Govt Not Forcing Anyone to Move from Old Tax Regime to New, But…, Says Sitharaman in Post-Budget Address

Finance Minister Nirmala Sitharaman on Wednesday said that the government is not forcing anyone to move from the old tax regime to the new but the latter is attractive as it gives greater rebates.

Addressing a press conference after presenting the Budget 2023, Sitharaman said four emphasis points of this budget are empowering women, an action plan for tourism, initiatives for Vishvakarmas (artisans) and green growth.

“The new taxation regime has now got greater incentives and attractions so that people can unhesitatingly move from the old to the new. We are not compelling anyone. But the new one is now attractive as it gives greater rebates,” she said.

“This country has been waiting for direct taxation to be simplified. Therefore the new taxation regime that we brought in for direct taxation two-three years ago has now got greater incentives and greater attraction so that people can unhesitatingly move from the old to the new,” she added.

Sitharaman Highlights 4 ‘Emphasis Points’ of Her Budget

Women empowerment, an action plan for tourism, initiatives for Vishvakarmas (artisans) and green growth are four emphasis points of the Budget 2023, Sitharaman said.

Inflation Came Down Due to Govt’s Steps: Sitharaman

The finance minister said that inflation has come down due to steps taken by the government. “You have seen inflation come down, both the CPI and WPI. Action has been taken by the government, we take inflation-related steps when things develop on the ground and in response to it and that has borne results,” she said.

Budget 2023 Gives a Big Leg-up to Capital Investment: FM Sitharaman

Sitharaman said, “Budget 2023 gives a big leg-up to capital investment, it also attends to MSMEs as they are the engine of growth, it sustains capital investment and also gives a push to the private sector while also giving tax reliefs to individuals and middle class.”

She said there’s a lot of increase in agriculture credit availability. “Rs 20 lakhs are being made available for agriculture credit. Also, a sub-scheme under PM Matsya Sampada Yojana makes sure that people living in coastal areas are going to benefit from it,” she added.

India Moving Along to Become USD 5 Trillion Economy: Sitharaman

Sitharaman said India is moving along to become a USD 5 trillion economy.

Finance minister Nirmala Sitharaman presented her fifth Union Budget 2022-23 today ahead of the crucial 2024 Lok Sabha elections that lasted for nearly 1 hour 25 minutes. The biggest takeaway from her speech was the shake-up in the new tax regime for the middle class.

The government announced zero income tax for those earning up to Rs 7 lakh from the earlier Rs 5 lakh under the new regime. It also proposed to reduce highest surcharge rate from 37% to 25%. Also, the limit of 3 lakh on leave encashment increased to 25 lakh.

Other key highlights included an increase in the capital investment outlay by 33% to Rs 10 lakh crore, which will account for 3.3% of the GDP, fiscal deficit at 5.9% of GDP, and the “highest-ever” outlay for Indian Railways at Rs 2.40 lakh crore.

The finance minister said “Sapthrishis guiding us through Amrit Kaal” while outlining seven priorities namely inclusive development, reaching the last mile, infrastructure and investment, unleashing the potential, green growth, youth power and financial sector in Budget 2023.

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