Key Announcements To Know
The Finance Minister emphasised nine key priorities, including agricultural productivity, employment generation, and infrastructure development. With inflation reported as stable and moving towards the 4% target, the budget balances fiscal consolidation with developmental aspirations. Let's examine the major announcements across various sectors, including the noteworthy changes in the tax structure.-
Income Tax Reforms
- The standard deduction was increased from Rs 50,000 to Rs 75,000, providing immediate relief to taxpayers.
- The tax slab for the 5% rate was expanded from Rs 5 lakh to Rs 7 lakh, offering further tax savings.
- These changes are expected to result in savings of up to Rs 17,500 for taxpayers under the new regime.
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Angel Tax Abolition
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Agricultural And Rural Development Initiatives
- A comprehensive review of agricultural research to boost productivity and develop climate-resilient crop varieties.
- Plans to introduce one crore farmers to natural farming over the next two years, supported by 10,000 new bio-input resource centres.
- Strategies for achieving self-sufficiency in pulses and oilseeds production.
- Allocation of Rs 2.66 lakh crore for rural development, covering various infrastructure projects.
- Introduction of the Jan Samarth-based Kisan Credit Card in five states to enhance financial support for farmers.
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Employment And Skill Development Focus
- Allocation of Rs 2 lakh crore to create jobs for about 4.1 crore youth over the next five years.
- Rs 1.48 crore earmarked for skilling 20 lakh youth over a five-year period.
- Launch of three new employment-linked schemes, including incentives for 30 lakh youth entering the job market.
- Proposal for internship opportunities for one crore youth in 500 companies over five years, offering a monthly allowance of Rs 5000.
- Upgrade of 1,000 industrial training institutes and establishment of working women hostels.
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Infrastructure And Urban Development Plans
- Capex allocation of Rs 11,11,111 crore, representing 3.4% of GDP.
- Launch of Phase 4 of the PM Gram Sadak Yojana to provide all-weather roads to 25,000 rural habitats.
- PM Awas Yojana-Urban to address housing needs of one crore poor and middle-class families with a Rs 10 lakh crore investment.
- Plans to promote water supply, sewage treatment, and solid waste management projects in 100 large cities.
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Energy And Environmental Measures
- Launch of the Rooftop Solar scheme to provide free electricity to one crore households.
- Research and development on smaller nuclear reactors and setting up of Bharat Small Reactors in partnership with the private sector.
- Establishment of an 800 MW Advanced Ultra-Super Critical Thermal Power Plant.
- Plans to formulate a roadmap for hard-to-abate industries, balancing development needs with environmental concerns.
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Fiscal Management
