Tag: union budget

Direct Tax collections surge by 17.70% to ₹19.58 lakh crore in FY 2023-24

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The Financial Year (FY) 2023-24 has seen a significant increase in Direct Tax collections, with provisional figures showing net collections at ₹19.58 lakh crore. This represents a 17.70% increase from the ₹16.64 lakh crore collected in FY 2022-23.

The Union Budget had initially estimated Direct Tax revenue for FY 2023-24 at ₹18.23 lakh crore. However, this was later revised to ₹19.45 lakh crore. The provisional Direct Tax collections have exceeded these Revised Estimates by 0.67%, and the original Budget Estimates by 7.40%.

Before adjusting for refunds, the Gross collection of Direct Taxes for FY 2023-24 stands at ₹23.37 lakh crore, marking an 18.48% growth from the ₹19.72 lakh crore collected in FY 2022-23.

Also Read: A small traders union sues Indian govt for loss of business due to payment deadlines

Breaking down the collections further, the Gross Corporate Tax collection for FY 2023-24 is ₹11.32 lakh crore, a 13.06% increase from the previous year’s ₹10 lakh crore. The Net Corporate Tax collection for the same period is ₹9.11 lakh crore, showing a 10.26% growth from the preceding year’s ₹8.26 lakh crore.

The Gross Personal Income Tax collection (including STT) for FY 2023-24 is ₹12.01 lakh crore, a 24.26% increase from the previous year’s ₹9.67 lakh crore. The Net Personal Income Tax collection (including STT) for the same period is ₹10.44 lakh crore, marking a 25.23% growth from the preceding year’s ₹8.33 lakh crore.

Lastly, refunds issued in FY 2023-24 total ₹3.79 lakh crore, a 22.74% increase from the ₹3.09 lakh crore issued in FY 2022-23. This completes the financial picture for Direct Tax collections in FY 2023-24.

Also Read: Online gaming industry hopes GST Council will reconsider decision to levy 28% tax

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Budget 2024: FM Sitharaman lowers fertiliser subsidy allocation by 13% to ₹1.64 crore for FY24-25

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Finance Minister Nirmala Sitharaman has lowered the allocation for fertiliser subsidy by 13.2% to ₹1.64 lakh crore for 2024–25 in the interim budget compared to ₹1.89 lakh crore revised budget estimate for FY24. The allocation for fertiliser subsidy for FY24 was budgeted at ₹1.75 lakh crore.

CNBC-TV18 had earlier reported that the government’s fertiliser subsidy for this year is pegged at around ₹1.88 lakh crore, with the government seeking an additional amount of ₹13,350 crore in cash for fertiliser subsidy in early December. Overall, the FM sought Parliament’s approval to spend an additional ₹58,000 crore in cash in FY24 through the Supplementary Demands for Grants during the winter session.

The Centre gives subsidy on urea and nutrient-based subsidy on other fertilisers. The drop in subsidy in FY25 is being seen against the backdrop of a drop in international prices, a push for bio- and organic fertilisers and the increased use of nano-urea.

Urea constitutes 55–60% of India’s total fertiliser consumption and is met through both imports and local production. A bag of subsidised urea to farmers costs ₹242 per 45-kg bag, excluding taxes and neem coating charges, but the actual cost of the bag is around ₹2,200.

Against the original budget estimate of over ₹1 lakh crore, the government has ended up giving fertiliser subsidies of ₹2.25 lakh crore, amid the ongoing Russia-Ukraine war that impacted global supply chains. Within the overall fertiliser subsidy in FY23, the government has spent ₹63,222 crore on urea and ₹42,000 crore on nutrient-based subsidy.

While input costs softened towards year-end last year, the overall consumption of fertiliser remains high in India, keeping subsidy outgo high.

Track all the latest updates on FM Sitharaman’s budget speech and other top developments of the day with CNBC-TV18’s live blog

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Budget 2024: FM Nirmala Sitharaman says 43 crore loans aggregating to ₹22.5 lakh crore given under PM Mudra Yojana

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Finance Minister Nirmala Sitharaman said on Thursday, February 1, that the Narendra Modi government has extended 43 crore loans, amounting to ₹22.5 lakh crore under Prime Minister Mudra Yojana.

