Comprehensive Analysis of Union Budget 2024 | Initiatives, Schemes and Statistics Explained

00:29:18
https://www.youtube.com/watch?v=24jjOhiVAC4

Ringkasan

TLDRThe video presents an in-depth analysis of India's Union Budget for the fiscal year 2024-2025, marking Nirmala Sitaraman's seventh budget as Finance Minister and the first post-2024 general elections. The budget aims to position India towards becoming a developed nation by 2047, emphasizing priorities like agriculture, employment, and social justice. The total budget expenditure is ₹48.2 lakh crores, significantly higher than the expected revenue receipts of ₹32.7 lakh crores, leading to a fiscal deficit of ₹16.13 lakh crores (approximately 4.9% of GDP). Key taxation changes include increased capital gains tax rates and the abolition of Angel tax. The budget has received mixed feedback, praised for its long-term vision while criticized for shortcomings in inflation and unemployment concerns.

Takeaways

  • 📅 Union Budget presented on July 23, 2024.
  • 💰 Total expenditure of ₹48.2 lakh crores.
  • 📉 Fiscal deficit projected at 4.9% of GDP.
  • 🔍 Key priorities include agriculture and employment.
  • 📈 Long-term capital gains tax increased to 12.5%.
  • 🔄 Angel tax abolished to support startups.
  • 🧑‍🤝‍🧑 New schemes for youth skilling and job creation announced.
  • 🏢 Focus on urban development and infrastructure.
  • ⚖️ Mixed reactions from experts on budget effectiveness.
  • 📖 Historical context of India's budget process provided.

Garis waktu

  • 00:00:00 - 00:05:00

    On July 23, 2024, Union Finance Minister Nirmala Sitaraman presented the 2024-2025 Union Budget, marking her seventh consecutive presentation. This budget becomes crucial as it sets the governmental agenda for the next five years after the recently concluded general elections. The Prime Minister praised it as inclusive for all societal sections while concerns regarding inflation and unemployment were raised by the former Finance Minister, showcasing divided opinions in the public discourse surrounding this budget.

  • 00:05:00 - 00:10:00

    The Union Budget, presented annually, consists of planned government expenditure and revenue forecasts. The 2024 budget deviated from tradition by being presented later than February due to the general elections. The budget's classification is divided into revenue and capital budgets, with revenue focusing on routine government income and spending, while capital relates to assets. Notably, the term 'budget' itself is absent from the Indian Constitution, being referred to as the 'annual financial statement'.

  • 00:10:00 - 00:15:00

    The Union budget includes two main parts: the macroeconomic overview (Part A) and the finance bill (Part B), detailing taxation. Major budget documents are submitted alongside the budget speech, and a historical context reveals the merger of the railway budget with the general budget in 2016. The budget process involves multiple steps from presentation to appropriation to ensure parliamentary approval and public scrutiny.

  • 00:15:00 - 00:20:00

    The 2024-2025 budget is designed around the vision of a developed India by 2047, with a focus on boosting economy through targeted initiatives in agriculture, employment, human resources, and manufacturing. Priority sectors include agriculture's productivity, jobs, social justice, infrastructure, and innovation. Several new schemes aim to enhance skill development and support MSMEs, setting a robust foundation for growth in these areas.

  • 00:20:00 - 00:29:18

    The estimated budget expenditure for 2024-2025 is 48.2 lakh crores, with a significant increase noted from the previous year. However, revenue receipts project at 32.7 lakh crores, leading to a fiscal deficit of 16.13 lakh crores, indicating a reliance on borrowing. Tax reforms, particularly affecting capital gains taxes, have drawn criticism but also praise regarding their goal to foster investment. The budget aims to stimulate growth despite mixed reactions from various economic sectors.

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Peta Pikiran

Video Tanya Jawab

  • What is the main goal of the 2024 budget?

    The main goal is to outline the path towards a developed India by 2047.

  • What are the key priority areas in the budget?

    The key priority areas include agriculture, employment, social justice, manufacturing, urban development, energy security, infrastructure, innovation, and next-generation reforms.

  • What is the total budget expenditure for 2024-2025?

    The total budget expenditure for 2024-2025 is ₹48.2 lakh crores.

  • How much is the projected fiscal deficit?

    The projected fiscal deficit is ₹16.13 lakh crores, which is about 4.9% of GDP.

  • What changes were made to capital gains tax in this budget?

    Long-term capital gains tax was increased from 10% to 12.5%, and short-term capital gains tax increased from 15% to 20%.

  • How does the budget address unemployment?

    The budget includes schemes focusing on skilling 20 lakh youth and job creation in the manufacturing sector.

  • What are the major criticisms of the budget?

    Criticism includes concerns over inflation control, inadequate measures for unemployment, and increased capital gains tax.

  • What is the historical context of India's budget?

    India's first budget post-independence was presented in 1947; the budget is presented annually on February 1st, although this year it was delayed to July.

  • What are the revenue receipts expected in 2024-2025?

    The revenue receipts are projected to be ₹32.7 lakh crores.

  • What is the role of the halwa ceremony in the budgeting process?

    The halwa ceremony marks the start of the 'lock-in period' for finance ministry staff involved in budget preparation.

