India Budget 2023: A Look at the Key Highlights

A Brief highlights for India Budget 2023 

India Budget 2023 : 

The Indian government recently presented its annual budget for the financial year 2023. The budget, which was presented by Finance Minister Nirmala Sitharaman, outlines the government’s plans for spending and revenue collection for the next financial year. In this article, we’ll take a closer look at some of the key highlights from India’s 2023 budget.

1. Increased Spending on Healthcare: The government has allocated a significant amount of money towards healthcare in this year’s budget. This includes an increase in funding for government hospitals and healthcare facilities, as well as investment in medical research and development.
2. Focus on Infrastructure Development: The government has also announced plans to invest heavily in infrastructure development, with a focus on upgrading roads, bridges, and other transportation networks. The budget also includes plans to develop smart cities, as well as investment in renewable energy sources.
3. Boost for Small Businesses: The government has announced several measures aimed at boosting the country’s small and medium-sized businesses. This includes tax relief, easier access to credit, and support for entrepreneurship and innovation.
4. Emphasis on Education and Skill Development: The budget also places a strong emphasis on education and skill development, with plans to increase funding for vocational training programs and technical schools. The government has also pledged to make education more accessible, particularly in rural areas.
5. Increased Investment in Agriculture: The government has announced plans to increase investment in agriculture, with a focus on improving productivity and profitability for farmers. This includes measures such as better access to credit, as well as investment in new technologies and techniques.

In conclusion, the 2023 budget presented by the Indian government highlights the government’s priorities for the next financial year. With a focus on healthcare, infrastructure development, small businesses, education, and agriculture, the government is taking steps to drive economic growth and improve the quality of life for citizens across the country.

Budget 2023 PDF

FM Nirmala Sitharaman has outlined 7 Priorities For first Budget in Amrit Kaal

• Inclusive development
• Reaching the last mile
• Infra & investment
• Unleashing the potential
• Green growth
• Youth power
• Financial sector

• The world has recognized Indian economy as the bright star. Our economic growth is expected to be at 7%, highest among major economies: FM
• Budget 2023 live updates: 9.6 crore LPG connections, 220 crore Covid vaccination for 102 crore people given, 47.8 crore JanDhan accounts opened
• Per capita income has increased to Rs 1.97 lakh
• Govt to launch a Rs 2,200 crore Aatmanirbhar clean plan programme
• Cash transfer of Rs 2.2 trn under PM-KISAN
• In next 3 years, government will employ 38,800 teachers and support staff for 740 Eklavya model schools supporting tribal students
• Agriculture credit target increased to Rs 20 trillion for FY’24, with focus on animal husbandry, dairy and fisheries
• The outlay for PM Azaz Yojana is being increased by 66% to over Rs 79,000 crore,
• Govt to provide Rs 5,300 cr assistance to drought-prone central region of Karnataka
• “More than 39,000 compliances have been reduced and more than 3,400 legal provisions have been de-criminalised to improve ease of doing business”
• Enhanced Capex of Rs 10lacs Cr. for infra development is 3.3 per cent of the GDP
  Capital outlay of Rs 2.40 lakh crore for railways in next financial year
• Centre to continue 50-year interest-free loans to state governments for one more year
• Target to reach green hydrogen production of 5 MMT by 2030. Rs 35,000 crore allocated towards achieving net zero goal & energy transition
• As many as 47.8 crore Jan Dhan accounts have been opened so far, a scheme which was launched in 2014 as a national mission for financial inclusion. The Jan Dhan Yojana was announced by Prime Minister Narendra Modi in his Independence Day address in 2014, and it was launched on August 28 in the same year.
• 100 critical transport infrastructure projects have been identified for implementation
  50 additional airports, helipads, water aero drones, advanced landing grounds will be revived to improve regional air connectivity
• Govt to bring another dispute resolution scheme under Vivad Se Vishwas-2 to settle commercial disputes: If MSMEs fail to execute contract, 95 per cent of performance security will be returned to small business as part of Vivad Se Vishwas.
• Over the next 3 years, one crore farmers will get assistance to adopt natural farming. 10,000 bio input resource centres will be set up.
• Pradhan Mantri Kaushal Vikas Yojna 4.0 will be launched to skill lakhs of youth, 30 Skill India international centres to be set up
• PM-PRANAM will be launched to incentivise states to promote alternative fertilisers, Govt to facilitate 1 crore farmers to adopt natural farming
• Revised estimate for 2022-23 fiscal deficit at 5.9% of GDP.
• States to be allowed 3.5% of GDP as fiscal deficit
• Total receipts or receipts other than borrowing is Rs 24.3 lakh crore of which net tax receipts are Rs 20.9 lakh crore. The revised estimate of the total expenditure is Rs 41.9 lakh crore, of which the capital expenditure is about Rs 7.3 lakh crore
• Govt to set up Gowardhan Scheme for promoting circular economy with total investment of Rs 10,000 cr
• Govt to take up mangrove plantation along the coastline under the new MISHTI scheme
• 100 labs for developing applications for 5G services will be set up in engineering institutions. To realise new range of opportunities, business models&employment potential, labs will cover among others, apps like Smart Classrooms,Precision Farming,Intelligent Transports Systems and Healthcare
• Benefit of lower tax rate of 15% to new cooperative societies
• The government has proposed to reduce the highest surcharge rate from 37% to 25% under new tax regime,
• Tax exemption up to Rs 7 lakh per year under new tax regime from Rs 5 lakh per year
• In the Union Budget 2023, Nirmala Sitharaman announced that people earning over Rs 15 lakh in a year will be subject to 30% tax.
• Finance minister announces Mahila Samman Bachat Patra – one-time small savings scheme for ₹2 lakh deposit for two-year period with fixed interest of 7.5%
• There will be no tax for income up to Rs 3 lakh. For income Rs 3-6 lakh, 5% tax will be charged; highest tax rate of 30% on income above Rs 15 lakh under new I-T regime

New Slab

Income of Rs 0-3 lakh is nil.

🔴 Income above Rs 3 lakh and up to Rs 6 lakh to be taxed at 5% under new regime.

🔴 Income of above Rs 6 lakh and up to Rs 9 lakh to be taxed at 10% under new regime.

🔴Income of above Rs 9 lakh and up to Rs 12 lakh to be taxed at 15% under new regime.

🔴 Income above Rs 12 lakh and up to Rs 15 lakh to be taxed at 20% under new regime.

🔴 Income above Rs 15 lakh to be taxed at Rs 30%.

• Finance minister has proposed to hike tax exemption on leave encashment on retirement of non-government salaried employees to Rs 25 lakh from Rs 3 lakh. “We are also making the new income tax regime the default tax regime however, citizens will continue to have the option to avail the benefits of the old tax regime

Fund Allocation for Ministry

• Ministry of Defence-594 lacs Cr.
• Ministry of Road Transport and Highways-2.70lacs Cr.
• Ministry of Railways-2.41 lacs cr.
• Ministry of Consumer affairs,Food and Public Distribution-2.06 lacs cr.
• Ministry of Home Affairs- 1.96lacs Cr.
• Minsitry of Chemicals and Fertlizers- 1.78 Lacs Cr.
• Ministry of Rural Development- 1.60 lacs Cr.
• Ministry of Agriculture and Farmer’s Welfare-1.25 lacs Cr.
• Ministry of Communications-1.23 lacs Cr.