A Sneak Peek Into Union Budget 2023

Welcoming the announcement of the well-thought-out Union budget 2023-24 by our Honourable Finance Minister Nirmala Sitharaman; the budget will help the nation propel in various ways. The budget saw an increase of Rs. 10 Lakh crore in capital investments for the 3rd year.

Further development of Infrastructure could result a rising demand for manpower and facility management, property management, and more. The budget for 2023-24 is a treat for all.

Here are some of the sections that I find interesting, and I would like to download the budget 5th of the second term of the Hon’ble prime minister Narendra Modi’s administration:

1. New Income Tax Slabs

To make the tax regime more attractive, the government has suggested reducing the surcharge, which is the highest, from 37 per cent to 25%. The ministry has also increased the limit of rebates up to seven lakhs. Here are the updated tax slabs for income under this new tax system:

• In the case of up to 3 lakhs in income, there is no tax  
• Between Rs. 3 lakhs to 6 lakhs, the tax rate is 5%.  
• Between Rs. 6 lakhs to Rs 9 lakhs, the tax rate is 10%.  
• Starting at Rs. 9 lakhs up to 12 lakhs, the tax rate is 15%.  
• Between Rs. 12 lakhs to Rs 15 lakhs, the tax rate is 20%.  
• Beyond Rs 15 lakh, the tax rate rises to 30%.  

 

2. Jobs

To tackle unemployment government has decided to start Pradhan Mantri Kaushal Yojna 4.0. In addition, the government has also proposed preparing the young to take advantage of international opportunities. 30 India International centres will be established in various states. 47 lakh young people will receive the stipend as the direct benefit transfer program under the PAN India National Apprenticeship Promotion Scheme for three years.  

3. Clean energy  

The importance of the energy transition will allow India to be a model for an emission-free economy. Net zero emissions are of significant concern for the world; considering this, the Indian government took the necessary measures by recommending the following:  

• Rs. 35,000 crores as priority capital for the transition to renewable energy  
• According to the Environment Protection Act, this green credit plan will be made public.  
• Battery storage for viability to fund a gap.  
• The government will be a part of the development of batteries for energy storage with a capacity of 4,400MWH Govt will support the creation of batteries for energy storage in the amount of 4,  
• With a budget of the equivalent of 19,700 crores and an estimated cost of 19,700 crores, this National Green Hydrogen Mission will assist in transitioning to a low-carbon economy, decrease dependence on imports from fossil fuels and help the country be a leader in technology and market.  

 

4. Digital Services & AI  

The data from industry experts suggest AI could add 500-450 billion dollars to India’s GDP by 2025.  

• The scope of services to increase within DigiLocker   
• One hundred labs to develop applications using 5G services that will be established in engineering colleges. The 100 labs will be set up in engineering institutions.  
• Labs will concentrate on using smart classrooms, precision farming, and healthcare applications.  
• The third phase of E-courts’ initiatives will be launched at the cost of Rs. 7,000 crores Third phase for E-courts’ projects to be launched at a cost and Rs 7,000 crore.  
• Industry leaders will collaborate in developing an array of scalable options in agriculture, health and many other industries.  

It’s also interesting to know that The Reserve Bank of India intends to release a digital representation of the Rupee during the next fiscal year. This change will modernize the currency and provide a more straightforward and quicker way to conduct financial transactions for individuals and businesses.  

 

5. Urban Development  

• The government will spend the equivalent of Rs 10,000 crore per annum on developing the urban infrastructure development fund.  
• Cities to be rewarded for boosting the creditworthiness of municipal bonds. Incentives to improve the creditworthiness of municipal bonds  
• Every town and city will be able to complete 100% transition of sewers and Septic tanks.    

The most recent initiatives included in the fiscal plan of the Union for 2023-24 are sure to assist in the maximization of the potential for the development of India’s economy. It is expected that the Union budget of 2023 will have further increases in CAPEX in the area of Infrastructure, and the focus is on creating employment opportunities, digitization, and AI.

In the regions where Infrastructure and investments will be the third priority of the government, there’s likely to be a significant concentration on making India modern and future-proof through AI laboratories, R&D on healthcare as well as Agri-Tech in addition to boosting Digital Public Infrastructure and holistically expanding physical Infrastructure which is proven to be very beneficial for long-term sustainable economic growth.”