Article 112 of the Indian Constitution mandates that a budget is presented to Parliament before the start of each fiscal year. The Union Budget chals out the plan for the upcoming fiscal year, which begins on April 1 and concludes on March 31 of the following year.
The estimated government payables and receivables for a given fiscal year are described in detail in the Union Budget. The capital and revenue budgets are the two main sections of this budget statement.
The Union Budget for 2023 will be presented on February 1, 2023. In the new budget, foreign producers will have more room. Due to escalating needs, the health sector is more likely to receive additional funding.
The capital expenditure will be a focus of the Union government. The pandemic-related recovery was the main emphasis of the preceding budget. The new budget will strongly focus on fostering economic expansion and luring investors.
Union Budget 2023 income tax: Background
The finance minister must deliver the Union Budget for 2023 no later than February 2023. Beginning in 2020, this will be the fourth budget of the NDA-led administration under Narendra Modi. Before the budget, the Economic Survey for 2022-2023 will be published.
Union Budget 2023 income tax: Features
Real estate companies have expressed hope that the government will take action to make loans available to them under Budget 2023 highlights. The government can move the housing projects forward significantly if such activities are adopted.
When will the Union Budget for 2023–24 be announced?
On February 1, 2023, the Union Budget 2023 will be presented. The budget speech, which traditionally begins at 11 am, will be delivered by Finance Minister Nirmala Sitharaman to make a significant major announcement about the budget.
What will the 2023 Union Budget hold?
The budget will establish a foundation for growth by concentrating on four major themes:
- Public investment for the construction of contemporary infrastructure under PM Gati Shakti
- Inclusive development
- Productivity and investment, sunrise opportunities, energy transition, and climate action
- Financing of investment
In addition, the FM has introduced several tax and regulatory changes that should significantly help taxpayers by removing obstacles, lowering litigation, giving predictability, and expanding the revenue base.
What are the expectations from the Union Budget 2023?
The government may increase the exemption or rebate ceiling to relieve individual taxpayers. In India, salaried workers are one of the leading taxpayers. Up to Rs 2.5 lakh of their compensation is exempt from taxes annually.
There are currently calls for increasing the exemption threshold to Rs 5 lakh.
What is the expected GDP growth in the Union Budget 2023?
The Reserve Bank and other institutions have cut their projections for India’s growth to around 6.8% for the current fiscal year, which would be the backdrop against which the Budget 2023–24 will be unveiled.
The RBI forecast 6.8% real GDP growth for 2022–2023, with the third and fourth quarter coming in at 4.4% and 4.2%, respectively. The increase of the gross domestic product (GDP) is anticipated to be 7.1% in April–June 2023–24 and 5.9% in the next quarter. By 2025–2026, the government intends to reduce the fiscal deficit to 4.5% of GDP gradually.
Union Budget 2023 income tax: Public expectations
- To promote public welfare, the government must maximise profits. This is accomplished by allocating resources as efficiently as possible.
- The expansion of employment, control of pollution, and eradication of poverty should be the main goals of the Union Budget. This will make sure that every person in the nation has access to facilities for health care, education, and basic needs like food, shelter, and clothing.
- The budget should shape how money is distributed through taxes and subsidies. It will ensure that the wealthy pay a high tax rate, lowering their disposable income.
FAQs
Which three types of budgets are there?
A surplus, balanced, and deficit budget are the three different types of budgets.
What is standard deduction?
The part of your income that is not taxed or deductible from your taxes is known as the standard deduction. Every year, the IRS updates the standard deduction to account for inflation. Your filing status, age, and other factors will determine how much of a standard deduction you are eligible for.
