Budget Highlights 2023

Budget Highlights 2023

Union Budget 2023 was presented by Finance Minister Nirmala Sitharaman on the 1st of February 2023 which revealed one of its biggest jumps in capital spending in the past decade and said the fiscal deficit would go down in the coming year.

For the first time in the history of our country, a woman Finance Minister will present India’s economic budget under the leadership of a woman President Draupadi Murmu.

The Budget adopted “seven priorities” – inclusive development, reaching the last mile, infrastructure and investment, unleashing the potential, green growth, youth power and financial sector –  to guide India through the “Amrit Kaal“.

This year’s Budget holds much importance as this is the last full Budget before the 2024 general elections. This is the Finance Minister’s fifth Budget presentation since 2019.

Important budget highlights of 2023 –

1. Personal Income Tax :
   0 to Rs 3 lakhs – Nil
   Rs 3 to 6 lakhs – 5%
   Rs 6 to 9 Lakhs – 10%
   Rs 9 to 12 Lakhs – 15%
   Rs 12 to 15 Lakhs – 20%
   Above 15 Lakhs – 30%
   No income tax will be charged till Rs 7 lakh in the new tax regime.
2. Capital outlay of ₹2.4 lakh crore has been provided for Railways, the highest-ever allocation since 2013-14, the Finance Minister said.
3. The outlay for PM Awaas Yojana has been enhanced by 66 per cent to over Rs 79,000 crore
4. 50-year interest-free loans to states extended for 1 more year
5. Centre to provide Rs 5,300 crore assistance to the drought-prone region of Karnataka’
6. The outlay for PM Awaas Yojana has been enhanced by 66 per cent to over Rs 79,000 crore
7. The focus on capital expenditure continues as Finance Minister Nirmala Sitharaman hikes capital investment outlay by 33 per cent to Rs 10 lakh crore for 2023-24.
8. National Digital Library to be set up
9. The government will launch a sub-scheme under PM Matsya Sampada Yojana with an outlay of Rs 6,000 crore to further enable those involved in fisheries
10. Senior Citizen Savings Scheme limit increased to Rs 30 lakhs from the current Rs 15 lakhs.
11. The fiscal deficit is expected to be 5.9% of GDP. We aim to Aim to reduce it to 4.5% by 2025-26, said Ms Sitharaman.
12. Mahila Samman Savings certificate for a 2-year period. This will offer a deposit facility of up to 2 lahks at 7.5 per cent interest.
13. Credit guarantee for MSMEs – ₹ 9000 crores infused in the corpus. National financial information registry to be set up – facilitate credit flow and boost the availability of information, announced Nirmala Sitharaman.
14. “30 skill india international centres across different states will be set up,” the Finance Minister said.
15. The government will launch Pradhan Mantri Kaushal Vikas yojana 4.0, she said.