Presenting her pre-election budget, which is technically a vote on account and is popularly termed an interim budget, the FM said that direct benefit transfers of ₹34 lakh crore through Jan Dhan accounts have resulted in savings of ₹2.7 lakh crore.

Sitharaman also said that 30 crore Mudra Yojana loans have been given to women in the last 10 years.

Earlier, at the beginning of her speech, the FM said that the country is witnessing a profound transformation in the last 10 years. India was facing enormous challenges in 2014 and the government under the leadership of Prime Minister Narendra Modi overcame those challenges and undertook structural reforms.

Track all the latest updates on FM Sitharaman’s budget speech and other top developments of the day with CNBC-TV18’s live blog

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Income Tax Budget 2024 Highlights: No change in rates but some taxpayers to benefit from direct tax demand withdrawal

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The interim budget presented on February 1 brought no relief for taxpayers, as Finance Minister Nirmala Sitharaman maintained unchanged rates and slabs for both new and old tax regimes. She said during her budget speech that there would be no alterations to direct and indirect tax rates, including import duties.

Click here to follow for live updates on Budget 2024

Additionally, Sitharaman highlighted positive changes, noting a significant reduction in the average refund processing time from 93 days in 2013-2014 to just 10 days in the last year. She also mentioned a noteworthy 50% increase in the average real income of individuals.

The complete budget is slated for presentation in July, following the formation of the new government post-Lok Sabha Elections.

Watch the Budget 2024 non-stop live coverage on CNBC-TV18

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Budget Countdown: CII leaders share insights on core focus areas

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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R Dinesh, President of the Confederation of Indian Industry (CII), expressed confidence in the government’s commitment to continuity as the core focus for the upcoming Interim Budget. Speaking during a CII panel discussion, part of CNBC-TV18’s special ‘Budget Countdown’, Dinesh emphasised the importance of sustaining the current growth path, particularly through continued spending on infrastructure.

“Continuity is the core focus, which I’m 100% sure will be the scenario as well,” said Dinesh. “The second and the most important is ensuring that we continue on this growth path, and that would be spending on the infrastructure side, which again, is a very fair expectation that it will continue in the same way.”

Dinesh highlighted equitable growth as a key objective of the government, with a particular emphasis on enhancing growth in rural areas. He noted, “Equitable growth has been one of the core focuses of this government. Whether it’s from the rural side or sectors needing support and growth, that’s an expectation we all have for this Interim Budget.”

Also Read | A quick guide to India’s Interim Budget

Speaking on the need for equitable support, Dinesh stressed the significance of schemes like the Urban Employment Guarantee Scheme, providing a security blanket for underprivileged sections in rural areas, ensuring economic activity benefits for all.

Sanjiv Puri, President Designate of CII and CMD of ITC, echoed Dinesh’s sentiments, emphasising the necessity of attention and investment in rural areas.

“The area that needs some more attention and some more investments would be on the rural side,” said Puri. “Greater rural infrastructure spends and supporting states will be helpful. Weather events have been bothering rural areas, impacting agriculture and incomes. A strong movement for enhancing agriculture resilience, through a public-private partnership model, is needed.”

Also Read | Interim Budget 2024: When and where to watch FM Sitharaman’s budget speech

Puri also highlighted an emerging opportunity in wood-based industries and real estate, suggesting that leasing degraded or unused forest lands to private players could create an economic model, providing gainful employment while promoting sustainable practices.

For more, watch the accompanying video

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Interim Budget 2024: When and where to watch FM Sitharaman’s budget speech

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Union Finance Minister Nirmala Sitharaman is set to present the Budget 2024 in Parliament on February 1. This budget, which precedes the Lok Sabha elections, is called an Interim Budget or a vote-on-account budget.

Unlike a full budget, which covers all aspects of government finances for an entire fiscal year, the interim budget offers financial information for a transitional period.

A full-fledged budget will be presented after the polls. The new government is likely to be formed around June and is expected to come up with a final 2024-25 budget in July.

When to watch Budget 2024? 

The Interim Budget 2024 will be announced on February 1 at 11 am.

Where to watch Budget 2024, Budget live streaming? 

