Finance Minister Nirmala Sitharaman, in Union Budget for 2024-25, outlined key priorities aimed at fostering economic growth and creating ample opportunities.
She listed productivity and resilience in agriculture, employment and skilling, inclusive human resource development and social justice, manufacturing and services, urban development, energy security, infrastructure, innovation, research and development and next-generation reforms as nine priority areas for the government.
Here are key highlights from the Budget 2024 speech:
On personal income tax rates in new tax regime, FM Sitharaman says, “Under new tax regime, tax rate structure to be revised as follows – Rs 0-Rs 3 lakh -Nil; Rs 3-7 lakh -5% ; Rs 7-10 lakh-10% ; Rs 10-12 lakh-15%; 12-15 lakh- 20% and above Rs 15 lakh-30%.”
Union Finance Minister Nirmala Sitharaman says “Monetary limit for filing Tax appeals increased to Rs 60 lacs for ITAT, Rs 2 crores for High Courts and Rs 5 crores for Supreme Court…I propose to abolish the Angel tax abolished for all classes of investors. Corporate tax rate to be reduced on foreign companies from 40 to 35 per cent…”
“25 critical minerals to be exempted from customs duties & BCD on two of them to be reduced”, says FM Sitharaman.
Union Finance Minister Nirmala Sitharaman says “A comprehensive review of the customs duty structure over the next 6 months. TDS rate on e-commerce to be reduced to 0.1%. I propose that two tax exemption regimes for charities merge into one. I propose to decriminalize TDS delay up to the filing of tax date…”
On TCS & TDS, FM Sitharaman says,” TDS rate on e-commerce operators reduced from 1% to 0.1%”
During her Budget speech, FM Sitharaman says, “I announce a comprehensive review of the Income Tax Act 1961. This will reduce disputes and litigation. It is proposed to be completed in 6 months.”
Union Finance Minister Nirmala Sitharaman says “Three cancer treatment medicines to be exempt from basic customs duty…”
On precious metals, FM Sitharaman says, “I propose to reduce customs duties on gold and silver to 6% and 6.5% on platinum.”
Union Finance Minister Nirmala Sitharaman says “Powering Innovation, Research & Development: Anusandhan National Research Fund will be set up for basic research and prototype development. Financing pool of Rs 1 lakh crore to spur private sector-driven research and innovation at commercial scale will also be done.”
On Mobile phone industry, FM Sitharaman says, “I propose to reduce the BCD on mobile phones and mobile PCBS and mobile chargers to 15%.”
Union Finance Minister Nirmala Sitharaman says “The government has proposed to set up a venture capital fund of ₹1000 crore for the space economy.”
Finance Minister Nirmala Sitharaman says, “Fiscal deficit 2024-25 is estimated at 4.9% of GDP. The aim is to reach the deficit below 4.5%. ”
Union Finance Minister Nirmala Sitharaman says “Tourism has always been a part of our civilisation. Our efforts to position India as a global destination will also create jobs and unlock opportunities in other sectors. I propose Vishnupath temple at Gaya, and Mahabodhi temple in Bodhgaya are of immense spiritual importance. We will develop corridors there on the model of the successful Kashi Vishwanath corridor to make them a world-class tourist destination. A comprehensive development initiative for Rajgir and Nalanda, in Bihar will be pursued. We will support tourism in Odisha that has scenic beauty, temples, craftsmanship, natural landscapes, wildlife sanctuaries and pristine beaches.”
Finance Minister Nirmala Sitharaman says, “The government endeavours to maintain strong fiscal support for infrastructure over the next 5 years. Capital expenditure to be Rs 11.11 lakh crore at 3.4% of our GDP.”
PM Gram Sadak Yojana Phase 4 will be launched to provide all-weather roads to 25,000 rural habitats
Finance Minister Nirmala Sitharaman says, “PM Gram Sadak Yojana Phase 4 will be launched to provide all-weather roads to 25,000 rural habitats…Bihar has frequently suffered from floods. Plans to build flood control structures in Nepal are yet to progress. Our government will provide financial support with an estimated cost of Rs 11,500 crore…Assam, which grapples with floods every year, will receive assistance for flood management and related projects. Himachal Pradesh, having suffered extensive losses due to floods, will also receive support for reconstruction through multilateral assistance. Additionally, Uttarakhand, which faced significant damage from landslides and cloudbursts, will be provided with necessary assistance…”
Integrated technology platform will be set up for improving the outcomes under Insolvency & Bankruptcy Code
Finance Minister Nirmala Sitharaman says, “Integrated technology platform will be set up for improving the outcomes under Insolvency & Bankruptcy Code. Debt recovery tribunals will be strengthened & additional tribunals will be established to speed up recovery.”
Finance Minister Nirmala Sitharaman says, “Significant investments have been made to build robust infrastructure. Over 11 lakh crore rupees for capital expenditure have been allocated for infrastructure development. This would be 3.4% of our GDP…Private investment in infrastructure by private sector will be promoted through viability gap funding and enabling policies…”
Joint venture between NTPC and BHEL will set up 100 MW commercial thermal plant
FM Sitharaman says, “A joint venture between NTPC and BHEL will set up 100 MW commercial thermal plant using AUSC (advanced ultra supercritical) technology.”
