Central Excise notification amendments propose to update existing excise notification framework and supersede prior notification.
Central Excise notification changes amend an earlier consolidated notification and supersede an older central excise notification, effecting procedural and regulatory modifications to the existing legal instruments that govern central excise levy and related administrative provisions to align with budgetary policy.

Customs tariff amendments update exemptions, cess rates, rescissions and concessional import rules affecting import duty treatment.
Amendments revise the customs tariff framework by modifying notification provisions to adjust effective rates of the Agriculture Infrastructure and Development Cess, exempt the Social Welfare Surcharge for specified marble, travertine and certain precious metals, rescind multiple prior notifications, and amend rules governing concessional import duty and related non tariff procedural measures to align levy and exemption mechanics.

Tax regime reforms: updated return facility and targeted taxation of virtual digital assets to boost compliance and clarity.
The Budget prioritizes large public capital expenditure via PM GatiShakti to expand transport and logistics infrastructure, complemented by targeted schemes for agriculture, digital education, health, and regional development; financing includes sovereign green bonds and long-term state capital assistance. Tax reforms promote voluntary compliance through an updated return facility, introduce a 30% tax regime with restrictive set-off and TDS for virtual digital asset transfers, provide parity and reliefs for cooperatives and state employees' pension contributions, extend startup and manufacturing tax incentives, streamline customs exemptions and move SEZ customs administration onto an IT-driven national portal.

Taxation of virtual digital assets: new fixed rate tax, restrictive deductions, TDS and no set off for losses.
Direct tax measures introduce an Updated Return permitting declaration of omitted income within two years on payment of additional tax, reduce alternate minimum tax and surcharge for cooperative societies, extend start up and concessional regime timelines, establish a specific tax regime for transfers of virtual digital assets with fixed rate taxation, restrictive deductions, disallowance of set offs for losses and TDS on transfers and gifts, and adopt litigation management by deferring departmental appeals on identical legal questions pending in higher courts.

Urban planning reform: proposed high-level committee to recommend policies and governance changes for sustainable cities.
Proposal to constitute a high-level committee of urban planners, economists and institutions to recommend reforms in urban policy, planning, implementation, capacity building and governance to enable orderly urban expansion, strengthen metropolitan and secondary city roles, and reimagine cities as centres of sustainable living with inclusive opportunities for women and youth.

Trust-based governance to streamline approvals, digitise services and eliminate overlapping compliances for easier business operations.
Trust-based governance will drive Ease of Doing Business 2.0 through digitisation, Central-State IT integration, single-point citizen services and rationalisation of compliances. PARIVESH will be expanded for single-form, location-specific green clearances with CPC-Green tracking. States will be encouraged to adopt a Unique Land Parcel Identification Number and transliteration of records. Procurement reforms include an end-to-end online e-bill system and acceptance of surety bonds in place of bank guarantees. Institutional measures include an AVGC task force, C-PACE for accelerated voluntary winding-up, a design-led 5G PLI strand, and opening defence R&D to industry with earmarked budget and SPV facilitation.

Energy transition policy advances domestic solar manufacturing, circular economy measures and power sector decarbonisation under budget proposals to boost jobs.
The budget advances a domestic manufacturing incentive for high efficiency solar modules to support expanded solar capacity and jobs, implements a circular economy agenda through infrastructure, reverse logistics, technology up gradation, integration with the informal sector and extended producer responsibility, and proposes biomass co firing in thermal plants, an ESCO model for commercial buildings, and pilot coal gasification projects to test technical and financial viability as part of a coordinated low carbon transition.

Household piped water entitlement expanded under Har Ghar Nal Se Jal scheme, extending coverage and infrastructure support.
Resources were allocated to expand Har Ghar, Nal Se Jal to increase household piped water coverage and to fund completion of beneficiary houses under Pradhan Mantri Awas Yojana, alongside administrative reforms to speed land and construction approvals and improve housing finance access. New programmes include the Vibrant Villages Programme for northern border villages-covering infrastructure, housing, connectivity, decentralized renewable energy, broadcast educational access and livelihood support-and a refocused Aspirational Districts initiative targeting lagging blocks within previously identified districts, with scheme convergence and outcome monitoring.

Central Bank Digital Currency to be introduced as blockchain-backed legal tender, boosting digital payments and interoperability.
The Reserve Bank will introduce a blockchain-enabled Central Bank Digital Currency as sovereign digital legal tender to boost the digital economy and lower currency management costs. Concurrent measures include setting up Digital Banking Units by scheduled commercial banks, migrating post offices to the core banking system to enable interoperability and online access, and continuing financial support for affordable, user-friendly digital payment platforms to advance financial inclusion.

Ease of Living initiative expands with e passports, urban planning reforms and battery swapping policy to streamline services.
The Budget advances a renewed phase of the Ease of Living initiative focused on state participation, digitisation and IT integration to create single point access for citizen services and reduce overlapping compliances. It announces rollout of chip embedded e passports, modernization of building byelaws, Town Planning Schemes and Transit Oriented Development to promote transit proximate living, designation of up to five Centres of Excellence in urban planning with Rs. 250 crore endowments each, and a Battery Swapping Policy with interoperability standards for the EV ecosystem.

Design-led manufacturing for 5G ecosystem promoted under PLI, with spectrum auctions and rural broadband support.
A design-led manufacturing scheme under the Production Linked Incentive is proposed to build a domestic 5G ecosystem; spectrum auctions will be conducted to facilitate 5G rollout by private providers. Five per cent of annual Universal Service Obligation Fund collections is to be allocated to enable affordable broadband and mobile services in rural and remote areas and to promote R&D and commercialization. Bharatnet contracts for optical fibre to all villages will be awarded through PPP to extend digital access and improve efficient use of the fibre network.

Regional development initiative funds North-East infrastructure and social projects, prioritising state-nominated proposals over centrally proposed ones.
PM-DevINE is a regional development scheme implemented through the North-Eastern Council to fund infrastructure and social development projects addressing felt needs in the North-East. It supports multi-state and state-specific initiatives to promote livelihoods, fill sectoral gaps, and provide gap-funding for connective and pilot projects. The scheme is complementary to existing programmes, prioritises state-nominated projects while allowing central ministries to propose candidates, and includes an initial illustrative project list across healthcare, agriculture, transport, and livelihood interventions.

Government contribution for R&D in sunrise opportunities to accelerate innovation via policy support and collaborative frameworks.
The document states a policy commitment to provide government contribution for R&D in sunrise opportunities, paired with supportive policies, light-touch regulation, and domestic capacity building, implemented through collaboration among academia, industry and public institutions, targeting strategic sectors such as artificial intelligence, semiconductors, genomics, space economy, geospatial systems and green and clean mobility technologies to foster sustainable development and competitiveness.

Health and Education Cess not deductible as business expense; surcharges and cesses on income excluded from business deductions.
Health and Education Cess is not allowable as a business expenditure; taxes, including cesses and surcharges on income and profits imposed to fund welfare programmes, are excluded from computation of business income and not deductible as business expenses, and judicial allowances of such cesses run contrary to legislative intent.

Digital health platform creates national digital health ecosystem with provider registries, unique health IDs and tele mental network.
The Budget establishes an open-platform National Digital Health Ecosystem under the Ayushman Bharat Digital Mission, comprising digital registries of providers and facilities, a unique health identity, and a consent framework to enable universal access and interoperable digital health services. It also announces a National Tele Mental Health Programme to expand access to mental health counselling and care via a network of tele mental health centres of excellence supported by designated nodal and technology partners.

Customs tariff reform: phasing out concessional exemptions to prioritise domestic manufacturing and simplify duty structure.
The Customs administration for SEZs will become fully IT-driven with the Customs National Portal emphasising facilitation and risk-based checks. The Government will phase out concessional rates on capital goods and project imports in favour of a moderate tariff while retaining targeted exemptions for advanced machinery not made domestically and certain specialised components. Over 350 customs exemption entries will be removed and several concessional rates consolidated into the Customs Tariff Schedule to simplify the structure, reduce disputes, and prioritise duties that support domestic manufacturing under Make in India and Atmanirbhar Bharat objectives.

Alternate minimum tax relief for co operatives with surcharge caps, expanded start up and manufacturing incentives and stronger anti evasion rules.
Proposals reduce the Alternate Minimum Tax rate and surcharge for co-operative societies to improve parity with companies; extend the incorporation deadline for start-up tax incentives and the commencement period for concessionally taxed newly incorporated manufacturing companies; exempt specified IFSC incomes subject to conditions; require tax deduction where aggregate benefits to agents exceed a prescribed annual threshold; cap surcharge on long-term capital gains and associations of persons; disallow surcharge and cess as business expenditure; and prohibit set off of losses against undisclosed income detected in search or survey operations.

Direct payment of MSP to farmers credited to accounts following government procurement of wheat and paddy crops.
Direct payment of MSP for wheat and paddy will be credited to farmers' accounts following large scale procurement. A PPP scheme will deliver digital and hi tech agri services; a NABARD facilitated blended capital start up fund will finance agriculture and rural enterprise innovations. The Ken Betwa link project is planned to expand irrigation, drinking water supply and renewable power with central support after inter state consensus. Promotion of drone use, chemical free natural farming corridors, millet value addition and a comprehensive oilseed production scheme are further announced, alongside a food processing package and agricultural university curriculum revisions.

Capital investment assistance to states expanded, with long term interest free support and a 4% GSDP fiscal deficit framework tied to reforms.
Central support increases the Scheme for Financial Assistance to States for Capital Investment and establishes long tenor interest free financing to catalyse state productive investment, earmarked for PM Gati Shakti projects, supplemental rural road funding, digitisation including OFC completion, and reforms in building byelaws, town planning, transit oriented development and transferable development rights. States are permitted a fiscal deficit ceiling of 4% of GSDP for 2022-23, with 0.5% tied to power sector reform conditionality communicated in 2021-22, and these allocations are additional to normal state borrowings.

Capital expenditure increase to prime private investment, with sovereign green bonds mobilizing finance for green infrastructure projects.
The Budget raises central government capital outlay substantially for 2022-23 and treats direct capital spending together with Grants-in-Aid to States as an estimated Effective Capital Expenditure representing a larger share of GDP. Higher public investment is presented as necessary to crowd-in private investment and support demand, employment and infrastructure. The government will issue Sovereign Green Bonds within overall market borrowings to mobilize resources exclusively for public sector green infrastructure projects that reduce carbon intensity.