TaxTMI 
TaxTMI 
Key Features of Budget 2023-2024
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....ey Features of Budget 2023-2024 <br>Budget<br>Dated:- 1-2-2023<br><BR>Key Features of Budget 2023-2024 ============= Document 1 सतà¥à¤¯à¤®à¥‡à¤µ जयते GOVERNMENT OF INDIA Key Features of Budget 2023-2024 February, 2023 MINISTRY OF FINANCE BUDGET DIVISION 2 3 Vision for Amrit Kaal Opportunities for Citizens with focus on the Youth Growth and Job Creation Strong and Stable Macro-Economic Environment Saptarishi-7 priorities Inclusive Development Reaching the Last Mile Infrastructure Youth and Power Investment Amrit Kaal Unleashing the Potential Green Growth Financial Sector p-c 1 Sabka Saath Sabka Vikas-Inclusive Development Agriculture and Cooperati....
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....ves Building Digital Public Infrastructure Building an accessible, inclusive and Setting up Agriculture Accelerator Fund For encouraging innovative start-ups in rural areas informative solution for Farmers ANB* Horticulture Clean Plant Program to be launched To boost production of high value horticultural crops Making India Global Hub For Millets: 'Sree Anna' Support to be given to IIMR^, Hyderabad for promoting research Targeted Funding 20 lakh agricultural crore credit targeted at Animal Husbandry, Dairy and Fisheries sector Setting-up of widely available storage capacity Will enhance Farmers' remuneration by enabling sale at appropriate times More Credit to Agriculture Sector 200 180 Lakh Crore 160....
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.... 140 120 HV 100 866 80 60 116 971 139 *ANB-Atmanirbhar Bharat ^IIMR-Indian Institute of Millet Research 158 981 Million Tonnes 340 320 300 280 260 240 220 200 Record Foodgrain Production £ ⠀ ⠀ £ £ £ £ £ 2 Sabka Saath Sabka Vikas-Inclusive Development 157 New Nursing Colleges to be established Health Sickle Anaemia Cell elimination Mission to be launched New Programme to research be launched promote in Pharmaceuticals to Joint Public and Private Medical Research to be encouraged via select ICMR labs Increase in Expenditure on Health and Education (% of 2.1 1.4 Health GDP) ■FY19 FY23 2.8 2.9 Education H Education and Skilling ✓ Revamped Teach....
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....ers' training via District Institutes of Education and Training ✓ National Digital Library to be set up for children and adolescents ✓ States will be encouraged to set up physical libraries at Panchayat and ward levels -O - 3 The Big Tent that accommodates all 11.7 9 crore drinking water connections rural houses crore household toilets constructed under SBM to Cash transfer of *2.2 lakh crore to over 11.4 crore Farmers under PM-KISAN Inclusive Development Achievements 9.6 crore LPG connections under Ujjawala Insurance cover for 44.6 crore persons under PMSBY* and PMJJY^ 47.8 crore PM Jan Dhan bank accounts 220 crore Covid vaccinations of 102 crore persons °>> (Rs.. GAS Growth rema....
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....ins resilient Real GDP - - FY 20 level YoY growth (RHS) 160 140 Lakh Crore 150 150 130 120 *PMSBY: Pradhan Mantri Suraksha Bima Yojana PMJJY: Pradhan Mantri Jeevan Jyoti Yojana 0 + 4 8 Urban Unemployment Rate at four year low 25 20.9 12 20 Per cent Per cent -8 0 15 10 8.9 5 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Jun-21 Sep-21 Dec-21 Mar-22 Jun-22 Sep-22 4 7.2 Reaching the Last Mile Pradhan Mantri PVTG* Development Mission to be launched Financial assistance to be given for sustainable micro irrigation in drought prone regions of Karnataka More teachers to be recruited for 740 Eklavya Model Residential Schools Bharat (SHRI)^ to be set up for digitization of ancient inscri....
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....ptions Infrastructure and Investment Incentives to boost Investment in Infrastructure and productive Multiplier Impact Rise in growth and employment capacity E Increased capital investment outlay by 33.4% to 10 lakh crore Continuation of 50 year interest free loan to to State CREDIT Governments to incentivize infrastructure investment Highest ever Capital outlay of *2.4 lakh crore for Railways 100 transport infrastructure projects identified for end-to-end connectivity for ports, coal, steel, fertilizer sectors Creating Urban Infrastructure in Tier 2 and 3 cities via establishment of UIDF** *PVTG:Particularly Vulnerable Tribal Groups, ^SHRI:Shared Repository of Inscriptions, **UIDF: Urban Infrastructure Development Fund....
