Union Budget 2022-23: Live Updates, Digital Assets To Be Taxed At 30%

The Finance Minister has said that the economy will grow at 9.2% in FY 2021-22. She has pegged the fiscal deficit for 2021-22 at 6.9%.

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Feb 01, 2022, 2:02 pm IST

No PSU bank capitalization

As was largely expected there was no bank capitalization for the PSU banks. With health of banks improving this was only anticipated.

Feb 01, 2022, 1:47 pm IST

Taxation and NPS

Gaurav Kapoor, Director & Co-Founder, Fincorpit Consulting Private Limited, says the hike to 14% on the employer’s contribution to the NPS account of the central & state government employees is a good step to ease the tax burden of the employees. The time limit extension to 2 years for return filing would alleviate the burden of the assesses and ITOs. However, we were expecting that the budget would enhance the limit of the standard deduction from Rs. 50,000 to Rs. 1,00,000 and WFH employees were also expecting some tax relief especially for them.

Feb 01, 2022, 1:40 pm IST

Markets recover

Markets have now recovered and are back in the green as Dow Futures saw a recovery and so did smart openings across Europe.

Feb 01, 2022, 1:35 pm IST

MSME positive budget

Most MSMEs have hailed the budget as extremely positive for the sector.

Feb 01, 2022, 1:16 pm IST

Markets fall for the first time today

Stock markets have fallen for the very first time today in trade post the budget. The Nifty has dropped 64 points, while the Sensex is down 150 points.

Feb 01, 2022, 12:50 pm IST

MSME reforms a good initiative

“The extension of ECLGS scheme is a welcome move for MSMEs. The credit and fiscal support of 5 lakh crores will give a huge boost to this sector encouraging new businesses to come to the fore. This announcement will certainly generate more than 10 lac of employment opportunities in a short span of time. However, a slight focus on easing the trade and the taxation policies for MSMEs facilitating more freedom to do business was also expected from this year’s budget announcement,” says Chandan Garg, Chairman & MD, Innovana Group

Feb 01, 2022, 12:39 pm IST

Sensex still up as budget speech concludes

Markets seem to be pretty much neutral with the Budget. The Sensex which was up 800 points when the speech began is still up around the same levels.

Feb 01, 2022, 12:33 pm IST

FM concludes her speech

The Finance Minister has now concluded her speech.

Feb 01, 2022, 12:31 pm IST

No chance in income tax rates so far

So far, no mention of change in personal tax rates or any SEC80C benefits.

Feb 01, 2022, 12:29 pm IST

Gems and jewellery

Custom duty on gems and jewellery reduced.

Feb 01, 2022, 12:23 pm IST

Highest GST collection ever

FM says that the GST collection in Jan was the highest ever.

Feb 01, 2022, 12:20 pm IST

Cryptocurrencies

Gift of cryptocurrencies to be taxed at receiver's end

Feb 01, 2022, 12:15 pm IST

Tax on digital assets

Virtual digital assets shall be taxed at 30%.

Feb 01, 2022, 12:15 pm IST

Updated tax returns

A new provision to allow taxpayers to file an updated return. Updated return can be filed within 2 years from the end of the relevant assessment year.

Feb 01, 2022, 12:06 pm IST

Fiscal deficit for 2022-23

Fiscal deficit for FY 2022-23 estimated at 6.4% of GDP

Feb 01, 2022, 12:05 pm IST

Fiscal deficit for FY 2021-22 at 6.9%

The Fiscal deficit for FY 2021-22 at 6.9%: FM

Feb 01, 2022, 12:01 pm IST

Digital currency

We propose to introduce digital currency, using blockchain technology to be introduced by RBI.

