Union Budget 2022: main talking points

Here are some main points based on sector wise: 

DEFICIT/EXPENDITURE

• Proposes fiscal deficit of 4.5% of GDP by 2025/26
• Projects fiscal deficit of 6.4% of GDP in 2022/23
• Revised fiscal deficit for 2021/22 at 6.9% of GDP
• Total expenditure in 2022/23 seen at 39.45 trillion rupees
• States will be allowed 4% fiscal deficit to GDP in FY23
• 50 year interest free loans over and above normal borrowing allocated to states
• Scheme for financial assistance to states for capital investment outlay to be 1 trillion rupees in 2022/23

TAXATION

• Import duty on certain chemicals are being reduced
• Customs duty exemption on steel scrap to be extended for another year for small- and medium-sized businesses
• Customs duty on stainless steel, flat products, high steel bars to be revoked
• Unblended fuel to get additional duty of 2 rupees per litre from October 2022

FINANCE

• Emergency credit line guarantee scheme for small and medium sized businesses to be extended to March 2023
• Energy transition and climate action will be a major government priority
• Public issue of Life Insurance Corporation expected shortly
• Initiatives from last year's budget have been provided adequate allocations in this budget
• Special Economic Zones Act to be replaced with new legislation
• To amend bankruptcy code to speed up resolution process
• Aims to lower winding up of companies to 6 months from 2 years currently
• Long term capital gain surcharge to be capped at 15%

DIGITAL CURRENCY

• To launch digital rupee using block chain technology starting 2022/23
• To launch scheme for taxation of virtual digital assets
• Losses from sale of virtual digital assets cannot be offset against other income
• Income from virtual digital assets to be taxed at 30%

DEFENCE

• Govt committed to reducing defense imports

INFRASTRUCTURE

• 5G spectrum auctions to be conducted in 2022
• Scheme for design-led manufacturing for 5G will be part of production-linked scheme
• To award contracts to lay optical fiber in rural areas, completion in 2025
• 480 billion rupees set aside for affordable housing in 2022/23
• To allocate additional 195 billion rupees for production-linked incentives towards solar equipment manufacturing

AGRICULTURE

• Domestic scheme introduced to reduce dependence on oil seed imports
• Fund with blended capital raised under co-investment model to finance agriculture startups
• Railways to develop infrastructure for small farmers in 2022/23

TRANSPORT

• 400 energy efficient trains to be manufactured over next three years
• National highways network to be expanded by 25,000 km in 2022/23
• Highways expansion to cost 200 billion rupees in 2022/23
• India to bring out battery swapping policy

read more: https://economictimes.indiatimes.com/news/newsblogs/budget-2022-live-news-updates-nirmala-sitharaman-announcements/liveblog/89257591.cms