the poor, women, youth, and farmers. In 10 years, the govt has helped 25 crore people to get freedom from multidimensional poverty.
The Indian economy has witnessed a profound transformation in the last 10 years
In 2014, the country was facing enormous challenges, but the government overcame those challenges and undertook structural reforms, pro-people reforms were undertaken, conditions for jobs and entrepreneurship were set in, fruits of development started reaching people at scale, and the country got a sense of new purpose and hope.
In the second term, the government strengthened its mantra and our development philosophy covered all elements of inclusivity, namely social and geographical.
With a whole of national approach, the country overcame the challenges of the COVID-19 pandemic, took long strides towards Aatma Nirbhar Bharat and laid solid foundations for Amrit Kaal.
The government is focusing on four major groups – poor, women, youth and the farmers.
‘PM Janman Yojana’ helps tribal groups who have remained outside realm of development.
The government has helped 25 crore people to get freedom from poverty in the last 10 years.
The Skill India Mission has trained 1.4 crore youth, upskilled and re-skilled 54 lakh youth, and established 3000 new ITIs. A large number of institutional higher learning, namely 7 IITs, 16 IIITs, 7 IIMs, 15 AIIMS and 390 Universities have been set up.
The Finance Minister said that the target for the ‘Lakhpati Didi‘ scheme, which was initially set at 2 crore women, has been enhanced to 3 crore women.
‘We are working to make India a Vikashit Bharat by 2047,’ says FM
34 crore Mudra Yojana loans been given to women entrepreneurs.
Making triple talaq illegal, reservation for women in LS and State assemblies, houses under Awas yojana to women in rural areas have enhanced their dignity.
Average income of people increased by 50%, says FM, even as GST has enabled one nation, one market, one tax
Economic management over past 10 yrs has complimented people-centric development
All forms of infrastructure are being built in record time.
All parts of the country are becoming active participants in eco-growth.
DPI, a new factor of production in 21st century, is instrumental in formalization of economy.
Strengthening of finance sector has made things more efficient.
With confidence arising from the exemplary track record of progress, earning ‘sabka vishwas’ the next 5 years will be of unprecedented development.
Geopolitically, global affairs are becoming more complex. A new world order is emerging after the Covid-19 pandemic. The pandemic led to the crisis while India successfully navigated its way. India assumed the G20 summit after a very difficult time.
One crore households will get up to 300 units of electricity every month with rooftop solarization.
Economy is doing well, inflation is moderate
‘India as a G20 host showed forward way and built consensus for solutions for problems being faced by the world’
GST has reduced the compliance burden on trade and industry
The GST has eased commerce and industry’s compliance burden by harmonizing the tax structure. According to a recent poll, the majority of industry leaders(94%) see the shift to the GST as favourable, says the Finance Minister.
States have profited as well, according to the Finance Minister. The customer stands to gain the most, she continues, as lower taxes and logistical expenses have contributed to lower pricing.
Despite the challenges due to COVID, implementation of PM Awas Yojana Rural continued and we are close to achieving the target of 3 crore houses. 2 crore more houses will be taken up in the next 5 years to meet the requirement arising from increase in the number of families.
Jai Jawan, Jai Kisan, Jai Vigyan, Jai Anusandhaan is the motto of the Modi govt
A strategy will be formulated to achieve Atmanirbharta for oilseeds like sesame, sunflower, mustard, and others, comprehensive program to support dairy farmers will be formulated
A corpus of INR 1 lakh crore will be established with 50 year interest-free loan for tech-savvy entrepreneurial growth. The corpus will provide long-term financing with long tenors and low/nil interest rates. This will encourage private sectors to scale up research and innovation significantly in sunrise domains.
Capex Target: Outlay to be increased by 11.1% to INR 11.11 lakh crore
Our government will adopt economic policies which will foster and sustain growth, facilitate inclusive and sustainable development, improve productivity, create opportunities for all and help them enhance their capabilities and contribute to generation of resources to power investments and fulfill aspirations. The government will take up next-gen reforms and build consensus with stakeholders for effective implementation
Recently announced India Middle East Europe Economic Corridor will be game changer for India
The government will push for bilateral treaties with foreign partners in the spirit of ‘First Develop India’
Vande Bharat-like bogies, airports to be doubled
40,000 rail bogies to be converted to Vande Bharat standards. Airports to be doubled to 149. Indian airlines have placed orders for 1,000 new aircraft
States will be encouraged to take up comprehensive development of iconic tourist centres and marketing them at global stage:
Revised estimate of fiscal deficit is 5.8% of GDP
The expected total expenditure and total receipts (excluding borrowings) are INR 47 lakh crore and INR 30.80 lakh crore, respectively.
Next year, the interest-free loan programme would be maintained with an expenditure of INR 1.3 lakh crore.
Revenus of INR 30.03 lakh crore are likely to exceed the Budget Estimate, representing strong economic momentum and the formalization of the economy, out of total expenditures of INR 44.90 lakh crore.
FY24 fiscal deficit pegged at 5.8% against the budgeted 5.9%, announced FM Sitharaman.
FY25 fiscal deficit to be seen at 5,1%
Aim of FY26 fiscal deficit to be under 4.5%
I appreciate taxpayers for their continued support, says FM Sitharaman
Over the last 10 years, tax collections have more than doubled, says FM
‘I do not propose to make any changes to taxation and proposed to retain same tax rates for direct and indirect tax rates including import duties’
FM proposes to retain same tax rates for direct and indirect taxes including export duties
For those making up to INE 7 lakh annually, there is no longer any responsibility under the new tax structure. For retail firms, the presumed taxes threshold was raised from INR 2 crore to INR 3 crore.
The corporate tax rate was lowered from 30% to 22% for already-existing businesses and to 15% for specific newly formed industrial sectors.
Tax return filing has gotten easier and more straightforward. Refunds are being processed more quickly now that the average return processing time has dropped from 93 days in 2013–14 to only 10 days, according to FM Sitharaman.
The interim budget provides estimates of the government’s expenditure, revenue, fiscal deficit, financial performance, and projections for the upcoming months.
The full budget is scheduled to be presented after the Lok Sabha elections by the newly-elected government.
Finance Minister Nirmala Sitharaman’s Budget speech is being telecasted live on the official channel of Parliament Sansad TV and Doordarshan.
The interim Budget 2024 can be accessed in a ‘paperless form’ through the Union Budget Mobile App. The bilingual app, available in English and Hindi, can be downloaded on Android, iOS, or from the Union Budget Web Portal (www.indiabudget.gov.in). ‘
This government app will provide all essential Budget documents, including the Annual Financial Statement, Demand for Grants, and the Finance Bill as mandated by the Constitution. Budget documents will be promptly available on the Mobile App following the conclusion of the Budget Speech.