Union Budget 2022: All Info About Union Budget Of India That You Want To Know

Union Budget 2022 of India: Highlights

• The Union Budget was presented on February 1 by the Union Finance Minister of India Nirmala Sitharaman.
• A budget of 39.45 lakh crore is being estimated by the respected finance minister to the nation.
• The major areas covered by the budget 2022 are infrastructure development and affordable housing to the poor along with development in technology.
• PM Modi, Home Minister Amit Shah hailed the Budget 2022 as calling it as people friendly and progressive.
• PM Modi will address the nation about the budget for 2022 on 2nd February 2022 at 11am.

What Is the Union Budget of India?

The Union Budget of India is called by the term financial statement in the article 112 of the Constitution. The budget usually includes planned revenue and expenditure statements of the government for that fiscal year. The budget is presented in the Lok Sabha on the first day of February as a financial bill needs to be approved by Lok Sabha before it can come into effect on April 1.

It is usually presented by the Union Finance Minister. A day before the presentation of the budget, an economic survey is also presented in the houses.

How Much Is the Estimated Budget 2022 of India?

A budget of 39.45 lakh crore is provided by the Union Finance Minister Nirmala Sitharaman. The major emphasis of this budget will be on highways and affordable housing to raise the falling levels of the economy. The budget for this year is reflecting the increase in the expenditure upto 7.5 lakh crore which is around 35 percent from the previous year.

The major parts of the budget includes expansion of national highways by 25000 kms along with interlinking of rivers, manufacturing and generation of 400 new Vande Bharat trains. Along with that there is also a mention of 30 percent tax on transaction of cryptocurrencies and commencing the use of digital currency.

What Will Be the Sessions of the Indian Budget 2022?

The first session of the budget lasts from January 31 to February 11 while the second takes place from March 14 to April 8th. Both of the sessions include the presentation of a Financial Bill or Budget in front of the respective house of the Parliament. This is the 10th budget by the Modi Government.

What Is Announced in the Budget 2022 India?

• Expected GDP for FY 22-23 stands at INR 258 lakh crore which has increased by 11.14 percent from the last year.
• Fiscal deficit estimated at 6.4 percent of nominal GDP.
• This fiscal year’s borrowings are lowered from INR 9.68 lakh crore to INR 8.76 lakh crore. While the estimated budget for market borrowings is INR 11.69 lakh crore.
• Gross tax revenue is estimated to take upto INR 27.58 lakh crore which is 9.6 percent higher than that of FY21-22.
• Personal income tax and corporate income tax would be the source of 51.5 percent of Gross tax revenue
• INR 65000 crore being the disinvestment target for FY 22-23 which is INR 13000 crore lower than that was estimated in the previous fiscal year.
• Estimated collection from road infrastructure cess on petrol and diesel, a form of excise duty, shall be INR 1.38 lakh crore. This estimate is 31.9 lower than that of FY21-22.

Union Budget 2022: Policy Announcements

Introduction of PM Gati Shakti National Master Plan which includes infrastructure projects of expansion of national highways by 25000 kms, introduction of multimodal logistics park at four locations, introduction of one station and one concept which will help local businesses and supply chains, introducing PPP model based 100PM Gati Shakti cargo terminals for multimodal logistics and a national ropeway development programme for hilly areas. Along with this, 400 new generation Vande Bharat trains are also being brought in the next 3 years.

• Hospitality services are the one worse hit by the pandemic and yet to recover from it. For that purpose, the Government has decided to extend the ECGL service by March 2023 for this sector with a raised amount of INR 50,000 crore rupees.
• Schemes like Har Ghar, Nal se Jal Scheme and PM Awas Yojna will be standardised with core banking solutions in all post offices.
• Credit Guarantee Trust for Micro and Small Enterprises (CGTMSE) will be reshaped.
• Advancements in the financing part include raising the capital expenditure, introducing and offering Green bonds for kicking green infrastructure projects in the public sector. Projects also include construction of an arbitration centre at GIFT city and infrastructure status for data centres and energy storage systems.
• Policy initiatives shall also include issuance of e passports to the common people. Urban planning shall be taken to a next level with construction of tier 2 and tier 3 cities. There will be a focus and requirement of use of electric vehicles along with the transformation of sectors into Special Economic Zones(SEZs).
• There will also be an introduction of the Central Bank Digital Currency or Digital Rupee by RBI India.

Budget 2022: Tax Revisions

• For startups and new manufacturing units, tax incentives are extended by a year.
• 30 percent tax shall be imposed on Income from the transfer of virtual digital assets. Along with this there would be no other deduction other than the cost of acquisition. But the losses from the transfer of digital currency cannot be set off with any other income.
• For those cooperative societies whose total income between INR 1 crore to INR 10 crore, surcharge on them is reduced from 12 percent to 7 percent. Alternate minimum tax for cooperatives reduced from 18.5 percent to 15 percent.
• Modifications in the updated returns which allows them to assess file updated returns within 2 years of filed IT returns.

PM Modi Called Union Budget 2022 People Friendly and Progressive

PM Modi hailed the Union Budget 2022 presented by Nirmala Sitharaman as people-friendly and progressive. He believed that this budget was mainly focused on the development of the poor. Further he was also impressed by the budget kept for the development of the infrastructure along with development in technology.