What is the Indian Union budget?

The Union Budget is an annual financial statement of the government. Every year, the government presents to the country the details of its revenues and expenditure of the previous year and its plans for the upcoming year. Presented on February 1 by the finance minister of the country, the Union Budget also lays down policy changes that it intends to implement during the year such as changes in taxation policy, which usually come into effect from April 1.

Who prepares the Union budget in India?

The finance minister presents the Union budget on February 1. Also known as the annual financial statement of the government, the Budget is prepared by the Finance Ministry’s Department of Economic Affairs in consultation with other ministries, NITI Aayog, and other stakeholders. Before the Budget, the finance ministry also holds meetings with industry leaders, economists, farmers, among others, to seek their views.

What is the duration of the Union Budget presentation in India?

Budget speeches usually last 90-120 minutes. However, it depends on each finance minister. Nirmala Sitharaman’s 2020 budget speech was the longest in independent India’s history, lasting 160 minutes.

What are key features of the Indian Union Budget?

The Indian Union Budget consists of the government’s annual financial statement, which gives details of its revenues, expenditure, fiscal deficit, and borrowing.

How does the government generate revenues and spends?

The government mainly generates revenues from different types of taxes such as income tax, corporate tax, goods and services tax, excise and custom duties.

Why is the Union Budget 2023 important?

Union Budget 2023 is important as it is the last full-year budget before the General Elections in 2024. Since the Budget contains key announcements for an entire year, it becomes important from the political point of view of the government, which will seek to come to power again next year.

What is the biggest highlight of the Union Budget?

For a few years now, the biggest highlight of the government has been its push for growth through big capital expenditure.

Has the government done enough for the rural economy in the Budget?

The government has been supporting the rural economy through various schemes such as Mahatma Gandhi National Rural Employment Guarantee Scheme.

What does the government have for the middle-class in the Union Budget?

The government did not announce any changes in income tax slab in 2022. However, it introduced changes to make Income Tax Returns filing easier by allowing a one-time window to correct omissions and the tax deduction limit for state government employees contribution to NPS raised to 14% from 10%.