On February 1st, Union Finance Minister Nirmala Sitharaman will take the floor to introduce the Union budget 2024–25. Due to the early 2019 Lok Sabha elections, the Union budget for 2024 is an interim budget.
Following the Lok Sabha elections that resulted in the formation of a new government, the entire budget for the fiscal year 2025 will be presented on February 1, 2024. The Union budget for 2024 will include projected receipts and specifics regarding government spending for the fiscal year.
The budget is set aside for the upcoming fiscal year, which begins on April 1 and ends on March 31 of the following year. We would like to share with you the date, time, focus sectors, and many other details of the Union Budget 2024–25 in this post.
Key Features of Budget 2024
| Year | 2024 |
| Announced by | Financial Minister |
| Present Finance Minister | Nirmala Sitaraman |
| Announced on | 1 February, 2024 |
| Announce in | Assembly |
| Official Website | http://indiabudget.gov.in/ |
Union Budget 2024-25
The union budget for the upcoming fiscal year of 2024 was unveiled by the minister of finance. The economic expenditure for FY2025 is mentioned in the union budget 2024–25. In this budget, the seven priority sectors are also mentioned. The seven pillars of Saptarishi are the seven priorities.
The financial sector, infrastructure & investment, youth power, reach to the last mile, inclusive development, unleashing potential, and sustainable growth are these seven priorities. The financial minister will present the union budget 2024–25 on February 1, 2024. The union budget for FY25 excites all Indian citizens because they anticipate that it will include priorities, awarding programs, and schemes that will be advantageous to them.
What to Expect ?
Limited Scope: It will only be an interim budget and not a comprehensive financial plan. Rather, funds should be expected to pay for necessary government spending during the first four months of the upcoming fiscal year, which runs from April to July.
Election Buzz: In an attempt to win over voters ahead of the general elections, the budget may include some populist policies and initiatives. Consider tax breaks, increases to welfare programs, and announcements of infrastructure spending.
Clues for the Future: The budget may provide some indications, if not all of them, about the possible priorities of the incoming administration. Pay attention to funding for important industries like healthcare, education, and agriculture.
Union Budget 2024-25 Expected Tax Slab
It is anticipated that the 2024–2025 Union Budget will have an expected tax slab of 5, similar to the 2023 budget. It is anticipated that the finance minister may use up to 3.5 lakhs to raise the tax limit exemption. It is anticipated that all individuals will pay no tax up to a total of Rs. 3.5 lakh in earnings from their use during the year.
For the financial year, everyone earning between Rs. 3.5 lakhs and Rs. 6.5 lakhs were required to pay 5% tax on their total taxable income. Individuals earning between Rs. 7 lakhs and Rs. 9.5 lakhs in a fiscal year are required to pay 10% tax on their total taxable earnings; those earning between Rs. 9.5 lakhs and Rs. 13 lakhs are required to pay 15% tax; those earning between Rs. 13 lakhs and Rs. 16 lakhs are required to pay 20% tax; and those earning Rs. 16 lakhs and above are required to pay 30% tax on their total incomes for the fiscal year.
| Earning | Tax Rate (Expected) |
| Up to the Rs. 3.5 lakh | Nil |
| Rs. 3.5 lakhs to 6.5 Lakhs | 5% |
| Rs. 7 lakhs to 9.5 lakh | 10% |
| Rs. 9.5 lakh to 13 lakh | 15% |
| Rs. 13 lakhs to Rs. 16 lakhs | 20% |
| Rs. 16 lakhs and above | 30% |
Important Metrics
Budget Size: The Budget length, which emphasizes the government’s financial support for the banking system and welfare programs, is the most carefully watched factor ahead of regular polls. This indicator sets the tone for economic priorities and captures the dimensions of fiscal commitment.
Nominal GDP Growth: The government specifically monitors this metric about tax resilience and sales assumptions. Increased growth makes it possible to include the financial deficit ratio, which is a crucial factor affecting economic stability. Moreover, strong GDP growth reinforces the overall fiscal base in addition to increasing sales for the government.
Fiscal Deficit: It displays the economic surplus or deficit in the budget. It is computed by subtracting the total amount of fees levied by the authorities from the total amount of sales. The outcome demonstrates whether or not the authorities were able to fulfill their financial obligations.
Disinvestment: This indicator helps with revenue mop-up by indicating what the authorities want in terms of privatization. Given the recent setbacks on the strategic sale front, it is mostly pertinent. Disinvestment can also simplify public sector organizations by selling efficiency and putting money in the authority’s coffers.
Market Borrowing: The metric’s effect on bond yields and interest rates is closely monitored. It’s also important to note that excessive authority borrowing has the potential to displace individual players. On the other hand, real market borrowing is essential to funding government projects without interfering with regional and national fiscal markets.
Focus Sectors of Union Budget 2024-25
Agriculture: Likely, funding for farmer assistance initiatives like the Pradhan Mantri Fasal Bima Yojana and PM Kisan Samman Nidhi will continue.
Infrastructure: It will be important to keep up the pace of infrastructure development, particularly in sectors like roads, trains, and renewable energy.
Education and Healthcare: It is anticipated that funding for current health and education initiatives, such as Ayushman Bharat Yojana, will be maintained.
Social Welfare: It is anticipated that programs like MGNREGA, meal safety packages, and pensions for normalized groups will peer-durably invest to ensure that basic needs and earnings assistance are satisfied.
Conclusion
The nation’s many needs and problems are addressed comprehensively in Budget 2024, with an emphasis on social welfare, sustainable development, and economic resilience. The budget charts a path for inclusive growth and prosperity by giving priority to investments in vital areas like infrastructure, healthcare, education, and sustainability. This reflects the government’s commitment to constructing a better future for every citizen.