Union Budget 2024: A Quick Overview of Vikshit Bharat Introduction

On July 23, 2024, Finance Minister Nirmala Sitharaman unveiled the Union Budget 2024, titled ‘Viksit Bharat.’ This budget marks a departure from the interim budget, presenting bold initiatives aimed at four key groups: Women, Farmers, the Poor, and the Youth. Here’s a snapshot of the highlights:

Tax Reforms

• Standard deduction increased to ?75,000 in new tax regime
• Revised tax rates under New Tax Regime:?0-3 lakh - nil tax
• Angel tax abolished for all taxpayers
• Custom duty on gold and silver reduced from 10% to 6%
• Custom duty on mobile phones, PCBs, and chargers reduced to 15%

Fiscal Deficit and Spending

• Fiscal deficit estimated at 4.9% of GDP for FY25
• Infrastructure spending retained at ?11.1 trillion (3.4% of GDP)
• Interest-free loans to states for infra spending increased to ?1.5 trillion
• ?2 lakh crore aid for urban housing under PMAY Urban Housing 2.0

Agriculture and Rural Development

• ?1.52 lakh crore allocated to agriculture and allied sectors
• 109 new high-yielding, climate-resilient crop varieties released
• ?11,500 crore for flood management in Bihar, Assam, Himachal Pradesh and Uttarakhand

Employment and Skilling

• ?2 lakh crore package for employment, skilling, and education over 5 years
• 20 lakh youth to be skilled over 5 years, 1000 ITIs to be upgraded
• Direct Benefit Transfer of ?15,000 for new EPFO registrations

MSMEs and Middle Class

• Credit guarantee scheme for MSMEs, higher Mudra loan limit

Other Key Highlights

• The Critical mineral mission for recycling and overseas acquisition
• Integrated tech platform to enhance IBC outcomes
• Venture capital fund of ?1,000 crore for space economy expansion
• Gaya node development on Amritsar-Kolkata industrial corridor
• Focus on women's participation in the workforce, hostels, and skilling programs

Conclusion

With the Union Budget 2024-25 the government aspires to build a more inclusive and resilient economy. To know more about the new budget, check out: https://www.legalwiz.in/blog/union-budget-2024-key-highlights?

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