Budget is defined as a financial planning for a certain period of time, as it includes all the necessary things related to revenues, planned sales volume, cost and expenses, assets, cash flow statement and liabilities as well. Budget is all set to tells us the summary of expenditures while include budget surplus and a proposal to meet all expenses.
Every year on February 1st
our finance minister will prepare the budget with the well qualified team of professionals namely economists and financial planners a well-defined budget is presented in the session of parliament. This year finance minister Nirmala Sitharaman has presented the union budget 2020 with a way to make India a USD 5 trillion economy by the end of 2022.
Income up to 5 Lakh- No tax
Income between 5 Lakh to 7.5 Lakh- 10%
Income between 7.5 to 10 Lakh- 15%
Income between 10 to 12.5 Lakh- 20%
Income between 12.5 to 15 Lakh- 25%
Income above 15 Lakh- 30%
- Government will propose a new tax slab with certain modifications under the section of 115BAC.
- For new power generation companies there will be concessional tax rate of 15 %
- Through initial public offering government will plan to sell some stake of LIC
- Raise indirect tax on footwear by 15% and on furniture goods by 5%.
- Start-ups will enjoy 100% deduction for 3 consecutive years with a turnover up to 100 crore
- For the financial year 2020 fiscal deficit revised to 3.85 from 3.3% and for financial year 2021 it should be targeted at 3.5%
- Growth of nominal GDP will be estimated at 10%
- Defense sector will get an amount of 3.37 lakh crore.
- National recruitment agency will conduct non-gazetted government jobs and public sector jobs
- Development of new five smart cities via public-private partnership model
- A budget of 2500 crore to be allocated to promote tourism
- Skill development programme with a budget of 3000 crore and 99,300 crore for education sector
Overall the budget 2020-2021 will be beneficial for the growth of the economy as well as for the development of people of the economy. With different viewpoints, common man and experts will present their views about the benefits or shortcomings of budget.