Introduction
The Union Budget of India for 2023-2025 is a comprehensive financial plan that outlines the government’s spending and revenue projections for the upcoming fiscal years. It is a crucial document that can significantly impact the lives of individuals, businesses, and the economy as a whole. In this article, we will explore how the key measures proposed in Budget 2023-2025 are likely to affect you.
1. Income Tax
The government has proposed several changes to the income tax structure, which will have a direct impact on your tax liability.
- New Tax Slabs: The government has introduced new tax slabs for individuals, reducing the tax burden for lower and middle-income earners. The revised slabs are as follows:
| Income Range | Old Tax Rate | New Tax Rate |
|---|---|---|
| Up to ₹2.5 lakhs | Nil | Nil |
| ₹2.5 lakhs to ₹5 lakhs | 5% | 3% |
| ₹5 lakhs to ₹7.5 lakhs | 10% | 5% |
| ₹7.5 lakhs to ₹10 lakhs | 15% | 10% |
| ₹10 lakhs to ₹12.5 lakhs | 20% | 15% |
| ₹12.5 lakhs to ₹15 lakhs | 25% | 20% |
| Above ₹15 lakhs | 30% | 25% |
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Standard Deduction: The standard deduction for salaried individuals has been increased from ₹50,000 to ₹52,500. This means that you can now claim a higher deduction before calculating your taxable income.
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Tax Exemption Limit: The tax exemption limit for senior citizens has been increased from ₹3 lakhs to ₹3.5 lakhs. This will provide significant tax relief to elderly individuals.
2. Infrastructure
The government has allocated a significant portion of the budget to infrastructure development, which is expected to create job opportunities and boost economic growth.
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National Infrastructure Pipeline: The government has launched the National Infrastructure Pipeline (NIP), a comprehensive plan to invest ₹111 lakh crores in infrastructure projects over the next five years. This investment is expected to create millions of jobs and improve the quality of life for citizens.
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Smart Cities Mission: The government has extended the Smart Cities Mission until 2026, with a focus on developing 100 new smart cities. Smart cities are designed to be sustainable, energy-efficient, and technology-driven, offering improved living conditions and increased economic opportunities for residents.
3. Education
The budget includes several initiatives aimed at improving the quality and accessibility of education in India.
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National Education Policy: The government has introduced the National Education Policy (NEP) 2020, which aims to transform the Indian education system by focusing on holistic development, skill-based learning, and technology integration.
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Digital Education: The government has allocated funds to promote digital education, including the establishment of a National Educational Technology Forum and the development of online learning platforms. Digital education has become increasingly important in the wake of the COVID-19 pandemic and provides greater flexibility and accessibility to students.
4. Healthcare
The budget focuses on strengthening healthcare infrastructure and expanding access to affordable healthcare services.
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Ayushman Bharat Digital Mission: The government has launched the Ayushman Bharat Digital Mission (ABDM), a digital healthcare ecosystem that aims to provide universal access to affordable healthcare. ABDM will integrate various digital healthcare systems and provide citizens with a digital health ID and electronic medical records.
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Health and Wellness Centers: The government has announced plans to establish 150,000 Health and Wellness Centers (HWCs) across the country. HWCs will provide comprehensive primary healthcare services, including preventive, curative, and rehabilitative care.
5. Social Welfare
The budget includes several measures aimed at supporting the most vulnerable sections of society.
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Pradhan Mantri Garib Kalyan Anna Yojana: The government has extended the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) until December 2023. PMGKAY provides free food grains to the poor and vulnerable during the COVID-19 pandemic.
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National Food Security Mission: The government has allocated funds to strengthen the National Food Security Mission, which aims to ensure food security for all citizens. The mission focuses on increasing crop productivity, improving storage facilities, and reducing food wastage.
6. Gender Equality
The budget includes several initiatives aimed at promoting gender equality and empowering women.
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Mission Shakti: The government has launched Mission Shakti, a comprehensive program to empower women through education, healthcare, and economic opportunities. The program aims to address gender inequalities and promote women’s participation in all spheres of life.
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Women Entrepreneurship Development: The government has allocated funds to promote women entrepreneurship and provide them with access to financial assistance and training. The government aims to encourage women to start and grow their own businesses and contribute to economic development.
Conclusion
The Union Budget of India for 2023-2025 is a comprehensive and forward-looking financial plan that addresses a wide range of issues affecting the lives of individuals and businesses in India. The measures proposed in the budget will have positive implications for income tax, infrastructure development, education, healthcare, social welfare, and gender equality. It is important to stay informed about the provisions of the budget and their potential impact on you and your family. By understanding these measures, you can make informed decisions and plan for the future.
