Smt. Nirmala Sitharaman, Hon’ble Union Finance Minister presented her seventh consecutive budget today. Budget 2024-25 focused on EMPLOYMENT, defined as,
E – Employment & Education
M – MSMEs
P – Productivity
L – Land
O – Opportunities
Y – Youth
M – Middle Class
E – Energy Security
N – New Generation Reforms
T – Technology
Some major announcements proposed in the Budget 2024-25 are mentioned below,
Prime Minister’s Package – 3 Schemes announced under ‘Employment Linked Incentive’
– Scheme A: First Timers
Direct benefit transfer of 1-month salary in 3 installments up to ₹15,000 to first-time employees registered in EPFO
– Scheme B: Job Creation in Manufacturing
Incentive to be provided directly to both employee and employer as per their EPFO contribution, in the first 4-years of employment
– Scheme C: Support to Employers
Reimbursement to employers up to ₹ 3,000 per month for 2-years towards their EPFO contribution for each additional employee
Special Focus on Women & Students
– Setting up of working women’s hostels & creches in collaboration with industry
– Model Skill Loan Scheme to be revised to facilitate loans up to ₹7.5 lakh with a guarantee from a government-promoted fund; expected to help 25,000 students every year
– E-vouchers for loans up to ₹10 lakh for higher education in domestic institutions to be given directly to 1 lakh students every year for annual interest subvention of 3% of loan amount
Inclusive Human Resource Development and Social Justice
– ₹3 lakh crore for schemes benefitting women and girls
– More than 100 branches of India Post Payment Bank to be set up in the North East region
– Completion of Polavaram Irrigation Project to ensure food security of the nation
MSMEs
– New mechanism announced for facilitating continuation of bank credit to #MSMEs during their stress period
– Limit of MUDRA loans increased from ₹10 lakh to ₹20 lakh
– Turnover threshold of buyers for mandatory onboarding on TReDS platform to be reduced from ₹500 crores to ₹250 crores
– Financial support for 50 multi-product food irradiation units in MSME sector
– E-commerce Export Hubs to be set-up in PPP (Public-Private-Partnership) mode to enable MSMEs and traditional artisans to sell their products in international market
Pradhan Mantri Janjatiya Unnat Gram Abhiyan
Pradhan Mantri Janjatiya Unnat Gram Abhiyan will be launched for improving the socio-economic condition of tribal communities. The scheme will adopt saturation coverage for tribal families in tribal-majority villages and aspirational districts.
This will cover 63,000 villages benefitting 5 crore tribal people
Insolvency & Bankruptcy Code (IBC) and Tribunals
– Integrated technology platform to be set up for improving the outcomes under Insolvency & Bankruptcy Code
– Services of Centre for Processing Accelerated Corporate Exit to be extended for voluntary closure of LLPs
– Debt Recovery Tribunals to be strengthened and additional Tribunals to be established to speed up recovery
Prime Minister’s Package: Boost to Skilling
Skilling Programme and Upgradation of Industrial Training Institutes (ITIs)
– 1,000 ITIs to be upgraded in hub & spoke arrangements in 5 years
– Focus on outcome and quality in collaboration with states and industry
Internship in Top Companies
– One crore youth to be skilled by India’s top companies in five years
– 12-month Prime Minister’s Internship with monthly allowance of ₹5,000
Industry
– Investment-ready “plug and play” industrial parks to be developed in or near 100 cities
– 12 industrial parks sanctioned under National Industrial Corridor Development Programme
– Critical Mineral Mission to be set up for domestic production, recycling of critical minerals, and overseas acquisition of critical mineral assets
Urban Development
– 14 large cities with a population above 30 lakh will have Transit Oriented Development plans
– 1 crore urban poor and middle-class families to be covered under #PMAwasYojana Urban 2.0
– 100 weekly ‘haats’ or street food hubs in select cities