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Gulir Otomatis:
  • 00:00:00
    on 23rd of July 2024 Union Finance
  • 00:00:03
    Minister nirmala sitaraman presented the
  • 00:00:04
    union budget for the financial year 2024
  • 00:00:07
    2025 now this is her seventh consecutive
  • 00:00:10
    budget presentation and the first budget
  • 00:00:12
    presentation of the new government which
  • 00:00:14
    was formulated after the general
  • 00:00:15
    elections of 2024 hence it becomes even
  • 00:00:18
    more important because this budget will
  • 00:00:20
    lay the outline for the workings of the
  • 00:00:22
    government for the next 5 years and will
  • 00:00:24
    also show the path to the government for
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    the next consecutive four budgets which
  • 00:00:29
    is why this budget becomes very very
  • 00:00:30
    important for us to understand now
  • 00:00:32
    honorable prime minister Narendra Modi
  • 00:00:34
    has praised this budget and said that
  • 00:00:36
    this budget is for all sections of the
  • 00:00:38
    society and will help India in becoming
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    a wxit bat by the year 2047 so we help
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    in developed India by 2047 when India
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    completes 100 Years of its independence
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    however former Finance Minister pamam
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    while highlighting the criticisms of the
  • 00:00:52
    budget said that this budget fails to
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    assure to the people of India that how
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    inflation would be controlled in the
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    country and he also highlighted the
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    concerns in relation to unemployment
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    situation in our country and said that
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    this budget gives too little for
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    improving the condition of
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    unemployment now as always many quarters
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    have praed this budget for different
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    aspects and several other quarters have
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    criticized this budget highlighting some
  • 00:01:17
    missed opportunities and lack of
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    importance given to certain sectors so
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    what the budget of 2024 is all about
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    what are the changes highlights and
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    initiatives introduced in the budget
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    what are the positives and negatives of
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    of the budget and all the other
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    analytical aspects which we need to know
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    in relation to the budget we'll be
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    trying to understand in this particular
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    session hello my name is pretal Singh
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    and today we would be analyzing the
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    budget of 2024 now let's start from the
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    very Basics and let us try to understand
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    that what does this term government
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    budget means so budget is a forecast of
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    the government's expenditure and revenue
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    for the coming next year the first
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    budget of pre-independent India was
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    presented in the year 1816 by the person
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    named as James Wilson of the British
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    Indian government now after Independence
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    India's first budget was presented in
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    1947 by the then Finance Minister RK
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    Shan mukham chti Union budget is
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    presented every year on 1st of February
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    by the Finance Minister in Lok SAA
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    however the union budget for 2024 20125
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    was presented on 23rd of July 2024 the
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    reason is that interim budget was
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    presented in February 2024 and why this
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    was the case because this year was the
  • 00:02:26
    year of general elections now as per
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    article 112 the president shall in
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    respect of every Financial year causes
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    to be laid before both the houses of the
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    parliament a statement of the estimated
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    recepts and expenditure of the
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    government of India for the year in that
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    part it is referred to as annual
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    financial statement so budget is known
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    as annual financial statement as per the
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    article 112 of Indian constitution so
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    interesting thing to note here is that
  • 00:02:52
    the term budget does not find any
  • 00:02:54
    mention in the constitution of India and
  • 00:02:56
    what is mentioned in the constitution of
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    India the annual financial statement now
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    theoretically speaking if you have to
