Budget Highlights 2021-2022
Following a series of small budgets in the form of relief packages, the first Union budget of the third decade of the 21st century was proposed by FM Sitharaman to provide relief to common people who are facing a lot of financial stress due to the Covid-19 pandemic. In multiple fields, big announcements are:
MSMEs and Individuals
The major announcements related to taxation in the Budget Highlights 2021-2022:-
- Senior citizens above the age of 75 who have a pension and interest earnings are excluded from paying federal tax returns.
- Senior citizens above the age of 75 who collect a pension or interest income are excluded from filing taxes.
- A dispute resolution committee for small taxpayers will be formed. Individuals with taxable income up to 50 lakh and disputer income up to 10 lakh would profit from this.
- The central government suggested creating appeal courts for faceless income tax and a nationwide income tax appeal tribunal centre.
- The government has declared that Non-Resident Indians (NRIs) would be excluded from double taxes on their overseas retirement accounts if they demand an exemption on India’s tax deducted. The taxability of these funds varies between India and the respective region.
- The right to claim an exemption from tax holidays and capital gains for start-up investments has been extended to 31 March 2022.
- The government plans to reduce GST’s twisted duty systems and review 400 old exemptions, starting in October 2021.
- The government proposes that dividend distributions from the Real Estate Investment Trust (REIT) or Infrastructure Investment Trust (InvIT) be excluded from TDS.
- For firms who perform 95 per cent of their transactions online, the government has raised the tax audit cap to 5 crores.
- Only cases of serious income concealment tax breach greater than Rs.50 Lakh a year will be allowed to be reopened for up to ten years. The lawsuits will only be revived once every three years.
If companies do not deposit a PF donation on schedule, they will forfeit their contribution deduction. The interest gained on the annual contribution of PF over the value of 2.50 Lakh per annum is now taxable, bearing on the charitable provident fund’s donations.
Housing and Healthcare
The major announcements related to housing and healthcare in the Budget Highlights 2021-2022 are:
Banking, Market and Insurance
The major announcements related to Banking, Market and Insurance in the Budget Highlights 2021-2022 are:
Agriculture & allied sector and rural development
The major announcements related to agriculture and allied sector and rural development in the Budget Highlights 2021-2022 are:
Industry and Infrastructure
The major announcements related to Industry and Infrastructure in the Budget Highlights 2021-2022 are:
The major announcements related to Education in the Budget Highlights 2021-2022 are:
Conclusion: The union budget 2021-2022 was proposed to cover the challenges that appeared due to the Covid-19 pandemic and little improvement in the Income Tax slab for individual taxpayers. The 2021-2022 budget would improve health, insurance, banking, and other industries. The budget outlines the urgent priorities of people’s needs and sums up the vision of improving the railways and other industries.
FAQs for Budget Highlights 2021-2022
✅What is the date of Budget Highlights 2021-2022?
The budget 2021-2022 was presented by the Indian finance minister Nirmala Sitharaman on the 1st February 2021.
✅Is there any change announced in the income tax slab in the budget 2021?
No, there has been no changes announced in the income tax slabs. Visit the official site of Dialabank for further details.
✅Who presents India’s budget?
India’s finance minister presents the country’s budget in the parliament’s lower house (Loksabha).