– Framework for creative brownfield redevelopment of existing cities
– Water supply, sewage treatment and solid waste management projects and services for 100 large cities
Energy Security
– More than 1.28 crore registrations and 14 lakh applications received under PM Surya Ghar Muft Bijli Yojana
– Pumped Storage Policy to be brought out for electricity storage and smooth integration of #RenewableEnergy in the overall energy mix
– R&D of small and modular nuclear reactors and newer technologies for nuclear energy
– Joint venture of NTPC and BHEL to set-up a full scale 800 MW commercial thermal plant using AUSC (Advanced Ultra Super Critical) technology
– Roadmap for ‘hard to abate’ industries to be formulated for transition from ‘Perform, Achieve and Trade’ mode to ‘Indian Carbon Market’ mode
– Energy audit of traditional MSMEs in 60 clusters with financial support for shifting them to cleaner forms
Others
– Anusandhan National Research Fund to be set up for basic research and prototype development
– Financing pool of ₹1 lakh crore to spur private sector-driven research and innovation at commercial scale
– Venture capital fund of ₹1,000 crore to expand space economy by 5-times in the next 10 years
– Security Transaction Tax on Future and Options of securities to be increased 0.02% and 0.01% respectively
– Corporate tax on foreign companies to be reduced from 40% to 35%
– Opening of Reassessment beyond 3-years from end of Assessment Year only if escaped income is ₹50 lakh or more, up to a maximum period of 5-years from end of Assessment Year
– Time limit for search cases to be reduced from 10-years to 6-years before year of search
– Short-term gains on certain financial assets to be taxed at 20%
– Long-term gains on all financial and non-financial assets to be taxed at 12.5%
– Angel Tax for all classes of investors to be abolished
– Equalisation Levy at the rate of 2% shall not be applicable to consideration received or receivable for e-commerce supply or services, on/after 1st Aug. 2024
– Housing needs of 1 crore urban and middle-class families to be addressed with an investment of ₹10 lakh crore under PM Awas Yojna 2.0
– Deduction on family pension for pensioners be enhanced from ₹15,000 to ₹25,000 under New Regime
– Customs Duty on life-saving cancer drugs – (i) Trastuzumab Deruxtecan (ii) Osimertinib (iii) Durvalumab reduced from 10% to Nil
– Basic Customs Duty on Cellular Mobile Phone, Charger / Adapter of cellular mobile phone and Printed Circuit Board Assembly (PCBA) of cellular mobile phone reduced from 20% to 15%
– Customs Duty on 25 critical minerals – Antimony, Beryllium, Bismuth, Cobalt, Copper, Gallium, Germanium, Hafnium, Indium, Lithium, Molybdenum, Niobium, Nickel, Potash, REE, Rhenium, Strontium, Tantalum, Tellurium, Tin, Tungsten, Vanadium, Zirconium, Selenium, Cadmium, Silicon other than Quartz & Silicon Dioxide – reduced to Nil
– ₹3 lakh crore for Schemes benefitting women and girls
– More than 100 branches of India Post Payment Bank to be set up in the North Eastern Region
– Completion of Polavaram Irrigation Project to ensure food security of the nation
– New 109 high-yielding and climate-resilient varieties of 32 field & horticulture crops to be released for cultivation by farmers
– A strong push to 1-crore farmers across the nation towards natural farming, supported through certification & branding
– 10,000 need-based bio-input resource centres to be established, assisting the implementation
– Digital crop survey for Kharif crops using Digital Public Infrastructure (DPI) to be taken up in 400 districts
– Issue of Jan Samarth based Kisan Credit Cards to be enabled in 5 States
New Tax Slab
Personal Income Tax: In the New Tax Regime, the standard deduction of salaried employees to be increased from ₹50,000 to ₹75,000
New Tax Regime slab :
0-3 lakhs – Nil
3-7 Lakhs – 5%
7-10 lakhs – 10%
10-12 lakhs – 15%
12-15 lakhs – 20%
Above 15 lakhs – 30%
View the Union Budget 2024-25
Read the Union Budget 2024-25