Feb 01, 2022, 11:58 am IST

Boost to capital expenditure

Effective Capital Expenditure of the Central Govt is estimated at Rs 10.68 lakh crores in 2022-23, about 4.1% of GDP: FM Nirmala Sitharaman

Feb 01, 2022, 11:52 am IST

Defence

68% of capital procurement budget to be earmarked for domestic Defence Industry. FM

Feb 01, 2022, 11:49 am IST

Amendments TO the Bankruptcy Code

IBC amendments to enhance efficiency of resolution process and facilitate cross-border insolvency resolution: FM

Feb 01, 2022, 11:46 am IST

Telecom

Spectrum auction for 5g in 2022-23: FM

Feb 01, 2022, 11:44 am IST

Urban planning

Urban planning A high-level committee for urban planners and economists to be formed for recommendations on urban capacity building, planning implementation, and governance: FM

Feb 01, 2022, 11:42 am IST

Rail technology boost

2,000 km of rail network to be brought under the indigenous world-class technology KAWACH, for safety and capacity augmentation: FM Nirmala Sitharaman

Feb 01, 2022, 11:40 am IST

E-passports

E-passports, the issuance of E passports using embedded ship and futuristic technology will be rolled out in 2022-23 to enhance the convenience for the citizens in their overseas travel: FM

Feb 01, 2022, 11:33 am IST

Post offices to come under core banking

Post offices will be linked to core banking, thus creating financial inclusion: FM

Feb 01, 2022, 11:31 am IST

Education

States will be encouraged to revise syllabi of agricultural universities to meet needs of natural, zero-budget & organic farming, modern-day agriculture: FM Nirmala Sitharaman

Feb 01, 2022, 11:29 am IST

Education

'One class, one TV channel' program of PM eVIDYA will be expanded from 12 to 200 TV channels. This will enable all states to provide supplementary education in regional languages for classes 1 to 12: FM Nirmala Sitharaman

Feb 01, 2022, 11:27 am IST

MSMEs

MSMEs such as Udyam,e-shram, NCS & Aseem portals will be interlinked,their scope will be widened. They will now perform as portals with live organic databases providing G-C, B-C & B-B services such as credit facilitation,enhancing entrepreneurial opportunities: FM

Feb 01, 2022, 11:25 am IST

Roads

Master Plan for Expressways to be formulated in 2022-23, to facilitate faster movement of people and goods: FM

Feb 01, 2022, 11:24 am IST

Agriculture

Procurement of wheat in Rabi season 2021-22 and the estimated procurement of paddy in Kharif season 2021-22 will give cover 1208 lakh metric tonnes of wheat & paddy from 163 lakh farmers& Rs 2.37 lakh crores will be the direct payment of MSP value to their accounts: FM Sitharaman

Feb 01, 2022, 11:23 am IST

PM Gati Shakti

PM Gati Shakti is driven by 7 engines: roads, railways, airports, ports, mass transport, waterways. logistics infra

Feb 01, 2022, 11:21 am IST

MSME

MSME - integration of credit, skilling, recruitment functions of tech platforms.

Feb 01, 2022, 11:18 am IST

Vande Bharat trains

Vande Bharat Trains 400 new generation Vande Bharat trains with better efficiency to be brought in during the next 3 years; 100 PM Gati Shakti Cargo terminals to be developed during next 3 years and implementation of innovative ways for building metro systems.: FM Nirmala Sitharaman

Feb 01, 2022, 11:16 am IST

Budget benefits for farmers, youth, women

Budget benefits for farmers, youth, women This Budget will benefit, youth, women, farmers, SC, ST & shall be guided by PM Gati Shakti master plan: FM

Feb 01, 2022, 11:14 am IST

Logistic parks

Contracts for 4 multimodal logistics parks in PPP mode will be awarded in 2022-23

Feb 01, 2022, 11:12 am IST

4 pillar focus: Sitharaman

Focus on 4 pillars - productivity, climate action, financing investments & PM Gati Shakti plan

Feb 01, 2022, 11:11 am IST

Air India

Strategic transfer of ownership of Air India has been completed: FM

Feb 01, 2022, 11:07 am IST

Sharp rebound in the economy: Finance Minister

Overall sharp rebound and recovery of the economy is reflective of India's strong resilience: FM

Feb 01, 2022, 11:06 am IST

GDP projections

India's Economic Growth in FY22 to be at 9.2%: Finance Minister

Feb 01, 2022, 11:03 am IST

FM begins her speech

The FM begins her speech saying that we are among the fastest growing large economies.

