Under the guiding principles of ‘Sabka Saath, Sabka Vikas, and Sabka Vishwas’ and the comprehensive national approach of “Sabka Prayas,” Finance and Corporate Affairs Minister, Smt. Nirmala Sitharaman presented the Interim Union Budget 2024-25 in Parliament. The key highlights of the budget can be summarised as follows:
Budget 2024 Highlights: Direct and Indirect Tax
- No changes proposed in direct and indirect taxes, including import taxes.
- Existing tax rates for both Direct and Indirect taxes maintained.
- Tax breaks for start-ups and investments by Sovereign Wealth Funds extended until March 31, 2025.
- Focus on improving taxpayer services.
- Tax reforms resulted in a widened tax base and increased tax collections.
- Tax benefits proposed for pension funds.
- Processing time for tax returns reduced from 93 days in FY14 to 10 days.
- GST tax base more than doubled, according to the Finance Minister.
- Number of tax filers increased by 2.4 times, and direct tax collection tripled since 2014.
- Projected tax receipts for 2024-25 at Rs 26.02 lakh crore.
- Direct Tax Collections tripled in the last 10 years.
- Return filing increased by 2.4 times.
Budget Highlights 2024: Tourism
- Interest-free loans to states to promote tourism.
- Funds allocated for the development of tourism in Lakshwadweep.
Budget 2024 Highlights: Air Connectivity
- 517 new routes to be launched under the Udan Scheme.
Budget Key Highlights 2024: Fiscal Announcements
- Capex outlay of Rs 11.11 lakh crore.
- Capex outlay at 3.4 per cent of GDP.
- Revised FY24 Fiscal Deficit target to 5.8 per cent of GDP from 5.9 per cent.
- Fiscal Deficit target for FY 25 set at 5.1 per cent.
- Plans to reduce fiscal deficit to 4.5 per cent in 2025-26.
- FY 25 Gross market borrowing target is Rs 14.13 lakh crore.
- Net market borrowing estimated at Rs 11.75 lakh crore.
- Revised expenditure for FY 24 is Rs 44.90 lakh crore.
- Total revenue receipts in 2024/25 estimated at Rs 30 lakh crore.
- Nominal GDP growth expected at 10.5%.
- Food Subsidy set at 2.12 lakh crore.
- FY 24 Divestment Target reduced to Rs 30,000 crore; FY 25 target set at Rs 50,000 crore.
Budget 2024 Highlights: Rail
- Railways allocated Rs 2.4 lakh crore.
- Three major economic railway corridors under the PM Gati Shakti initiative.
- Announcement of three economic corridors for energy, mineral, and cement.
- Port connectivity and high-traffic density corridors introduced.
- Promotion of urban transformation via Metro rail and NaMo Bharat.
- Conversion of 40,000 normal train bogies into high-speed Vande Bharat ones.
Budget Highlights 2024: PLI Scheme
- PLI scheme receives Rs 6,200 crore.
Budget 2024 Highlights: Agri
- Promotion of investment in post-harvest activities.
- Support for dairy farmers.
- Efforts to control Foot and Mouth Disease.
- Expansion of Nano-DAP application in all agro-climatic zones.
- Crop insurance provided to 4 crore farmers under PM Fasal Bima Yojana.
- Setting up of five integrated Aqua Parks.
- Launch of Blue Economy 2.0 to promote aquaculture.
- Strengthening implementation of Pradhan Mantri Matsaya Sampada Yojana.
- Direct financial assistance to 11.8 crore farmers under PM-KISAN.
Budget Highlights 2024: Sunrise Tech
- Proposal of Rs 1 lakh crore corpus to drive private investment in sunrise technologies.
Budget 2024 Highlights: Healthcare
- Extension of healthcare facilities under Ayushman Bharat to all Aasha workers and Aanganwadi workers.
- Plans to set up hospitals in all districts.
- Vaccination of 9-14 year old girls for cervical cancer.
- Acceleration of Saksham Anganwadi and Poshan 2.0 for improved nutrition delivery.
- Allocation of Rs 90,170 crore to the health sector, 13.8% higher than the RE of Rs 79,220 crore for 2023/24.
Budget 2024 Highlights: Education
- Education budget for 2024/25 set at Rs 1.25 lakh crore, 14.5% higher than the revised estimate for 2023/24.
Budget Highlights 2024: Housing
- Introduction of a new housing plan for the middle class.
- Target of building 2 crore houses under PM Aavas Yojana.
- Pradhan Mantri Awas Yojana (Grameen) close to achieving the target of 3 crore houses, with an additional 2 crore targeted for the next 5 years.
Budget 2024 Highlights: Renewable Energy
- Viability gap funding for wind energy.
- Establishment of coal gasification and liquefaction capacity.
- Phased mandatory blending of CNG, PNG, and compressed biogas.
- Financial assistance for the procurement of biomass aggregation machinery.
- Enablement of 1 crore households to obtain up to 300 units of free electricity per month.
Budget Highlights 2024: India Growth
- Next five years were envisioned as years of unprecedented growth.
- Commitment to next-generation reforms in consultation with state governments.
- Focus on making the eastern region the driver of India’s growth.
- New Solar power policy to provide 300 units of free power to over 1 crore houses.
- Increase in women’s participation in higher education to 28% in the last 10 years.
- Enhancement of Lakhpati Didi target from 2 crore to 3 crore.
- Credit assistance to 78 lakh street vendors under PM-SVANidhi.
- Disbursement of over 22 crore Mudra loans in the last 10 years.
- Emphasis on Governance, Development, and Performance as the GDP mantra.
- Success of Jan Dhan accounts in saving over Rs 2 lakh crore.
- Legal prohibition of Triple Talaq and reservation of one-third seats in Parliament enhancing the dignity of women in India.
- Allocation of Rs 30 crore Mudra Yojana for women entrepreneurs.
- Training of over 1.4 crore youth under the Skill India mission to make them job-ready.
- Highest-ever medal tally in the Asian Games reflecting high confidence.
- Direct transfers of Rs 34 lakh crore to beneficiaries leading to significant government savings.
- Uplifting of 25 crore people out of poverty in the last 10 years.
- Prioritization of Garaab, Yuva, Mahila, and Annadata for the nation’s well-being.
Budget 2024 Highlights: Lokapal and CVC Allocation
- Lokapal allocated Rs 33 crore, CVC allocated Rs 51.31 crore for the next financial year.
- Lokpal budget revised to Rs 47.73 crore for the ongoing fiscal from Rs 44.46 crore for 2023-24.
If you want any other guidance concerning Interim Union Budget 2024 please feel free to talk to our business advisors at 8881-069-069.
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