Nirmala Sitharaman’s budget speech will be streamed live on Doordarshan (DD) News as well as the YouTube channel and website of the Press Information Bureau (PIB).

This year, the NDA government has presented ‘The Indian Economy: A Review’, a 74-page document penned by Chief Economic Advisor V Anantha Nageswaran. This review, which is not the Economic Survey of India, outlines the state of the Indian economy over the last decade and provides a brief outlook for the coming years.

What is vote-on-account?

Following the presentation of the Interim Budget, the Parliament will pass a vote-on-account. This provision allows the government to obtain Parliamentary approval for essential spending, such as salaries and ongoing expenses, for up to two months, although this can be extended if necessary.

The vote-on-account, as per Article 116 of the Constitution, signifies an upfront allocation to the government from the ‘Consolidated Fund of India’, which contains all revenue generated by the central government, including taxes and interest on loans. This fund is specifically designated for addressing immediate expenditure needs.

In essence, an interim budget is similar to a complete budget, but it only includes projections for a limited period. A vote-on-account, which focuses solely on expenditure, can be approved by Parliament without the need for a formal discussion.

(With input from agencies)

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Nirmala Sitharaman to equal record of former PM Desai by presenting 6 budgets in a row

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Finance Minister Nirmala Sitharaman will equal the record of former Prime Minister Morarji Desai when she presents her sixth straight budget on February 1.

Sitharaman, the first full-time woman finance minister of the country, has presented five full budgets since July 2019 and will present an interim or vote-on-account budget next week.

With the presentation of the interim budget on February 1, Sitharaman will surpass the records of her predecessors like Manmohan Singh, Arun Jaitley, P Chidambaram, and Yashwant Sinha, who had presented five budgets in a row.

Desai, as finance minister, had presented five annual budgets and one interim budget between 1959 and 1964. The interim budget 2024-25 to be presented by Sitharaman on February 1, will be a vote-on-account that will give the government authority to spend certain sums of money till a new government comes to office after the April-May general elections.

As the Parliamentary elections are due, Sitharaman’s interim budget may not contain any major policy changes. Speaking at an industry event last month, Sitharaman had ruled out any “spectacular announcement” in the interim budget, saying it would just be a vote-on-account before the general elections.

A vote-on-account, once approved by Parliament, will authorise the government to withdraw money from the Consolidated Fund of India on a pro-rata basis to meet expenditure for the April-July period.

The new government, which is likely to be formed around June, will come up with a final budget for 2024-25 sometime in July. Usually, interim budgets do not contain major policy announcements, but nothing stops the government from taking steps that are necessary to deal with the urgent issues facing the economy.

After the Modi government came to power in 2014, Arun Jaitley took charge of the finance ministry and presented five budgets in a row from 2014-15 to 2018-19. It was in 2017, that Jaitley departed from the colonial-era tradition of presenting the budget on the last working day of February to the 1st of the month.

Piyush Goyal, who was holding the additional charge of the ministry due to ill health of Jaitley, presented the interim budget for 2019-20 on February 1, 2019. Goyal had hiked the standard deduction for salaried taxpayers by ₹10,000 to ₹50,000. Also, the tax rebate for taxpayers whose annual taxable income did not exceed ₹5 lakh was increased from ₹2,500 to ₹12,500.

After the 2019 general elections, in the Modi 2.0 Government, Sitharaman was given the charge of the finance portfolio. She became the second woman to have presented the budget after Indira Gandhi, who had presented the budget for the financial year 1970-71.

That year, Sitharaman did away with the traditional budget briefcase and instead went for a ‘bahi-khata’ with the National Emblem to carry the speech and other documents.

Under Sitharaman, India has weathered the Covid pandemic with an array of policy measures announced for the poor and continued its tag of the fastest-growing major economy and a ‘bright spot’ in the world economy.

India is racing to become a $5 trillion economy by 2027-28 and $30 trillion by 2047. Former Prime Minister Morarji Desai who holds the tag of presenting 10 budgets — the maximum by any finance minister — had presented six of them, including one interim, in a row.

