As we approach the announcement of Budget 2024, anticipation is building regarding the changes it might bring. This budget is particularly significant, as it will outline the government’s financial and economic policies for the coming fiscal year. For many, the focal point is the income tax rules, which directly impact the financial planning of individuals and businesses.
Join us in this Budget 2024 Live Coverage as we highlight key takeaways, exploring how they impact various economic sectors and our NRIs/OCIs diaspora.
Key Pointers of the Budget 2024
- Budget 2024: This will be the full budget of the year and also of the Modi 3.0 regime, as previously the incumbent government announced Interim Budget 2024 due to it being an election year.
- Timings: Budget presentation will start at 11 am.
- Presenter: Finance Minister Nirmala Sitharaman will announce the Union Budget 2024 on July 23 at 11:00 a.m. IST in the Parliament.
1:00 PM: Full Budget 2024 Passed: Focus on Agriculture, power and energy, infra, defence, tourism. Budget 2024 passed & brings closure to FM speech. Stay tuned for detailed analysis with SBNRI.
12:45 PM: The defense budget increased to Rs 4.56 lakh crore from Rs 4.55 lakh crore previously.
12:42 PM: TDS on MF Withdrawn. Previously it was 20% TDS on repurchase by MF or UTI which is now withdrawn.
12:30 PM: Finance Minister announces cancellation of Angel Tax across all categories of taxpayers.
12:26 PM: FM announces tax rate structure for a new regime. Here are the new revised rates:
- 0-3L Zero
- 3-7L 5%
- 7-10L 10%
- 10-12L 15%
- 12-15L 20%
- 15 & above, 30%
- Salaried employees in the new tax regime can now save up to Rs 17,500 in income tax
12:25 PM: Standard deduction amount under the New Regime will be increased to Rs 75,000 from the current Rs 50,000.
12:23 PM: STT on F&Os proposed to be increased to 0.02% and 0.01% respectively.
12:18 PM: FM announces that long-term capital gains on all financial and non-financial assets will attract a tax rate of 12.5%. Additionally, the long-term capital gain limit will now be set at Rs 1.25 lakh per year.
12:15 PM: Customs duty on gold and silver to be reduced to 6%, platinum to 6.4% to enhance domestic value addition.
12:13 PM: The Finance Minister said that the Indian mobile industry has grown and suggested lowering the Basic Customs Duty (BCD) on mobile phones, mobile PCDA (Printed Circuit Design Assembly), and mobile charges to 15%.
12:10 PM: FM announces NPS Vatsalya program for parents to invest in or on behalf of their children. The account can be passed to the child once they reach adulthood.
12:08 PM: FM Nirmala Sitharaman says that the Foreign Direct Investments(FDI) will be simplified to increase the inflows.
12:05 PM: The government aims to develop corridors at Vishnupad Temple and Mahabodhi Temple following the model of Kashi Vishwanath Temple. The government will also focus on the development of Nalanda as a tourist center in Bihar. They also aim to assist Odisha in building a tourism hub.
12:04 PM: Government to focus on space economy with plans to expand the space economy by 5x in the next 10 years. The government will set up a venture capital fund of Rs 1,000 cr to achieve this goal.
12:01 PM: The Finance Minister recognized that Bihar often experiences floods and mentioned that plans to build flood control structures in Nepal haven’t moved forward yet. The government will provide about Rs 11,500 crore for this. Assam, which has floods every year, will get help for flood management and related projects. Himachal Pradesh, which has suffered a lot from floods, will also get support for rebuilding through various international aids. Uttarakhand, which has been heavily impacted by landslides and heavy rain, will receive the needed assistance as well.
11:58 AM: The Prime Minister has launched the PM Surya Ghar Muft Bijli Yojana to install rooftop solar plants, offering free electricity up to 300 units per month to 1 crore households. This initiative has already achieved 1.28 crore registrations and 14 lakh applications, showcasing significant success.
11:57 AM: The government maintains its stance on Capex target for the year. This year, Rs 11.11 lakh crore has been allocated for capital expenditure, which amounts to 3.4% of India’s GDP.
11:55 AM: The Finance Minister announced that PM Awas Yojana Urban 2.0 will address the housing needs of the urban poor and middle class with an investment of Rs 10 lakh crore.
11:52 AM: Govt gives a push to make housing affordable. Rs 2.2 lakh crore is provisioned under the Budget for housing.
11:48 AM: The Finance Minister announced the creation of an integrated tech platform to enhance the effectiveness of the Insolvency and Bankruptcy Code (IBC). This platform will aim for greater consistency, transparency, and improved oversight for all stakeholders, including the National Company Law Tribunal (NCLT). The IBC has successfully resolved over 1,000 companies, leading to a direct recovery of ₹3.3 lakh crore for creditors.
11:44 AM: The Finance Minister announced the establishment of a mission dedicated to the recycling of critical minerals and their acquisition overseas.
11:40 AM: 12 new industrial parks will be sanctioned and developed under this year’s Budget.
11:39 AM: Budget accounts for dedicated Rs 2.66 lakh crore for rural development.
11:37 AM: FM Sitharaman announces a boost of Rs 26,000-cr boost to road connectivity projects.
