New Delhi, July 23: Finance Minister Nirmala Sitharaman today unveiled the Union Budget for the fiscal year 2024-25, outlining a comprehensive strategy aimed at providing relief to the middle class, boosting employment through skilling initiatives, and accelerating infrastructure development across key sectors.

Key Highlights:

1. Tax Reforms: The budget introduces revised tax slabs to ease the burden on taxpayers:

   – Income between Rs 3 lakh to 7 lakh taxed at 5%

   – Rs 7 lakh to 10 lakh at 10%

   – Rs 10 lakh to 12 lakh at 15%

   – Rs 12 lakh to 15 lakh at 20%

   – Above Rs 15 lakh at 30%

   – Basic exemption limit remains unchanged at Rs 3 lakh.

2. Deductions and Savings: Standard deduction increased to Rs 75,000 from Rs 50,000 for salaried individuals and pensioners. Family pension deduction raised to Rs 25,000.

3. Employment and Skilling Initiatives: A landmark Prime Minister’s package of Rs 2 lakh crore aimed at enhancing employment opportunities and skill development:

   – Reimbursement of EPFO contributions to incentivize employers to hire more employees.

   – One-month salary (up to Rs 15,000) for first-time employees under an employment-linked skilling scheme.

   – Internship opportunities for one crore youth in top companies with stipends and one-time assistance.

4. Infrastructure Development: Significant allocations for infrastructure projects across states:

   – Bihar earmarked Rs 26,000 crore for road projects, including expressways like Patna-Purnia and Buxar-Bhagalpur.

   – Andhra Pradesh allocated Rs 15,000 crore for the development of Amaravati and the Polavaram Irrigation Project.

5. Financial Impact: The budget anticipates a revenue loss of Rs 37,000 crore (Rs 29,000 crore from direct taxes and Rs 8,000 crore from indirect taxes), offset by an additional mobilization of Rs 30,000 crore annually.

6. Government Priorities: Focus on middle-class relief, support for MSMEs, and bolstering rural infrastructure to stimulate economic growth and job creation.

7. Reaction and Analysis: Initial reactions to the budget have been largely positive, with stakeholders welcoming the tax relief measures and the emphasis on employment generation. However, concerns have been raised regarding the fiscal deficit implications amidst ambitious spending plans.

The Union Budget 2024-25 reflects the government’s commitment to achieving inclusive growth and economic resilience through targeted investments in infrastructure, employment, and skill development.