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    understand the classification of a
  • 00:03:03
    budget budget is classified under two
  • 00:03:05
    categories one is the revenue budget
  • 00:03:07
    another is the capital budget now the
  • 00:03:08
    revenue budget deals with the regular
  • 00:03:10
    reips and the regular expenditure of the
  • 00:03:12
    government and the capital budget it
  • 00:03:14
    deals with basically the assets and
  • 00:03:15
    liabilities and changes in the assets
  • 00:03:17
    and liabilities in relation to the
  • 00:03:19
    government we'll understand how it is
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    the case if we see the revenue budget it
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    is divided again under two categories
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    one is revenue receips another is
  • 00:03:27
    revenue expenditure now Revenue receips
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    in involves the incomes or the recepts
  • 00:03:31
    of the government in relation to its
  • 00:03:33
    ordinary course of governance so these
  • 00:03:35
    recepts does not create any liability
  • 00:03:37
    and does not lead to reduction of any
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    assets of the government of India and
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    they are in turn classified into tax and
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    non-t tax reips and on the other hand
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    Revenue expenditure is the expenditure
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    incurred by the government of India in
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    its day-to-day functioning in its
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    regular day-to-day
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    functioning now this expenditure does
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    not lead to creation of any asset and
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    does not lead to reduction of any
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    liability as and this is what the
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    revenue budget entails the other part of
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    the budget is the capital budget and
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    capital budget again is classified under
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    two heads one is the capital receips and
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    one is capital expenditure now Capital
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    receips are the receips which creates
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    any form of liability for the government
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    or leads to reduction of any assets of
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    the government so for example loans they
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    create liability for the government so
  • 00:04:20
    are capital receips or for example
  • 00:04:22
    disinvestment they lead to reduction of
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    assets for the government and that is
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    why they are part of capital reips
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    another part is capital expendition
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    now any expenditure which leads to
  • 00:04:32
    creation of any asset or reduction of
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    any liability of the government of India
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    is what we call as capital expenditure
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    for example repayment of loans it leads
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    to reduction of liability for the
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    government and hence it is a capital
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    expenditure or creation or money spent
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    on building roads building Railways it
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    leads to creation of assets for the
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    government of India and hence again it
  • 00:04:51
    is a capital expenditure so again this
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    is what the capital part of the budget
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    entails and there is a budget division
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    under the Department of Economic affairs
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    which is really having the task of
  • 00:05:01
    preparation of the Union budget now
  • 00:05:03
    budget is presented by the union Finance
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    Minister consisting of two parts Part A
  • 00:05:08
    and Part B so basically part A is the
  • 00:05:11
    macroeconomic part of the budget where
  • 00:05:13
    new schemes and priorities of the
  • 00:05:15
    government are announced and allocation
  • 00:05:17
    to different sectors are made Part B
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    deals with the finance bill which
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    basically contains taxation proposal and
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    how the government would be taxing the
  • 00:05:26
    public of India or the people of India
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    in relation to income tax that is direct
  • 00:05:30
    access and indirect access now major
  • 00:05:32
    budget documents apart from the finance
  • 00:05:34
    Minister's budget speech which are
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    presented to the parliament are the
  • 00:05:38
    annual financial statement under the
  • 00:05:39
    article 112 demand for Grants under
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    article 113 finance bill under article0
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    and fiscal policy statements which are
  • 00:05:48
    mentioned under the F frbm Act of 2003
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    that is fiscal responsibility and budget
  • 00:05:53
    management Act of 2003 now under that
  • 00:05:55
    there are two basic statements first is
  • 00:05:57
    the macroeconomic framework statement
  • 00:05:59
    and and another is the medium-term
  • 00:06:00
    fiscal policy come fiscal policy
  • 00:06:03
    strategy statement now very interesting
  • 00:06:05
    thing to note here is that before the
  • 00:06:06
    year 2016 there were two separate
  • 00:06:09
    budgets which were presented in the
  • 00:06:10
    parliament one was the General budget
  • 00:06:12
    and another was the railway budget and
  • 00:06:14
    this practice for separate Railway
  • 00:06:15
    budget was started in the year
  • 00:06:17
    1924 and was done on the recommendation
  • 00:06:20
    of awwards committee however in 2016 a
  • 00:06:23
    committee composed of B de Bry and Kish
  • 00:06:26
    Desai suggested and recommended that
  • 00:06:28
    this exercise should scrapped so on 21st
  • 00:06:31
    of September 2016 the railway budget was
  • 00:06:34
    merged with the general budget and from
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    2017 onwards only single budget that is
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    the general budget was presented before
  • 00:06:40
    the parliament of India now if you have
  • 00:06:42
    to understand the entire process of
  • 00:06:44
    budgeting in our country it can broadly
  • 00:06:46
    be divided under five different steps
  • 00:06:49
    first step is when the budget is
  • 00:06:50
    presented in the Locs SAA second is the
  • 00:06:52
    general discussion on the budget in both
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    of the houses third is when the standing
  • 00:06:57
    committees they scrutinizes individual
  • 00:06:59
    min demand for Grants the fourth step is
  • 00:07:02
    the detailed discussion and voting on
  • 00:07:04
    demand for grants in the Lo SAA and last
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    stage is the appropriation and the
  • 00:07:08
    finance bill passing so it is the stage
  • 00:07:10
    where the appropriation bill and the
  • 00:07:12
    finance bill is passed by the parliament
  • 00:07:14
    of India and budget is deemed to be
  • 00:07:15
    passed by the country so the printing of
  • 00:07:18
    the budget basically starts one week
  • 00:07:20
    before the presentation of the budget in
  • 00:07:21
    the Parliament and it starts with the
  • 00:07:23
    halwa ceremony where halwa is prepared
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    in large quantities and is served to the
  • 00:07:27
    officials and the support staff which
  • 00:07:29
    were involved in making the budget now
  • 00:07:31
    this halwa ceremony also starts the
  • 00:07:33
    lockin period for the finance ministry
  • 00:07:35
    staff where they cannot come in contact
  • 00:07:37
    with the outside world now earlier this
  • 00:07:39
    lockin period lasted for long it lasted
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    for 2 weeks or 3 weeks now it just lasts
  • 00:07:44
    for one week because of the digital
  • 00:07:46
    presentation of the budget and
  • 00:07:47
    requirement of the budget not to be
  • 00:07:49
    printed more on 1st of February 2021
  • 00:07:52
    Finance Minister Nala siar Raman
  • 00:07:54
    presented the first paperless budget of
  • 00:07:56
    Independent India she took a digital
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    tablet which was wrapped in a bik Kata
  • 00:08:01
    styled Bouch and it was considered as a
  • 00:08:03
    move to strengthen the movement of
  • 00:08:05
    digital India in our country now as the
  • 00:08:07
    established tradition Finance Minister
  • 00:08:09
    first meets the president and asks for
  • 00:08:11
    the ENT of the president in the
  • 00:08:12
    rashtrapati bav before leaving for the
  • 00:08:14
    parliament for the presentation of the
  • 00:08:15
    budget also a meeting of the Union
  • 00:08:18
    cabinet is also held at 10:00 a.m. in
  • 00:08:20
    the morning on 1st of February and after
  • 00:08:22
    getting know from the cabinet Finance
  • 00:08:24
    Minister then presents the budget in the
  • 00:08:25
    parliament now since we have in-depth
  • 00:08:28
    understanding of the annual Finance
  • 00:08:29
    statement or the union budget of India
  • 00:08:31
    let us try to analyze the union budget
  • 00:08:33
    of 2024
  • 00:08:35
    2025 now first thing which we need to
  • 00:08:38
    understand is that this particular
  • 00:08:39
    budget is built on the road map of vixit
  • 00:08:42
    bhat that is developed India by the year
  • 00:08:44
    2047 and primarily this budget will be
  • 00:08:47
    focusing on four major costs that is
  • 00:08:49
    women youth poor and farmers and this
  • 00:08:52
    was also highlighted in the speech of
  • 00:08:54
    the Union Finance Minister as well and
  • 00:08:56
    also the budget theme is under four
  • 00:08:58
    different Cate categories that is
  • 00:09:00
    employment Skilling msmes and middle
  • 00:09:03
    class as well also this particular
  • 00:09:05
    budget has highlighted nine key priority
  • 00:09:07
    areas which our country would be
  • 00:09:09
    focusing in the next one year and where
  • 00:09:11
    the major outlay of the government would
  • 00:09:12
    be the first priority area is the
  • 00:09:15
    productivity and resilience in the
  • 00:09:16
    agriculture sector so agriculture sector
  • 00:09:18
    is the first priority area second is the
  • 00:09:20
    employment and Skilling third is the
  • 00:09:22
    inclusive and human resource development
  • 00:09:25
    which also involves social justice
  • 00:09:27
    fourth is manufacturing and service
  • 00:09:29
    sector fifth is the Urban Development
  • 00:09:32
    sixth is energy security seventh is the
  • 00:09:34
    focus on infrastructure development
  • 00:09:36
    eighth is the focus on Innovation
  • 00:09:38
    research and development in the country
  • 00:09:39
    and last but not the least is the focus
  • 00:09:41
    on Next Generation reforms for our
  • 00:09:43
    country all these key priority areas
  • 00:09:46
    combined together will lead to our
  • 00:09:48
    country becoming developed by the year
  • 00:09:49
    2047 and that is what our budget also
  • 00:09:52
    entails and focuses on now in all these
  • 00:09:54
    key priority areas there have been
  • 00:09:56
    several new initiatives which have been
  • 00:09:57
    announced by the government of India if
  • 00:09:59
    we talk about the first priority area
  • 00:10:01
    that is agriculture sector in
  • 00:10:03
    agriculture sector the government would
  • 00:10:04
    primarily be focusing on transforming
  • 00:10:06
    agricultural research transforming
  • 00:10:08
    research and development in the
  • 00:10:09
    agriculture sector and also focusing on
  • 00:10:11
    vegetable production and the Supply
  • 00:10:13
    Chain management in this particular
  • 00:10:15
    sector also additional to this close to
  • 00:10:17
    109 High yielding variety of climate
  • 00:10:20
    resilient varieties of 32 horiculture
  • 00:10:22
    crops will be released for the
  • 00:10:24
    cultivation of the farmers and also onek
  • 00:10:27
    Farmers would be initiated into natural
  • 00:10:29
    farming in our country now natural
  • 00:10:32
    farming as you know is very climate
  • 00:10:33
    friendly and is also very much important
  • 00:10:36
    for climate goals which our country has
  • 00:10:38
    set now government is coming with a new
  • 00:10:40
    centrally sponsored scheme for Skilling
  • 00:10:42
    the Youth of our country if you remember
  • 00:10:43
    we are already having skill India
  • 00:10:45
    program working in our country
  • 00:10:46
    additional to this a new initiative
  • 00:10:48
    would be coming up with the motive of
  • 00:10:49
    Skilling 20 lakh youths in our country
  • 00:10:52
    in the next 5 years and also close to
  • 00:10:54
    1,000 industrial training institutes
  • 00:10:56
    will be reamed and remade also the
  • 00:10:58
    course content and the design and the
  • 00:11:00
    curriculum of the courses will also be
  • 00:11:02
    changed suiting the industry demands
  • 00:11:04
    also a new scheme for the internship in
  • 00:11:06
    top 500 companies for one CR youth in
  • 00:11:09
    our country will also be launched so it
  • 00:11:11
    is basically a new internship scheme for
  • 00:11:14
    the Youth of our country which will be
  • 00:11:15
    sponsored by the government and
  • 00:11:17
    additional to this three more schemes in
  • 00:11:19
    relation to those who are joining the
  • 00:11:20
    job for the first time second scheme for
  • 00:11:22
    the job creation in the manufacturing
  • 00:11:24
    sector and third scheme to support the
  • 00:11:26
    employers would also be launched in the
  • 00:11:28
    coming year now coming to the third
  • 00:11:30
    priority area in relation to inclusive
  • 00:11:32
    human resource development and social
  • 00:11:34
    justice now to ensure this government
  • 00:11:36
    has come up with the concept of purvia
  • 00:11:38
    that is vikas b vasad b it is basically
  • 00:11:41
    a plan for Endor rich areas in our
  • 00:11:43
    country to generate economic growth to
  • 00:11:46
    attain vixit bat by 2047 and allocation
  • 00:11:49
    of close to 3 lakh cres for women and
  • 00:11:51
    children in our country would also
  • 00:11:53
    promote social justice in our country in
  • 00:11:55
    a holistic way and also for the
  • 00:11:57
    northeastern region in our country to
  • 00:11:58
    boost Financial inclusion in the region
  • 00:12:00
    and to boost connectivity close to 100
  • 00:12:03
    Indian post payment banks will be
  • 00:12:04
    constructed or will be made now in
  • 00:12:07
    relation to the manufacturing and
  • 00:12:08
    services as well credit guarantee scheme
  • 00:12:10
    for msmes will be announced new
  • 00:12:12
    assessment model for msme credit will be
  • 00:12:14
    announced mudra loans limit has been
  • 00:12:16
    enhanced to 20 lakh from the current 10
  • 00:12:18
    lakh Rupees and also several other
  • 00:12:20
    opportunities in relation to internship
  • 00:12:22
    has also been promoted to ensure
  • 00:12:24
    manufacturing and the service sector of
  • 00:12:26
    our country becomes robust now in
  • 00:12:27
    relation to the Urban Development there
  • 00:12:29
    have been changes made in the stam Duty
  • 00:12:31
    and the government of India has
  • 00:12:32
    encouraged the states to lower stamp
  • 00:12:34
    Duty for the properties purchased by
  • 00:12:36
    women also the government of India is
  • 00:12:39
    envisioning a scheme to develop 100
  • 00:12:41
    weekly huts and street food hubs in the
  • 00:12:43
    select cities also there have been
  • 00:12:44
    changes made in relation to Transit
  • 00:12:46
    oriented development water management
  • 00:12:48
    and pradhanmantri AAS yoga Urban 2.0 as
  • 00:12:51
    well now in relation to energy security
  • 00:12:53
    as well there have been several
  • 00:12:54
    initiatives with private sector and
  • 00:12:56
    nuclear energy as well whether it be
  • 00:12:58
    bhat small reactor or whether it be
  • 00:13:00
    promotion of R&D of the bat small
  • 00:13:02
    modular reactor and newer Technologies
  • 00:13:04
    for the nuclear energy as well Pumped Up
  • 00:13:06
    Storage policies there then a USC
  • 00:13:08
    thermal power plants and energy audit
  • 00:13:11
    and PM suar mu B Yoga has been envisaged
  • 00:13:14
    in this particular budget now in
  • 00:13:16
    relation to the infrastructure sector
  • 00:13:18
    close to 11.11 lakh that is 3.4% of the
  • 00:13:22
    GDP has been provisioned by the
  • 00:13:23
    government of India also several
  • 00:13:25
    initiatives to promote irrigation and
  • 00:13:27
    flood mitigation and tourism in our
  • 00:13:29
    country have also been introduced in the
  • 00:13:30
    budget of 2024 in relation to the
  • 00:13:33
    Innovation research and development as
  • 00:13:34
    well there have been operationalization
  • 00:13:37
    of anusandhan national research fund for
  • 00:13:39
    basic research and prototype development
  • 00:13:41
    as well and also the private sector
  • 00:13:43
    driven approach and innovation has been
  • 00:13:46
    there in the union budget as well and in
  • 00:13:48
    relation to the Next Generation reforms
  • 00:13:50
    rural and urban land related reforms
  • 00:13:52
    have been initiated by the government of
  • 00:13:54
    India it might include the unique land
  • 00:13:56
    partiel identification number or bhadar
  • 00:13:58
    for all the land and several other land
  • 00:14:00
    record measures and land reform measures
  • 00:14:02
    as well also the provision of NPS Vela a
  • 00:14:06
    plan for the contribution by the parents
  • 00:14:08
    and Guardians for the minor or whether
  • 00:14:09
    it be the changes in the new pension
  • 00:14:11
    scheme all the things have been
  • 00:14:12
    initiated in the budget of
  • 00:14:14
    2024 now since we have understood that
  • 00:14:17
    what all measures the government has
  • 00:14:19
    taken in relation to all the nine key
  • 00:14:21
    priority areas one more thing which I'd
  • 00:14:23
    like to add here is now if you want to
  • 00:14:25
    understand all these initiatives of nine
  • 00:14:27
    key priority areas in bit more detail we
  • 00:14:30
    have attached a PDF in the description
  • 00:14:32
    section of this particular video you can
  • 00:14:34
    use the PDF and understand more about
  • 00:14:36
    the budget
  • 00:14:37
    20124 and now since we have understood
  • 00:14:39
    all these things let us try to make
  • 00:14:41
    sense of different statistics which are
  • 00:14:43
    mentioned in the budget of 20124 and let
  • 00:14:46
    us try to analyze those statistics as
  • 00:14:47
    well now as you would remember initially
  • 00:14:50
    I told you there are two parts of the
  • 00:14:51
    budget one is the capital budget and one
  • 00:14:53
    is the revenue budget now Revenue budget
  • 00:14:55
    and the capital budget basically are
  • 00:14:57
    having two components again that is
  • 00:14:59
    expenditure component and receipts
  • 00:15:01
    component so let us start one by one let
  • 00:15:03
    us look at the expenditure first and
  • 00:15:05
    then we will look at the receipts so the
  • 00:15:07
    budget expenditure for the year 2024
  • 00:15:09
    2025 is close to 48.2 lakh crores which
  • 00:15:13
    is basically
  • 00:15:15
    88.5% higher than that of previous year
  • 00:15:18
    out of this 48.2 lakh cres 37.1 lakh is
  • 00:15:22
    the revenue expenditure which again
  • 00:15:24
    means the routine expenditure which is
  • 00:15:26
    done on the day-to-day workings of the
  • 00:15:28
    government which includes salaries
  • 00:15:29
    pensions or any other expenditure of the
  • 00:15:31
    government which is of day-to-day
  • 00:15:33
    activity and additional 11.11 lakh cros
  • 00:15:36
    is the capital expenditure of the
  • 00:15:38
    government of India which we also call
  • 00:15:39
    as capex that is money spent by the
  • 00:15:41
    government of India on creation of
  • 00:15:43
    various assets for example building dams
  • 00:15:46
    roadways Railways ports buildings and
  • 00:15:49
    several other asset classes as well now
  • 00:15:51
    if we see the budget allocation to
  • 00:15:52
    different Ministries that is the
  • 00:15:54
    expenditure incurred on different
  • 00:15:55
    Ministries the defense Ministry gets
  • 00:15:57
    close to 6.2 lakus the road transport
  • 00:16:00
    and Highway Ministry it got close to
  • 00:16:02
    2.78 lakus railway Ministry got close to
  • 00:16:06
    2.55 lakos and few other important
  • 00:16:08
    Ministries like Agriculture and farmer
  • 00:16:10
    welfare got allocated 1.32 lakos or the
  • 00:16:14
    Ministry of Education was allocated 1.2
  • 00:16:16
    lakh and Ministry of Health and Family
  • 00:16:18
    welfare got close to
  • 00:16:21
    9,959 cres now all these data sets at an
  • 00:16:25
    approximate value are important for us
  • 00:16:27
    to understand and to know as as well and
  • 00:16:29
    also one very interesting thing to note
  • 00:16:31
    here is that the interest payments
  • 00:16:33
    account for close to 24% of the total
  • 00:16:36
    expenditure of the government of India
  • 00:16:38
    now since we have understood the total
  • 00:16:39
    expenditure that is the budget
  • 00:16:41
    expenditure let us move towards budget
  • 00:16:43
    receips that is the money which the
  • 00:16:45
    government receives now what you have to
  • 00:16:47
    understand here is that all these datas
  • 00:16:49
    are the projected expenditure and the
  • 00:16:51
    projected receipts of the government of
  • 00:16:52
    India for the coming Financial year that
  • 00:16:54
    is the financial year of 2024 and 2025
  • 00:16:58
    so all these dat datas are projected
  • 00:17:00
    after that there will be datas released
  • 00:17:02
    for the actual classification now in the
  • 00:17:04
    next year the actual data the actual
  • 00:17:06
    reips and the actual expenditure data
  • 00:17:08
    will also be released by the government
  • 00:17:09
    of India all these datas which we are
  • 00:17:11
    studying right now are the projected
  • 00:17:12
    datas the total recepts of the
  • 00:17:14
    government of India expected in this
  • 00:17:16
    financial year is close to 32.7 lakh
  • 00:17:19
    Euros which is 15% more than the last
  • 00:17:21
    year and out of this 32.7 lakh Ros close
  • 00:17:25
    to 31.2 N lakh Ros is the revenue
  • 00:17:28
    receipts
  • 00:17:29
    that means it includes tax revenues like
  • 00:17:31
    income tax corporation tax indirect tax
  • 00:17:33
    and several other taxes as well and
  • 00:17:35
    close to 78,000 crores is in the form of
  • 00:17:38
    capital recepts that is in relation to
  • 00:17:40
    changes in assets and liabilities of the
  • 00:17:42
    government now first of all let us see
  • 00:17:44
    the taxation part separately the gross
  • 00:17:46
    tax revenue of the government is
  • 00:17:48
    projected to be close to 38.4 lakh so
  • 00:17:52
    10.2 L cor out of this whole amount
  • 00:17:54
    would be received by the government of
  • 00:17:56
    India in the form of corporation tax
  • 00:17:58
    close to 11.87 lakh would be received by
  • 00:18:02
    the government in relation to the taxes
  • 00:18:03
    on income that is income tax and close
  • 00:18:06
    to 10.6 lakh is the expected Revenue out
  • 00:18:09
    of the goods and services tax for the
  • 00:18:11
    government of India and additional to
  • 00:18:13
    this the revenue from the customs and
  • 00:18:15
    the excise duties will also be there now
  • 00:18:17
    if we see very closely we understood
  • 00:18:20
    that 48.2 lakh will be the total
  • 00:18:22
    expenditure that is the total budget
  • 00:18:24
    expenditure and 32.7 lakh cres will be
  • 00:18:27
    the total receips of the government that
  • 00:18:29
    is the budget recepts of the government
  • 00:18:30
    now what we can see clearly and what we
  • 00:18:33
    can observe clearly here is that the
  • 00:18:34
    expenditure of the government of India
  • 00:18:36
    is higher a lot lot higher than that of
  • 00:18:39
    the recepts of the government of India
  • 00:18:41
    that means the money which the
  • 00:18:42
    government of India would be spending is
  • 00:18:44
    much higher than what the government of
  • 00:18:45
    India would be receiving which clearly
  • 00:18:48
    shows and which clearly means that
  • 00:18:49
    government of India needs to borrow the
  • 00:18:52
    additional money for meeting its
  • 00:18:53
    expenditure and that borrowed money is
  • 00:18:56
    what we call as fiscal deficit so the
  • 00:18:58
    difference between 48.2 lak and 32.7 lak
  • 00:19:03
    is close to 16.13 lak and this 16.13
  • 00:19:07
    lakh becomes the total borrowings which
  • 00:19:10
    the government has to make in order to
  • 00:19:12
    ensure that they meet its expenditure
  • 00:19:14
    and this 16.13 lakh row will be the
  • 00:19:17
    fiscal deficit of our country now in
  • 00:19:19
    simple terms fiscal deficit basically
  • 00:19:22
    refers to the excess of expenditure in
  • 00:19:24
    relation to the receips of the
  • 00:19:25
    government so it is the amount by which
  • 00:19:28
    the government expenditure exceeds the
  • 00:19:30
    government's receipts in a particular
  • 00:19:32
    fiscal year or a particular Financial
  • 00:19:33
    year and it indicates the total
  • 00:19:36
    borrowings which the government has to
  • 00:19:38
    make now you must have heard of a very
  • 00:19:39
    famous act that is fiscal responsibility
  • 00:19:42
    and budget management Act of 2003 that
  • 00:19:44
    is fbm act of 2003 now it requires the
  • 00:19:47
    government of India to progressively
  • 00:19:49
    reduce its fiscal deficit levels and it
  • 00:19:51
    is having certain targets which the
  • 00:19:53
    government of India has to achieve in
  • 00:19:55
    the coming few years in order to contain
  • 00:19:57
    its fiscal deficit the estimated fiscal
  • 00:19:59
    deficit for the year 2024 2025 would be
  • 00:20:03
    close to 4.9% of the GDP now whereas the
  • 00:20:06
    actual fiscal deficit for the last year
  • 00:20:08
    was close to 5.6% of the GDP also if you
  • 00:20:11
    remember in the year 2021 the fiscal
  • 00:20:14
    deficit of our country was close to
  • 00:20:17
    99.2% and now since it is 4.9% for the
  • 00:20:20
    projected next year we have come a long
  • 00:20:22
    way and we have improved our fiscal
  • 00:20:24
    deficit position because of fiscal
  • 00:20:26
    consolidation and fiscal Prudence in our
  • 00:20:28
    country and if you continue doing this
  • 00:20:30
    the government of India will reach the
  • 00:20:32
    fbm target of 3% fiscal deficit by the
  • 00:20:34
    year 2028 now also additional to the
  • 00:20:37
    fiscal deficit the projected Revenue
  • 00:20:39
    deficit would be 1.8% and the projected
  • 00:20:42
    primary deficit would be close to 1.4%
  • 00:20:45
    of the GDP now the revenue deficit is
  • 00:20:47
    very simple it is basically the amount
  • 00:20:50
    to which Revenue expenditure exceeds the
  • 00:20:51
    revenue receipts however primary deficit
  • 00:20:54
    basically involves fiscal deficit minus
  • 00:20:56
    the interest payments so in reality it
  • 00:20:58
    basically shows the government's total
  • 00:21:00
    borrowing excluding the interest
  • 00:21:02
    payments or excluding the interests now
  • 00:21:05
    all these datas if we see very
  • 00:21:07
    objectively they are very very important
  • 00:21:09
    for our understanding for our
  • 00:21:11
    examination and for our analytical
  • 00:21:13
    perspective as well now if we see the
  • 00:21:15
    reforms of Taxation in relation to
  • 00:21:17
    taxation several reforms have also been
  • 00:21:18
    initiated by the government in this
  • 00:21:20
    Union budget 2024 first change is in
  • 00:21:22
    relation to the income tax rate slabs
  • 00:21:25
    now in your screen you'll be seeing the
  • 00:21:26
    new regime for the income tax slabs in
  • 00:21:28
    our country which have been introduced
  • 00:21:29
    by this particular budget now additional
  • 00:21:31
    to this the Finance Minister has
  • 00:21:33
    announced a comprehensive review of the
  • 00:21:35
    Income Tax Act of 1961 to make it more
  • 00:21:38
    clear concise easy to read and efficient
  • 00:21:42
    the aim is to reduce disputes reduce
  • 00:21:44
    litigations and to ensure tax certainty
  • 00:21:47
    for the taxpayers which is very very
  • 00:21:48
    important for a country which is aiming
  • 00:21:50
    to become developed by the year 2047 the
  • 00:21:52
    government has also introduced viad
  • 00:21:54
    vishwas scheme 2024 for resolution of
  • 00:21:57
    income tax disputes and pending appeals
  • 00:21:59
    which are ongoing and also one more
  • 00:22:01
    critical change because of which the
  • 00:22:03
    government has been criticized from
  • 00:22:04
    several quarters is the change in the
  • 00:22:06
    short-term and long-term capital gains
  • 00:22:08
    tax now first of all let us try to
  • 00:22:10
    understand what is this capital gains
  • 00:22:11
    term so capital gains is basically a
  • 00:22:13
    economic concept which deals with the
  • 00:22:15
    profit earned of the sale of an asset
  • 00:22:17
    over a period of time when its value has
  • 00:22:20
    increased now these capital gains can
  • 00:22:22
    either be short-term or can be long-term
  • 00:22:24
    depending on the holding period And
  • 00:22:26
    there are several classifications to it
  • 00:22:28
    as well based on different asset classes
  • 00:22:30
    in the budget of 2024 the tax on
  • 00:22:33
    long-term capital gains has been
  • 00:22:35
    increased from 10% which was earlier
  • 00:22:37
    present to
  • 00:22:38
    12.5% so the long-term capital gains tax
  • 00:22:41
    will now be
  • 00:22:42
    12.5% also short-term capital gain tax
  • 00:22:45
    have been increased from 15% to 20% so
  • 00:22:48
    now the short-term capital gains tax
  • 00:22:50
    will be 20% of the capital gains now
  • 00:22:53
    this move has been criticized from
  • 00:22:55
    several quarters from the different
  • 00:22:56
    business groups from the stock market
  • 00:22:58
    experts and from common people as well
  • 00:23:01
    complaining that this might reduce the
  • 00:23:02
    investors confidence and might
  • 00:23:04
    demotivate the investors to invest in
  • 00:23:07
    capital Assets Now Shan shetti who MD at
  • 00:23:10
    Primus Partners has said that increase
  • 00:23:12
    in the long-term capital gains tax might
  • 00:23:15
    lead to Investments moving to
  • 00:23:17
    unproductive assets like gold or real
  • 00:23:19
    estates also stock market has also
  • 00:23:22
    reacted very negatively to these changes
  • 00:23:24
    both sensex and Nifty indices show a
  • 00:23:27
    significant drop on the day budget 2024
  • 00:23:29
    was announced now comprehensively
  • 00:23:31
    understanding this capital gains
  • 00:23:33
    short-term and long-term capital gains
  • 00:23:34
    tax would require a separate session of
  • 00:23:36
    its own so do let me know in the comment
  • 00:23:38
    section that should we have a separate
  • 00:23:39
    session for capital gains and short-term
  • 00:23:41
    and long-term capital gains Stacks or
  • 00:23:42
    not now additional to this there was one
  • 00:23:45
    more crucial change which was made that
  • 00:23:47
    was the abolition of Angel tax now this
  • 00:23:49
    step has been appreciated from a lot of
  • 00:23:51
    quarters especially from the startup
  • 00:23:53
    community of our country now the major
  • 00:23:55
    aim of the government to take this step
  • 00:23:57
    is to bolster the startup ecosystem in
  • 00:23:59
    our country now let us understand what
  • 00:24:01
    is this Angel tax Angel tax is basically
  • 00:24:03
    the tax imposed by the government on
  • 00:24:05
    funding received by the unlisted
  • 00:24:07
    companies or the startups now if the
  • 00:24:09
    investment received by the startup is
  • 00:24:12
    greater than the fair market value then
  • 00:24:14
    the angel tax comes into play and it was
  • 00:24:16
    levied at a hefty rate of 30% and has
  • 00:24:19
    now been abolished also the corporate
  • 00:24:22
    tax for the foreign companies has been
  • 00:24:24
    reduced from 40% to 35% again which is a
  • 00:24:27
    appreciable move now one more change
  • 00:24:29
    because of which the budget has been
  • 00:24:30
