Some 'Interim' Thoughts

The Interim Budget 2024-25 was presented by the Finance Minister, Nirmala Sitharaman, in Parliament on February 1, after the start of the Budget Session. The budget increased the capital expenditure outlay to a record high of ₹11,11,111 crore, which PM Modi praised as a 'sweet spot' for India's capex and infra spending. PM Modi also highlighted the creation of many job opportunities for the youth in the future.

As far as the highlights of the interim budget are concerned, the Finance Minister unveiled

a new scheme for rooftop solar panels under Pradhan Mantri Suryodaya Yojana. The scheme will provide 300 units of free electricity to 1 crore houses and help them save up to Rs 18000 a year in electricity bills. The government also announced a scheme to help the middle class, who live in rented houses, slums, chawls, or unauthorized colonies, buy or build their own houses, as per PM Modi's quote. Presenting her sixth interim budget (2024-25) Budget in a row, Finance Minister of India Nirmala Sitharaman has announced a new scheme to strengthen deep tech involvement in the defense sector.

The Finance Minister also declared that all outstanding disputed direct tax demands up to Rs 25,000 will be withdrawn, benefiting one crore taxpayers. However, to the taxpayer's disappointment, the FM did not change the tax rates in the interim Budget 2024, including import duty. However, some startups and some IFSC units that would lose their benefits and tax exemptions in March will get them until March 2025.