INTERIM BUDGET 2024-25: HIGHLIGHTS

Union Budget announcement is a matter of interest for people of all walks of life. February 1, the D-Day when the government discloses its proposed sources and amount of revenue and resource allocation for the upcoming year, keeps individuals and businesses alike engrossed.

The Finance Minister of India, Dr. Nirmala Sitharaman presented a "non-populist" even though the general elections are around the corner. The latest budget is being seen as an announcement that exudes confidence in the ruling government. Like almost every year, this budget has brought happinesses on the faces of some, while left some in discontentment.

The overarching objective of the government is to reduce the budget deficit to 5.1 per cent in the fiscal year 2024-25 (FY-25), down from 5.8 per cent in 2023-24 (FY-24). To buoy the overall economic development in the country, the budget features an increased capital expenditure (capex) by a whopping 11 percent.

As a result, Rs 11.11 lakh crore will be the capex in FY-25.

The same tax rates for direct taxes will be followed for the fiscal year 2024-25 as well.

For individuals below 60 years

The income tax amount will attract a Cess of 4%. The surcharge is applicable on income above Rs 50 lakh. Certain tax benefits to Start-ups and investments made by sovereign wealth funds/pension funds, tax exemption of some International Financial Services Centre (IFSC)units earlier expiring on 31.03.2024 shall be extended up to 31.03.2025. All forms of infrastructure - Physical, Social, and Digital are to witness substantive development.

There are ten key takeaways from FM Sitharaman’s PostBudget Presser:

1. Finance Minister Nirmala Sitharaman stressed on 5 ‘Disha Nirdashak’ baatein: