Highlights of Union Budget 2022-23

Union Finance Minister Nirmala Sitharaman on Tuesday presented Union Budget 2022-23 in Parliament. Budget 2022-23 aims to boost growth amid continued disruption from Covid-19 and rising inflation. This Union Budget laid a foundation and blueprint of the economy over ‘Amrit Kal’ of the next 25 years – from India at 75 to India at 100. 

Following are the key highlights of the Union Budget 2022-23:

  • Total expenditure in 2022-23 estimated at Rs 39.45 lakh crore.
  • India’s economic growth estimated at 9.2% to be the highest among all large economies.
  • 60 lakh new jobs to be created under the productivity linked incentive scheme in 14 sectors.
  • Special Economic Zones Act to be replaced with new legislation.
  • No change in personal income tax rates.
  • The parent/guardian of the differently-abled can get a tax deduction on payment of the annuity or lump sum during the lifetime of parent or guardian, once the parent or guardian has attained 60 years.
  • Any surcharge and cess levied on income are not allowed as business expenditure.
  • Any income from transfer of any virtual digital asset shall be taxed at the rate of 30 per cent.
  • The tax incentive period is extended by one year for startups.
  • Provision to file an updated return on payment of additional tax; can be filed within two years from the end of the relevant assessment year.
  • Alternate Minimum Tax paid by cooperatives brought down from 18.5 per cent to 15 per cent. Surcharge on cooperative societies reduced from 12 per cent to 7 per cent for those having a total income of more than Rs 1 crore and up to Rs 10 crore.
  • 100% of India’s 1.5 lakh post offices will be on-boarded on core banking system in 2022
  • India to introduce digital rupee issued by RBI in FY23
  • Digital University for world-class quality universal education with personalised learning experience to be established.
  • 5G spectrum auctions to be conducted in 2022
  • The National Highways network will be expanded by 25,000 km in 2022-23.
  • Chemical-free Natural Farming will be promoted throughout the country, with a focus on farmers’ lands in 5-km wide corridors along river Ganga, at the first stage.
  • Customs rate, tariff structure simplified particularly for sectors like chemicals, textiles and metals.
  • Rs 2.37 lakh cr direct payment to 1.63 crore farmers for procurement of wheat, paddy.
  • Rs 2 lakh cr additional credit for Micro and Small Enterprises to be facilitated under the Credit Guarantee Trust for Micro and Small Enterprises.
  • 2000 Km of railway network to be brought under Kavach, the indigenous world class technology and capacity augmentation in 2022-23.
  • 400 new generation Vande Bharat Trains to be manufactured during the next three years.
  • MSMEs: Udyam, e-shram, NCS and ASEEM portals to be interlinked.

For more details contact out team at +91-7991109093 or drop email us at [email protected]

Note: This Post was last updated on February 20, 2022

Disclaimer: The entire contents of this document have been prepared on the basis of relevant provisions and as per the information existing at the time of the preparation i.e. February 20, 2022. Although care has been taken to ensure the accuracy, completeness and reliability of the information provided, We assume no responsibility therefore. Users of this information are expected to refer to the relevant existing provisions of applicable Laws. The user of the information agrees that the information is not a professional advice and is subject to change without notice. We assume no responsibility for the consequences of use of such information. IN NO EVENT SHALL WE SHALL BE LIABLE FOR ANY DIRECT, INDIRECT, SPECIAL OR INCIDENTAL DAMAGE RESULTING FROM, ARISING OUT OF OR IN CONNECTION WITH THE USE OF THE INFORMATION.

Default image
Sunita

Founder & Director | COO & CHRO at eTaxFinance | Content Writer at eTaxFinance Blog | Department Head for Intellectual Property & Startup Team | Head-Corporate Strategy and Planning