Quick Answer: What Are Budget And Key Features Of Budget 2020?

What is the theme of Budget 2020 21?

The Union Budget for FY 2020-21 has been announced on 1 February, 2020, to herald a decade of growth and prosperity.

Prominent themes of this Budget are its focus on governance and financial sector to enhance the ease of living..

What are the major changes in Budget 2020?

In Budget 2020, Finance Minister Nirmala Sitharaman proposed a new set of income tax rates for those earning up to ₹15 lakh a year. She proposed a 10% tax on income between ₹5 and ₹7.5 lakh from 20 per cent now. Income between ₹7.5 lakh to ₹10 lakh will also attract a lower tax of 15%.

Is 80c removed in Budget 2020?

[Budget 2020] Tax Rates Lowered But HRA, 80C, and INR 50,000 Standard Deduction Gone. In the Union Budget 2020, finance minister Nirmala Sitharaman proposed a new tax regime with lower tax rates for different income groups. … Four new tax slabs have been introduced, making it a total of seven slabs.

Is HRA applicable in new tax regime?

The popular deductions/exemptions that individuals under the new income tax regime will have to forego include LTA (Leave Travel Allowance), HRA (House Rent Allowance), interest on housing loan on self-occupied property, Standard Deduction and Chapter VIA deductions which include Section 80C, Section 80D among others .

What budget means?

A budget is an estimation of revenue and expenses over a specified future period of time and is usually compiled and re-evaluated on a periodic basis. Budgets can be made for a person, a group of people, a business, a government, or just about anything else that makes and spends money.

How many times budget is presented in India in a year?

India Budget generally deals with the central government’s finances, its revenues and expenditures. The Union Budget presentation takes place once a year. However, in the year when Lok Sabha elections are due, two budgets are tabled in Parliament.

What is India’s total budget 2020?

For year 2020-21: Nominal growth of GDP estimated at 10 per cent. Receipts: estimated at Rs 22.46 lakh crore (US$ 317.90 billion) Expenditure: at Rs 30.42 lakh crore (US$ 430.57 billion)…Union Budget 2020-21.Taxable Income Slab (Rs)Existing tax ratesNew tax ratesAbove 15 Lakh30306 more rows•Feb 1, 2020

What deductions are being removed in Budget 2020?

What’s out Some of the 70 exemptions and deductions you won’t get in new regime.Section 80C investments.House rent allowance.Housing loan interest.Leave travel allowance.Medical insurance premium.Standard deduction.Savings bank interest.Education loan interest.

Is 80c exemption removed?

The important tax breaks that will not be available under the new tax regime include Section 80C (Investments in PF, NPS, Life insurance premium, home loan principal repayment etc.), Section 80D (medical insurance premium), tax breaks on HRA (House Rent Allowance) and on interest paid on housing loan.

How much is the 2020 Union budget?

Expenditure: The government proposes to spend Rs 30,42,230 crore in 2020-21, which is 12.7% higher than the revised estimate of 2019-20.

Which is not in the themes of the Union Budget 2020 21?

Recently the Union Finance Minister has presented the Union Budget 2020-21 with the central theme of ease of living for all citizens, it is based on the following three prominent themes: Aspirational India – better standards of living with access to health, education and better jobs for all sections of the society.

Who passed the budget in India?

The Union Budget is presented by the Union Finance Minister. The last Budget was presented by Nirmala Sitharaman. She will also present the next budget on February 1, 2020.

What is there in Budget 2020?

Here are all the key highlights from Nirmala Sitharaman’s Budget speech: Taxation: * New optional tax slabs: New income tax slabs will be available for those who forgo exemptions. * To simplify the tax system and lower tax rates, around 70 of more than 100 income tax deductions and exemptions have been removed.

How much is the 2020 standard deduction?

In 2020 the standard deduction is $12,400 for single filers and married filing separately, $24,800 for married filing jointly and $18,650 for head of household.

From when is the new budget applicable?

The Union Budget of India, also referred to as the Annual Financial Statement in the Article 112 of the Constitution of India, is the annual budget of the Republic of India. The Government presents it on the first day of February so that it could be materialised before the beginning of new financial year in April.

What are the highlights of budget?

Here are the highlights of this year’s budget:Tax: A new tax regime has been announced. … Economy and Finance: Bank deposit insurance cover had been increased from ₹1 lakh to ₹5 lakh per depositor. … Agriculture: … Health and Sanitation: … Education: … Infrastructure:

Who announced Budget 2020?

Nirmala SitharamanThe Union Budget of India for 2020–2021 (ISO: 2020 kē liē Bhārat kā Kēndrīya Bajaṭ) was presented by the Finance Minister, Nirmala Sitharaman on 1 February 2020, as her second budget. This is the second budget of Narendra Modi-led NDA government’s second term.

What is cheaper and costlier in Budget 2020?

Among the things that got costlier are cigarettes, tobacco products, medical equipments and others due to hike in taxes while the items that will become cheaper include raw sugar, agro-animal based products, tuna bait, skimmed milk, select alcoholic beverages, among others.

What is the biggest source of income for the Central Govt in the Union Budget 2020 21?

What is the biggest source of Income for the Central Government in the Union Budget 2020-21? Explanation: Borrowings and other liabilities account for 20% of the total income of the Central Government.

What are the 3 types of budgets?

Depending on the feasibility of these estimates, Budgets are of three types — balanced budget, surplus budget and deficit budget.

What is the health budget of India?

India’s total healthcare spending (out-of-pocket and public), at 3.6% of GDP, as per OECD, is way lower than that of other countries. The average for OECD countries in 2018 was 8.8% of GDP. Developed nations—the US (16.9%), Germany (11.2%), France (11.2%) and Japan (10.9%)—spend even more.