New Delhi: Finance Minister Nirmala Sitharaman presented her seventh budget on July 23, 2024. It was also the first budget of the Modi 3.0 government as well as the first by a coalition government in India in the first 10 years. The budget was presented against a backdrop of the need to boost aggregate demand in the market, the need to create employment, provide a thrust to agriculture, increase purchasing power, raise demand for products and services in the rural sector and the need to create conditions for private capital expenditure push. There was also a need to continue pushing India’s competitiveness in the manufacturing sector, infra push and attract foreign players to set up manufacturing bases in the country, apart from pushing the technology-oriented service sector.
10 Major announcements in Union Budget 2024
Fiscal deficit projected at 4.9% of GDP. Will be reduced to 4.5% in FY26.
Standard deduction on personal income tax raised from Rs 50,000 to Rs 75,000 only in the New Tax Regime. A relief of Rs 17,500 will accrue to taxpayers.
STCG will get taxed at 20% for some assets. LTCG exemption limit hiked from Rs 1 lakh to Rs 1.25 lakh. LTCG hiked from 10% to 12%.
GST will be simplified and rationalised over the next six months.
Employment-linked incentives announced. 3 schemes of direct cash benefit of 1 month salary based on EPFO enrolment for salary up to Rs 15,000 a month. In manufacturing, incentives will be given to employees and employers. Govt will give Rs 3,000 a month for each additional employment in the salary bracket of Rs 1 lakh a month.
MSME credit to be facilitated with a credit-guarantee scheme for loan without collateral or third party guarantee. PSU banks will be opening their own risk assessment model for MSMEs for lending.
Govt to facilitate internship of 1 crore youths in 500 companies over 5 years. An internship fee of Rs 5,000 per month will be paid. Companies to bear the training cost from CSR funds.
Allocation of Rs 3 lakh crore for projects directed at women and girls.
Allocation of Rs 2.66 lakh crore for rural development.
Facilitate skilling and employment for 4.1 crore youth for a 5-year period
FM Nirmala Sitharaman Union Budget 10 Announcements: Finance Minister Nirmala Sitharaman has presented her seventh budget. She had a lot of expectations to contend with. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