Feb 01, 2022, 10:57 am IST

Nifty up 202 points, Sensex up 700 points

With a few minutes remaining for the Budget speech to begin, the Nifty has gained 202 points and the Sensex is up 700 points. It maybe hard day for traders, given increased volatility. The markets are getting into the budget strong.

Feb 01, 2022, 10:50 am IST

Budget should not be inflationary

With crude oil prices surging, there are already worries over imported inflation rising. Against this backdrop it would be good if the budget is not inflationary.

Feb 01, 2022, 10:48 am IST

Cabinet meet concludes

The Cabinet meeting underway at the Parliament has now concluded. Union Finance Minister Nirmala Sitharaman will present the Budget shortly.

Feb 01, 2022, 10:44 am IST

Markets giving up some gains

Benchmark indices have given up some gains as we head into the Budget Speech. The Nifty is up only 218 points now. Infra stocks would be closely watched ahead of the Budget.

Feb 01, 2022, 10:33 am IST

Fiscal deficit numbers for 2022-23 to be watched

The Union Budget's estimated budget deficit would be watched closely. A range of around 6.2% of GDP would please economists and analysts. Let's wait and watch for the number to be revealed.

Feb 01, 2022, 10:25 am IST

Defence Minister Rajnath Singh, Union Home Minister Amit Shah, Railways, Communications and IT Minister Ashwini Vaishnaw, Parliamentary Affairs Minister Pralhad Joshi, and others arrive at the Parliament for the union cabinet meeting ahead of the presenting of the Budget.

Feb 01, 2022, 10:17 am IST

Are change in income tax slabs likely?

It is doubtful that we would see change in income tax slabs. What is possible is that some benefits in the form of increase in standard deduction. However, we are not too optimistic given the fiscal constraints.

Feb 01, 2022, 10:07 am IST

Markets will enter the budget speech strong

Looks like the markets will enter the budget speech exceedingly strong. There are hopes of a big expenditure push. The Nifty has surged 227 points, while the Sensex is up 800 points in trade.

Feb 01, 2022, 10:03 am IST

Is import duty on gold likely?

We do not believe so. The precious metal has not rallied too much and hence any reduction or increase in duties is unlikely. At best import duties could be retained.

Feb 01, 2022, 9:50 am IST

Would government banks be capitalized?

Government banks may not find fresh infusion of capital, given that the health of banks is fast improving. Having said that the Budget can be full of surprises as we have seen.

Feb 01, 2022, 9:41 am IST

Defense allocation may increase

The government may increase the outlay for the defense sector, with an emphasis on make in India.

Feb 01, 2022, 9:32 am IST

Sensex rallies 650 points on hopes of a reforms oriented budget

The Sensex has rallied 650 points on hopes that the budget will boost expenditure and push growth. The Nifty too is up with gains of 183 points.

Feb 01, 2022, 9:25 am IST

Budget must bring down inflationary pressures

With crude oil prices soaring, the Union Budget must take steps to bring down inflation. A cut in excise duty on fuels would be welcome, though that can be done outside the Budget as well.

Feb 01, 2022, 9:20 am IST

FM reaches Rashtrapati Bhavan

Union Finance Minister Nirmala Sitharaman has now arrived at Rashtrapathi Bhavan.

Feb 01, 2022, 9:18 am IST

Nifty opens 150 points higher, Sensex up 500 points

Benchmark indices have opened higher in trade with the Nifty gaining a further 150 points, adding to Monday's gains. Markets are expected to be volatile during the day and caution needs to be exercised.

Feb 01, 2022, 9:09 am IST

FM will address a press conference at 3.45 pm

Post the Union Budget, Nirmala Sitharaman will address a press conference.

Feb 01, 2022, 9:07 am IST

Not much expected for the capital markets

Not much is expected on the capital markets front from the budget. We believe that the budget itself will try and consolidate last year's measures. It is unlikely that we will see any changes in long term capital gains tax.

Feb 01, 2022, 8:57 am IST

Education outlay must expand in the budget

The education sector reforms and outlay must expand, given that we hardly see any concrete reforms in the sector.

Feb 01, 2022, 8:51 am IST

SGX Nifty points to higher opening for Indian markets

The SGX Nifty points to at least gains of 135 points on the Nifty in opening trades.

Feb 01, 2022, 8:41 am IST

Infra, social security and healthcare may get preferences

Infra, social security and healthcare may get preferences in the forthcoming budget. Some additional spending in all these areas are likely.

Feb 01, 2022, 8:32 am IST

Will the FM tweak the tax slabs?

Looks doubtful, given the fiscal constraints. This budget may just take forward the measures of last year, without experimenting too much as pointed out by India Ratings as well.

Feb 01, 2022, 8:27 am IST

India Ratings and Research expects the Union Budget FY23 to consolidate and strengthen the plan and contours set out in the FY22 union budget, rather than trying out new things

Feb 01, 2022, 8:23 am IST

Fiscal deficit numbers to be watched

Investors and economists would watch for the fiscal deficit numbers for 2022-23 closely.

Feb 01, 2022, 8:16 am IST

Stocks to watch today

Stocks from the infra space could be volatile, as they could be beneficiaries of increased infra spending. Apart from this stocks from the ciggarette space, would be volatile as worries of further taxes hangs.

Feb 01, 2022, 8:11 am IST

Railways: Allocation may increase

For the railways, the budget may focus on expansion of lines, electrification, public private partnership, safety issues etc.

Feb 01, 2022, 8:07 am IST

What the health insurance sector wants?

It is hoped that tax paying citizens are incentivised to opt for a higher health insurance cover while the Government focuses on its slew of initiatives aimed at the bottom 50% of India's population.

Feb 01, 2022, 8:02 am IST

Markets expected to open higher again

After closing with solid gains on Monday, the Indian benchmark indices are all set to open higher again on Tuesday. The Nifty is looking at further gains of 150 points, going by the SGX nifty.

Feb 01, 2022, 7:58 am IST

Mutual Funds: Hoping for LTCG benefits

Mutual funds are looking at units be notified as ‘Specified Long-Term Assets’ qualifying for exemption on LTCG under Sec. 54 EC.

Feb 01, 2022, 7:50 am IST

Individuals pinning hopes on further increase in Sec80c limits

Individuals are hoping for some tax benefits at least increase in Sec80C limits or standard deduction. Not sure the budget has room this time for too many sops.

Feb 01, 2022, 7:44 am IST

Budget faces a dilemma between limited fiscal space and need for further expenditure.

"The upcoming budget faces acute policy trade-offs between nurturing a nascent growth recovery and diminishing fiscal space with challenging debt dynamics. Policymakers should ensure the fiscal impulse is maximized to improve potential growth, while signaling adherence to medium-term fiscal sustainability. This entails continued financial sector reforms, better resource allocation, and funding by aggressive asset sales via functional infrastructure monetization, divestment/strategic sales," says Madhavi Arora, Lead Economist, Emkay Global Financial Services.

Feb 01, 2022, 7:33 am IST

What the corporate sector wants?

The corporate sector is looking at the government to facilitate ease in doing business, given the many statutory clearances that are required.

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Jan 31, 2022, 8:47 pm IST

Healthcare social spending may get a boost

The healthcare and social spending maybe increased dramatically in the Budget.

Jan 31, 2022, 5:52 pm IST

Social spending may get a boost

The government is likely to consider an increased outlay to boost social spending. Healthcare too is likely to get a boost.

Jan 31, 2022, 5:42 pm IST

Fiscal deficit number would be awaited

Investors and economists believe that the fiscal deficit for 2022-23 would be around 6.2%.

Jan 31, 2022, 5:07 pm IST

Government has room for spending

The Economic Survey did mention the fact that there is room for spending. So, we might see an increased push towards spending.

Jan 31, 2022, 5:06 pm IST

Markets close higher ahead of Budget Day

Benchmark indices surged higher ahead of the Budget day in anticipation of a growth oriented budget. The Sensex closed 813 points higher.