Key Highlights of Budget 2023-24

The fifth budget under Modi 2.0 was unveiled on Wednesday by Union Finance Minister Nirmala Sitharaman. Nirmala Sitharaman said that the Indian economy is on the right track and is set for a bright future in the final comprehensive budget before the general elections next year.

Sitharaman emphasised important changes to the tax slabs under the new tax regime as well as a major boost in funding for capital projects and railways, all of which will have a significant positive impact on the economy and taxpayers.

There are sector-wise detailed reading of the numerous measures Finance Minister Sitharaman announced in Budget 2023:

• No changes in the old tax regime
• New tax regime to create the default tax regime. However, individuals can take the old tax regime.
• No tax on income up to Rs 7.5 lakh a year in new tax regime (with inclusion of standard deduction)
• Govt proposes to limit highest surcharge rate from 37% 

In terms of Export and Imports, The Reserve Bank of India (RBI) last year extended the programme until March 2024 in order to increase outbound exports for MSME Sector. The programme gives exporters access to bank financing at a lower interest rate. Here you can get the detailed information about the recent notification from the budget 2023-24.

According to Commerce and Industry Minister Piyush Goyal, a variety of initiatives, such as adjustments to customs taxes on specific products, outlined in the Union Budget for 2023–24 will helps in boosting the nation's exports.

Despite the uncertainty in the global economy, he claimed, India's exports of both commodities and services are growing by roughly 14–15% according to Export import data.

Experts have suggested stronger measures be included in the union budget for 2023–24 around the interest equalisation programme for pre and post shipment rupee loans for MSME exporter, which accounts for about 50% of the country's exports.

In order to boost exports abroad, the Reserve Bank of India (RBI) last year extended the scheme through March 2024. Through the scheme, exporters can obtain bank funding at a reduced interest rate.