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.... 5 Unleashing the Potential-Trust Based Governance ATA Measures Make AI in India: Three specialized Al centres to be set up in educational Institutes National Data Governance Policy to be introduced Vivad se Vishwas I: Less stringent contract execution for MSMEs Expected Outcomes AI based solutions in agriculture, health and sustainable cities Enable access to anonymized data for research by Start-ups and academia Relief to MSMEs affected during the Covid period Vivad se Vishwas II: Easier and standardized scheme settlement Phase 3 of E-Courts to be launched Entity Digi Locker to be set- up for use Faster settlement of contractual disputes of Govt. and Govt. undertakings Effective administration of J....
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....ustice Facilitating secure online storing and sharing of enterprises and trusts by business charitable Setting up of 100 labs for 5G services based application development R&D grant for Lab Grown Diamonds (LGD) sector documents with the business ecosystem To tap employment potential and business opportunities To reduce import dependency encouraging by production domestic 6 PM-PRANAM* to be launched Will incentivize States/UTS to promote usage of alternative fertilizers 500 new 'Waste to Wealth' plants To be established under GOBARdhan# promoting circular scheme economy for Green Growth Green Credit Programme To be notified under EPA to incentivize sustainable actions Sustainable Ecosystem deve....
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....lopment • MISHTI^ to be taken up for Mangrove plantation along thr coastline • Amrit Dharohar to be implemented for optimal usage of wetlands Other Initiatives Setting up 10,000 bio- inputs resource centres-to facilitate farmers to adopt natural farming Promotion of Battery energy storage systems Promotion of coastal shipping for energy efficient transportation Funds to be allocated for replacing old polluting vehicles Amrit Peedhi -Youth Power PMKVY 4.0 will be launched Covering new courses like coding, AI, Robotics, 3D printing etc. Measures to boost Tourism sector At least 50 destinations to be selected, through challenge mode, to be developed as a complete package for domestic and foreign tourists ....
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.... States will be encouraged to set-up Unity Malls For promotion and sale of ODOP (One District-One Product), GI and handicraft products * PRANAM: PM Programme for Restoration, Awareness, Nourishment and Amelioration of Mother Earth ^ MISHTI: Mangrove Initiative for Shoreline Habitats and Tangible Incomes #GOBARdhan: Galvanizing Organic Bio-Agro resources Dhan 7 Financial Sector Setting up of National Financial Information registry To enable efficient lending. promote financial inclusion and enhance financial stability Setting up of a Central Data processing Centre For faster handling of administrative work under the Companies Act Credit Guarantee scheme for MSMEs Expanded corpus under a revamped scheme to enable additi....
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....onal collateral free guaranteed credit of 2 lakh crore Mahila Samman Bachat Patra One-time new small savings scheme for a 2-year period with a deposit facility of up to 2 lakh for women Benefits for Senior Citizens Enhanced maximum deposit limit for senior citizens savings scheme from 15 lakh to *30 lakh Other Initiatives Initiatives to promote business activities in GIFT IFSC • Create more trained professionals in Securities Markets via award of educational certificates Fiscal Management LOAN • 50 year Interest Free Loans to States To be spent on Capital Expenditure within 2023-24 Part of the loan is conditional on States increasing actual Capital expenditure and parts of outlay will be linked to Stat....
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....es undertaking several reforms Fiscal Deficit of 3.5% of GSDP allowed for States (0.5% tied to Power sector reforms) T $ Fiscal Consolidation Targeted Fiscal Deficit to be below 4.5% by 2025-26 8 Per cent of GDP 12 10 *Lakh Crore 6 8 USD Billion 22 12 80 4 Indian Economy backed by strong macroeconomic fundamentals Union Government on the path of fiscal consolidation -Primary Deficit 9.2 Revenue Deficit 20 2.0 Fiscal Deficit GST monthly revenue continues to remain around *1.5 lakh crore 2019 2022 7.3 5.8 5.9 2.9 *Lakh Crore 1.6 =A 12 1.2 2.3 0.8 9:0 0 FY21 FY22 FY23 (RE) FY24 (BE) Increasing Capital Expenditure of Union Government 7.3 Jul Asset quality in banks improving with lower NPAs 8....
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.....2 10.0 7.3 5.8 5.0 Per cent 4 2.5 2 FY16 FY23 (RE) FY24 (BE) Mar-20 Mar-21 Mar-22 Sep-22 Sufficient Foreign Exchange Reserves to cover 9 months of Imports Forex Reseves 800 600 400 200 0 Import Cover (RHS) 20 20 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2020-21 2021-22 2022-23 5 15 10 Number of Months Per cent 20 20 16 12 ∞ 4 0 0 Wholesale prices converging to retail CPI-C prices WPI [ 7 ] } ] } } } } } ] 9 D Tax Proposals Simplification in Indirect Taxes to deliver 880 Higher Exports Higher domestic manufacturing More value addition in the economy Green energy and mobility Changes to custom duty on Import of capital goods for Li-ion battery manufacturing Import of mobile camera....
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.... lens Denatured ethyl alcohol Key inputs for producing shrimp feed Seeds for manufacturing lab grown diamonds Continuing concessional basic custom duty on copper scrap Compounded rubber, to bring it at par with natural rubber Benefits For Greener mobility Deepening Value Addition For chemical industry More marine exports Export Promotion Augmenting raw material availability for MSMEs To curb duty circumvention 10 Direct Tax Proposals To reduce the compliance burden, promote entrepreneurial spirit and provide tax relief to citizens % ë¡ 45% of the returns on tax payers' portal were processed within 24 hours Average processing period reduced from 93 to 16 days in 8 years Processed more than 6.5 cro....
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....re this year Further Simplifying Personal Income Tax returns Exemption limit increased to 3 lakh Rs. Income limit for rebate of income tax increased from Rs.5 lakh to 7 lakh in the new regime New Income tax regime Income in Lakh >15 30% 12-15 20% 9-12 15% 6-9 10% 3-6 5% 0-3 NIL Tax rates • • Highest surcharge rate on income above 5 crore to be reduced from 37% to 25% under new regime Extending benefits of standard deduction to new tax regime for salaried class and pensioners Increasing tax exemption limit to 25 lakh on leave encashment • on retirement for non-government salaried employees 11 STARTUPS MSME 日記 Simplifying Tax Benefits for Industry DIOIO) •Enhanced li....
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....mits for micro enterprises and professionals to avail benefits of presumptive taxation; 95% of receipts to be non cash • Deduction on payments made to MSMEs to be allowed only when payment is actually made •Extending 15% corporate tax benefits to new co- operatives, commencing March, 2024 manufacturing till 31st •Higher limit of 2 lakh per member for deposits & loans in cash by PACS and PCARDBS •Higher limit of 3 crore for TDS on cash withdrawal for co-operative societies 008800 • Extension of the date of incorporation by one year for income tax benefits to start-ups Benefit of carry forward of losses on change of shareholding of start-ups from seven years of incorporation to ten years. â....
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....¢ • Income of authorities, boards and commissions set up by statutes of the Union or State to be exempted from income tax in certain sectors Extension of period of tax benefits to funds relocating to IFSC, GIFT City till 31st March, 2025 12 RATIONALISATION COOPERATIVES Income Tax (15%) Union Excise Duties (7%) Corporation tax (15%) Rupee Comes From Goods & Services Tax & other taxes (17%) wwwww HV Borrowing and Other Liabilities (34%) Non-Tax Receipts (6%) Non-Debt Capital receipts (2%) Customs (4%) Rupee Goes To Pensions (4%) Other Expenditure (8%) States' share of Taxes and Duties (18%) Finance Commission and other transfers (9%) Interest Payments (20%) Central Sector Schemes (17%) Defence....
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.... (8%) Centrally Sponsored Schemes (9%) Subsidies (7%) 13 Allocation for Specific Ministries Ministry of Defence in Lakh Crore 5.94 Ministry of Road Transport and Highways 2.70 å¬ Ministry of Railways 2.41 Ministry of Consumer Affairs, 2.06 Food & Public Distribution Ministry of Home Affairs 1.96 Ministry of Chemicals and 1.78 Fertilizers Ministry of Rural 1.60 Development Ministry of Agriculture and Farmer's Welfare 1.25 Ministry of Communications 1.23 14 2,908 2,000 100 Development of Pharmaceutical Industry זיזיויו Allocation to Major Schemes (in * crore) 1,250 60,000 Jal Jeevan Mission 2022-23(BE) 2023-24(BE) 2022-23(BE) Eklayva Model Residential Schools 2....
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....023-24(BE) Pradhan Mantri Awas Yojana 5,943 48,000 2022-23(BE) 2023-24(BE) Scheme for Faster Adoption and Manufacturing of EV's (FAME) 2022-23(BE) 2023-24(BE) North East Special Infrastructure Development Scheme 5,172 2022-23(BE) 2023-24(BE) 1,419 Trira Meghalaya Mizoram Arunachal Pradesh Assam Dispor Nagaland Imphal anipu 2,491 2022-23(BE) 2023-24(BE) 15 79,590 70,000 FY22(Actuals) FY23(BE) 32.0 31.9 FY23(RE) FY24 (BE) FY22(Actuals) FY23(BE) Revenue Expenditure FY22(Actuals) 34.6 35.0 FY23(BE) FY23(RE) Revenue Receipts 21.7 22.0 23.5 FY24 (BE) 10.7 8.4 FY23(RE) FY24 (BE) 16 FY22(Actuals) FY23(BE) Effective Capital Expenditure 10.5 13.7 Receipts and Expenditure (*Lakh Crore) 16.2....
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.... FY23(RE) 26.3 FY24 (BE) 17.4 Capital Receipts 18.4 18.7<BR> News - Press release - PIB....