    criticized a lot is the increase in the
  • 00:24:32
    Securities transaction tax by the
  • 00:24:34
    government of India so security
  • 00:24:36
    transaction tax is the tax payable on
  • 00:24:38
    the Securities transacted in a
  • 00:24:40
    recognized Stock Exchange in our country
  • 00:24:42
    so security transaction tax on Futures
  • 00:24:44
    have been increased to 0.02% and on
  • 00:24:47
    options it has been increased to 0.1%
  • 00:24:50
    now ashir grower the founder and ex
  • 00:24:52
    managing director of bat pay has said
  • 00:24:54
    that this budget lacks the spine and
  • 00:24:56
    juice to bolster our economic growth to
  • 00:24:58
    13 or 14% a year he also remarked that
  • 00:25:01
    if the budget was not announced at all
  • 00:25:03
    still India is having the ability to
  • 00:25:04
    grow at a 6 to 7% growth rate every year
  • 00:25:07
    uh of the new government right so is the
  • 00:25:09
    first out of the 5 years and uh what
  • 00:25:12
    your expectation is that you will take
  • 00:25:14
    some strong decisions in the in the
  • 00:25:16
    first one because that gives you the
  • 00:25:18
    political leeway in some sense from a 7%
  • 00:25:21
    GDP which we can achieved without any
  • 00:25:23
    budget being announced to an actual 12
  • 00:25:25
    15% GDP growth hence the budget's role
  • 00:25:28
    is to amplify things and to take the 6
  • 00:25:30
    7% growth rate to 13 14% growth rate a
  • 00:25:33
    year this is what he had to say now many
  • 00:25:36
    experts believe that government's action
  • 00:25:38
    or the government's step of taxing more
  • 00:25:40
    spending more and borrowing more is not
  • 00:25:42
    a very good step experts suggests that
  • 00:25:45
    more money should be left at the
  • 00:25:47
    disposal of the private businesses so
  • 00:25:49
    that they can create more jobs either
  • 00:25:50
    they could spend the money for
  • 00:25:51
    consumption or they could spend the
  • 00:25:53
    money for investments in both of the
  • 00:25:55
    cases job creation will tremendously
  • 00:25:57
    increase and if players are having more
  • 00:25:59
    investable Surplus with them definitely
  • 00:26:01
    they will invest the Surplus in the
  • 00:26:03
    whole economy and eventually economic
  • 00:26:05
    growth will Propel a sneer Grover also
  • 00:26:07
    suggested a single tax rate in relation
  • 00:26:09
    to income tax for our country and
  • 00:26:11
    suggested that there should be 20% tax
  • 00:26:13
    rate for any income earned above the
  • 00:26:15
    tune of 10 lakh Rupees per anom he said
  • 00:26:18
    that removal of income tax lab would
  • 00:26:20
    make the system more effective and more
  • 00:26:22
    efficient because these multiple income
  • 00:26:24
    tax laabs are not doing any good to the
  • 00:26:26
    people of our country and to the
  • 00:26:27
    government Checker as well it is just
  • 00:26:29
    complicating the process and also
  • 00:26:31
    benefiting the Chartered Accountants who
  • 00:26:33
    are charging Hefty amounts of money or
  • 00:26:34
    Hefty fees for filing the income tax
  • 00:26:37
    returns of the common people he also
  • 00:26:39
    suggested that the distinction of
  • 00:26:40
    short-term capital gains and long-term
  • 00:26:42
    capital gains should be removed allog
  • 00:26:44
    together and 10% capital gains tax
  • 00:26:46
    should have been imposed on all types of
  • 00:26:48
    capital gains to again make the system
  • 00:26:50
    more effective and more simpler now many
  • 00:26:53
    experts were also expecting several
  • 00:26:54
    overhaul reforms in relation to goods
  • 00:26:56
    and services taxs in our country but no
  • 00:26:58
    such reforms were announced or
  • 00:27:00
    introduced in this particular budget and
  • 00:27:02
    a single uniform tax rate or indirect
  • 00:27:04
    tax rate for the whole country Still
  • 00:27:06
    Remains a distant dream also several
  • 00:27:09
    academicians and experts have pointed
  • 00:27:10
    out that this increase in the capital
  • 00:27:12
    gains tax in our country would be
  • 00:27:14
    drastically impacting our country in a
  • 00:27:15
    negative way because there are many
  • 00:27:17
    other countries like Singapore Dubai or
  • 00:27:19
    many other tax Heavens which are having
  • 00:27:21
    essentially 0% or very very low capital
  • 00:27:23
    gain taxs so it might lead to outflow of
  • 00:27:26
    capital from our country to these taxes
  • 00:27:28
    Heavens now we have to understand that
  • 00:27:30
    many people including High net worth
  • 00:27:32
    individuals they focus a lot on return
  • 00:27:35
    on their taxes and if the return on
  • 00:27:37
    their taxes is negative or negligible
  • 00:27:39
    then they would be wanting to migrate to
  • 00:27:41
    other countries for example again
  • 00:27:42
    Ireland Dubai Singapore macius kimman
  • 00:27:46
    islands and several other tax Heavens as
  • 00:27:48
    well we have covered this phenomena in
  • 00:27:50
    detail in a separate video you can go
  • 00:27:52
    through it for your better understanding
  • 00:27:54
    now as always definitely there are two
  • 00:27:56
    sides of the coin so if there are
  • 00:27:57
    criticism and concerns there are
  • 00:27:59
    positive aspects and praises to this
  • 00:28:01
    budget as well now Kumar manglam B who
  • 00:28:03
    is the chairman of AD Bera group has
  • 00:28:05
    praised the budget 2024 for its clear
  • 00:28:08
    intent and the focus of the government
  • 00:28:10
    on long-term growth of our country and
  • 00:28:12
    also building the foundations for
  • 00:28:13
    developed India by 2047 nmal Jan who is
  • 00:28:17
    the founder of iifl group have also
  • 00:28:19
    praised the budget of 2024 and said that
  • 00:28:21
    it involves a well-rounded strategy to
  • 00:28:24
    Foster inclusive growth economic
  • 00:28:26
    stability and improving over overall
  • 00:28:28
    quality of life for the public of our
  • 00:28:30
    country now do let us know in the
  • 00:28:31
    comment section that what are your views
  • 00:28:33
    on the budget 2024 and what would be
  • 00:28:36
    more reforms which could have been
  • 00:28:37
    introduced in the budget to make it more
  • 00:28:39
    effective and efficient for our country
  • 00:28:42
    also we have added certain practice
  • 00:28:43
    questions at the end of this video do
  • 00:28:45
    solve them and write the correct answers
  • 00:28:47
    in the comment section I hope you gained
  • 00:28:49
    A New Perspective and understanding from
  • 00:28:51
    this video all the very best and have a
  • 00:28:53
    nice day
  • 00:29:17
    [Music]
Tags
  • Union Budget
  • 2024-2025
  • Nirmala Sitaraman
  • Fiscal Deficit
  • India
  • Taxation
  • Employment
  • Agriculture
  • Budget Analysis
  • Economic Growth