The Union Budget is being hailed as a budget that ticks all boxes of growth and welfare while still keeping the fiscal deficit as low as 5.9 per cent of the Gross Domestic Product (GDP). It has been prepared with a vision to make India a super power in the Amrit Kaal. It is indicative of good fiscal health of the Indian economy enriched by the inbuilt power of the economy to consistently position its growth trajectory like a bright spot on a dark horizon as was quite aptly titled by the International Monetary Fund (IMF).
India’s achievements become more profound, when it succeeds to bring its inflation rate back within the tolerable limits fixed by the Reserve Bank of India (RBI) despite the bottlenecks created by the prolonged war in Europe and the residual effects of the pandemic re-surfacing in certain regions of the World.
The following highlights of the budget 2023-24 are to be read in continuation of the gist of the Budget vision and strategy discussed in the first part (Part A) of this Budget Special edition of KnowFunda Digest published on February 9, 2023 and they comprise of the major indirect and direct tax proposals announced:
Indirect Tax Proposals
Objectives of Indirect Tax Proposals are given in Chart 1 below:
Strategy to achieve these objectives is summed up in Chart 2 below:
The major indirect tax proposals are briefly presented in Table 1 below:
Direct Tax Proposals:
Objectives of Direct Tax Proposals are summarized in Chart 3 below:
The Strategy to achieve the objectives of direct tax proposals is given in Chart 4:
Major Direct tax proposals are summarized in Table I and II below:
To conclude the Budget 2023-24 envisages a vision to promote a balanced growth across all segments of the industry as well as the society. The major challenge would, however, be to implement the strategy effectively for the achievement of the budget targets in a well coordinated and time bound manner.
Reference: This article is published by the Author in the Newsletter “KnowFunda Digest” (7th Edition) on LinkedIn on February 13, 2023.