Significant investments to build robust infrastructure
Finance Minister Nirmala Sitharaman says, “Significant investments have been made to build robust infrastructure. Over 11 lakh crore rupees for capital expenditure have been allocated for infrastructure development. This would be 3.4% Vof our GDP…Private investment in infrastructure by private sector will be promoted through viability gap funding and enabling policies…”
On development of small and modular nuclear reactors in the country, FM Sitharaman says, “The govt will partner with the private sector for setting up Bharat small reactors, research and development of Bharat small modular reactors & research and development of newer technologies for nuclear energy…”
On free solar electricity scheme, Finance Minister Nirmala Sitharaman says, “PM Suryaghar Muft Bijli Yojana has been launched to install rooftop solar panels to enable 1 crore households to obtain free electricity upto 300 units each month. This scheme will further encourage it.”
Finance Minister Nirmala Sitharaman says, “Urban Housing: Under the PM Awas Yojana-Urban 2.0, the housing needs of 1 crore poor and middle-class families will be addressed with an investment of Rs 10 lakh crores. This will include the central assistance of Rs 2.2 lakh crores in the next five years…”
Finance Minister Nirmala Sitharaman says, “Working women hostels will be set up. Higher participation of women in workforce to be promoted through hostels and creches…Our government will bring National Cooperation Policy for overall development. Our government will provide financial support for loans upto 10 lakhs for higher education in domestic institutions”
Presenting Union Budget, Finance Minister Nirmala Sitharaman says, “The Government will launch a scheme to provide internship opportunities to 1 crore youth in 500 top companies with Rs 5000 per month as internship allowance and one-time assistance of Rs 6000.”
Finance Minister Nirmala Sitharaman says, “…Power projects including setting up of a new 2400 MW power plant at Pirpainti will be taken up at the cost of Rs 21,400 crores. New airports, medical colleges and sports infrastructure in Bihar will be constructed. The requests of Bihar Govt for external assistance from multilateral development banks will be expedited…Our govt has made efforts to fulfil the commitments in Andhra Pradesh Reorganisation Act. Recognising the state’s need for capital, we will facilitate special financial support through multilateral agencies. In the current FY, Rs 15,000 crore will be arranged with additional amounts in future years. Our govt is fully committed for the early completion and financing of the Polavaram irrigation project which is the lifeline for Andhra Pradesh and its farmers.”
Finance Minister Nirmala Sitharaman says, “Andhra Pradesh Reorganisation Act- Our govt has made efforts to fulfil the commitments in Andhra Pradesh Reorganisation Act. Recognising the state’s need for capital, we will facilitate special financial support through multilateral agencies. In the current FY, Rs 15,000 crore will be arranged with additional amounts in future years.”
FM Nirmala Sitharaman says, “On the Amritsar-Kolkata industrial corridor we will support the development of an industrial nod at Gaya in Bihar. It will catalyse the development of the easter region. We will also support the development of road connectivity projects- Patna -Purnea expressway, Buxar- Bhagalpur highway, Bodhgaya- Rajgir-Vaishali- Darbhanga and an additional two-lane bridge over river Ganga in Buxar for Rs 26,000 crores.”
Finance Minister Nirmala Sitharaman says, “…One month wage to all persons newly entering the workplace in all formal sectors. Direct Benefit Transfer of one month salary in 3 instalments to first-time employees as registered in the EPFO will be up to Rs 15,000. The eligibility limit will be a salary of Rs 1 lakh per month. The scheme will benefit 210 lakh youth.”
On Education loans, FM Sitharaman says,”Govt to provide financial support for loans up to Rs 10 lakhs for higher education in domestic institutions.”
Finance Minister Nirmala Sitharaman says, “Our govt will implement three schemes for employment-linked incentives as part of the Prime Minister’s package. These will be based on enrollment in the EPFO and focus on recognition of the first time employees and support to employees and employers. ”
On high-yielding and climate resilient varieties , Finance Minister Nirmala Sitharaman says, “New 109 high-yielding and climate resilient varieties of 32 field and horticulture crops will be released for cultivation by farmers. In the next 2 years, 1 crore farmers will be initiated into natural farming supported by certification and branding. This year the allocation for agriculture and allied sectors is Rs 1.52 lakh crore.”
Finance Minister Nirmala Sitharaman says, “India’s economic growth continues to be the shining exception and will remain so in years ahead. India’s inflation continues to be low and stable moving towards the 4% target…”
Union Finance Minister Nirmala Sitharaman says “As mentioned in the interim Budget, we need to focus on 4 different castes, the poor, women, youth and the farmer/ For farmers, we announced higher Minimum Support Prices for all major crops delivering on the promise for at least a 50% margin over cost. PM Garib Kalyan Anna Yojana was extended for 5 years benefitting more than 80 crore people.”
FM Nirmala Sitharaman says, “The people of India have reposed their faith in the govt led by PM Modi and re-elected it for the historic third term…”