11:36 AM: The Finance Minister announced that the limit for MUDRA loans will be increased from the current Rs 10 lakh to Rs 20 lakh.
11:35 AM: FM announces credit guarantee program for MSME’s. This scheme will offer term loans for purchasing machinery and equipment without needing collateral or guarantees. The guarantee fund will cover amounts up to Rs 100 crore.
11:30 AM: The Finance Minister emphasized the importance of increasing women’s participation in the workforce. This will be achieved by establishing hostels and creating partnerships to organize skill development programs specifically for women.
11:25 AM: Government announces financial support for higher education. The government will provide loans up to Rs 10 lakh for higher education.
11:20 AM: The Finance Minister launches new schemes under the PM’s package to boost employment through skill development. These schemes will be linked to EPFO registrations and aim to support first-time employees. When new workers join any formal sector job, they will receive one month’s salary, up to Rs 15,000, in three installments through direct benefit transfer (DBT). To qualify, the salary limit is Rs 1 lakh per month, and this initiative is expected to help 2.1 lakh young people.
11:15 AM: The Finance Minister announced that the government will conduct a thorough review of the agricultural research framework to boost productivity and develop climate-resilient crop varieties. Domain experts will oversee this research to ensure its relevance and effectiveness.
11:11 AM: The Finance Minister announced a Prime Minister’s package consisting of five schemes focused on employment and skill development, with a total allocation of Rs 2 lakh crore. This year, Rs 1.48 lakh crore has been earmarked specifically for initiatives in education, employment, and skill enhancement.
11:09 AM: FM Nirmala Sitharaman further reiterates, ‘We need to focus on the Garib, Mahilaye, Yuva, and Annadata. For annadata, we announced higher MSP a month ago for all major crops, delivering on our promise. The PM Garib Kalyan Anna Yojana was extended for five years, benefiting more than 80 crore people. Administrative actions for the approval and implementation of various schemes announced in the interim budget are well underway.‘
11:07 AM: FM Nirmala Sitharaman said, ‘India’s economic growth continues to be the shining exception and will remain so in the years ahead‘
11:00 AM: FM Nirmala Sitharaman starts her Budget 2024 speech.
10:45 AM: The Cabinet has approved the Budget 2024 which will be presented by FM Nirmala Sitharaman in the Parliament. This will be the 7th consecutive budget presented by FM Nirmala Sitharaman.
What are the Expected Changes in the 2024 Budget?
Budget 2024 will discuss many important factors as it will be the first full budget for the year. The budget will likely focus on major areas of improvement and growth of the economy. Here are a few expected changes in the budget 2024 are
- Reducing Deficit: Reducing the budget deficit—the difference between government revenue and expenditure—is part of the administration’s objective. By 2026, they aim to reduce it to less than 4.5% of GDP, after reducing it to 5.1% of GDP the year prior.
- Sector Reforms: There will be special changes in areas like farming, banking, and taxes. It will include more loans for farmers, promoting different types of crops, and improving financial institutions.
- Social Welfare: The budget will prioritize balanced development by providing underprivileged people with improved access to healthcare, education, and employment opportunities.
- Infrastructure and Jobs: There will be investments in building infrastructure, digital projects, and renewable energy to create more jobs and attract private investments.
- Tax and Financial Reforms: Other agenda items include simplifying tax laws and improving the financial industry through digital strategies and regulatory changes.
The budget is expected to create foundations for continued economic expansion and stability, with an eye toward 2047—the year India marks the 100th year of independence.
Also read: Indian Election 2024 Recap and Market Outlook Ahead
What are the Expectations of Common People From the 2024 Budget?
Since Budget lays the foundations for the economic workings and the various policies that will impact the day-to-day workings of common people, it’s pretty understandable that common people have certain expectations from the Budget 2024. Here’s something that common people will be looking forward to in terms of health care, tax relief, etc.
- Tax Relief: Many people hope for a reduction in income taxes or increased tax exemptions to leave more money in common people’s pockets.
- Job Creation: With unemployment being a huge problem, people expect measures that will generate new job opportunities for the skills that they have.
- Affordable Healthcare: Improved access to affordable healthcare and more funding for public health services are some of the most expected things.
- Education Support: More investments in education, including better facilities and more scholarships, are needed to help children and young adults.
- Agricultural Support: Farmers expect better support through loans, subsidies, and crop insurance to ensure stable incomes and protect against uncertainties.
- Infrastructure Development: Better roads, public transportation, and utilities are anticipated to improve everyday living conditions.
- Social Welfare: Enhanced social welfare programs like subsidies, pensions, and support for excluded communities to ensure a more equitable society.
- Inflation Control: Measures to control the rising prices of essential goods and services are important for maintaining the cost of living.
Looking to Invest in Indian Markets, try SBNRI
NRIs can now download the SBNRI App and choose to invest in different investment options in India with ease. You can also get detailed investment advice from experts at SBNRI. Also, visit our blog and YouTube channel for more details.
SBNRI is an authorized Mutual Fund Distributor platform & registered with the Association of Mutual Funds in India (AMFI). ARN No. 246671. NRIs willing to invest in mutual funds in India can download the SBNRI App to choose from 2,000+ mutual fund schemes or can connect with the SBNRI wealth team to better understand Mutual Fund investments.
