On Tuesday 23rd of July 2024, Finance Minister Nirmala Sitaraman propose the union budget for the year 2024-25. This time also India got the fiscal deficit budget, fiscal deficit means India is going to spend more money than India have.
Highlights of the union budget 2024-25:-
1. Total expenditure:- this year financial year 2024-25, India decided to spend 48.21 lakh crore for the development of the country.
2. Tax receipt:- in the union budget, India stated that we are going to have 25.83 lakh crore as a revenue via tax receipt like gst, cgst, service tax, etc.
3. Market borrowings:- this financial year 2024-25, we have to borrow from Market to fulfill the expenditure of the India the estimated money India have to borrow is about 14.01 lakh crore.
4. Fiscal deficit:- this year 2024-25, India target for 4.9% of GDP, lower than the 5.1% target announced in the month of February in the interim budget. Finance minister also stated in the union budget that, the govt of India aims to reduce the fiscal deficit in the coming financial year 2026 by 4.5% or less.
5. Tax slabs:- The income tax slabs were tweaked in the new tax regime, the new tax regime as follows:-
0-3 lakh – no tax
3-6 lakh – 5%
6-8 lakh – 10%
9-12 lakh – 15%
12-15 lakh – 20%
Above 15 lakh – 25%
Key changes in tax slabs:-
The number of tax slabs reduced from 7 to 5.
The tax rate is now lower.
- Employee contribution to pension is increase by 14% from 10%.