The first budget of Independent India was presented by the first finance minister RK Shanmukham Chetty. Sitharaman, who will be presenting her sixth budget in a row, is expected to come up with some measures, especially to boost the rural sector as the agriculture sector growth in 2023-24 is estimated to decelerate to 1.8%, from 4%, in the preceding year.

Rakesh Nangia, Chairman, Nangia Andersen India said given the proximity to the elections, the budget is expected to focus on immediate fiscal needs rather than introducing broad long-term economic reforms.

In the last interim budget for FY 2019-20, while the overall tax structure remained unchanged, there were certain specific tax rebates and standard deduction concessions.

“While major announcements may be deferred until after the 2024 Lok Sabha elections, the budget is expected to address ongoing concerns and lay the foundation for future economic growth. This strategic approach aims to balance immediate fiscal responsibilities with long-term economic objectives in a pre-election context,” Nangia said.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Aditya Birla Sun Life AMC is bullish on IT stocks, expects 8-10% growth in the sector

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Mahesh Patil, the Chief Investment Officer (CIO) at Aditya Birla Sun Life AMC on Friday, January 19, expressed a positive outlook on the Information Technology (IT) sector. Patil conveyed the company’s readiness to consider adding IT stocks during market declines.

His’s optimism extends to projecting an 8-10% growth in the IT sector, with the possibility of a return to double-digit growth over the next two to three years.

Also Read | Budget 2024: Economists weigh in on expectations for fiscal deficit, divestment, and more

Turning the spotlight to the hospitality and travel industry, Patil highlighted a noteworthy supply-demand imbalance, predicting favorable conditions for sector profitability.

He noted a scarcity of new supply in the hotel space.

The CIO pointed out that the average revenue per room (ARR) in the hotel sector is currently at a higher level.

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On the banking sector, Patil acknowledged pressure on the deposit side due to tight liquidity conditions.

Patil suggested that banks might need to increase deposit rates to address this imbalance, but he maintained an overall positive outlook for the sector.

Also Read | Personal finance, start-ups, fintech seek tax exemptions ahead of Union Budget 2024

Commenting on the upcoming Union Budget, Patil stated that there are not many expectations from market perspective. However, he emphasised the need for clarity on the indexation benefit, especially for long-term investors entering the bond market through mutual funds.

Patil highlighted that providing clarity in this area could reignite flows into the mutual fund industry, particularly in the fixed-income space, contributing to the development of the bond market and enhanced liquidity.

For more, watch the accompanying video

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

India pushes for tariff adjustments to boost mobile manufacturing & export growth

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The Ministry of Electronics and Information Technology (MeitY) has engaged in discussions with the Finance Ministry to address growing concerns within the mobile phone manufacturing industry regarding high tariffs on imported components. MeitY sources told CNBC TV18 that the ministry emphasised the detrimental impact of these tariffs on both domestic demand and export growth.

According to sources, the ministry has officially raised the industry’s concerns with the Finance Ministry ahead of the upcoming vote-on-account Budget. The primary focus of MeitY’s discussions has been the high tariffs imposed on imported components crucial for mobile phone manufacturing. The ministry argues that these tariffs are hindering the industry’s potential for export-led production and hurting overall growth.

MeitY is reportedly acknowledging the saturation of the domestic market, pointing out that Chinese phone makers, in particular, are seeking avenues for expansion. The next logical step for these manufacturers is to concentrate on increasing exports from India, thereby contributing to the country’s economic growth.

MeitY sources highlighted the need for rationalization and a potential reduction in tariffs to facilitate incremental production. The ministry is actively working towards creating an environment that fosters export growth, ensuring the competitiveness of the Indian mobile manufacturing sector on a global scale.

The industry’s plea for tariff adjustments comes at a critical juncture, with MeitY playing a crucial role in addressing these concerns and pushing for policy changes. MeitY’s proactive approach aligns with the government’s vision to boost the manufacturing sector and promote India as a global manufacturing hub.

As the Finance Ministry prepares for the vote on account, industry leaders and stakeholders are hopeful that MeitY’s advocacy will lead to positive changes in the tariff structure. The outcome of these discussions could potentially reshape the landscape of mobile phone manufacturing in India, providing impetus to both domestic demand and export-oriented production.

Also read: India continues crackdown on illegal loan and betting apps

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow