Finance Minister delivers balanced Budget, minus freebies

The budget has taken advantage of the fiscal space created by the end of the Covid free-food programme, lower fertiliser subsidies, and a sharp reduction in MGNREGA outlay. This has made possible the reduction of ₹37,000 crore in direct taxes. The finance minister wants taxpayers to shift to the new income tax regime which disallows myriad individual exemptions but gives a higher exemption limit of ₹7 lakh, facilitating both taxpayers and collectors. This has an element of election budgeting.

Finance Minister delivers balanced Budget, minus freebies
The budget has taken advantage of the fiscal space created by the end of the Covid free-food programme, lower fertiliser subsidies, and a sharp reduction in MGNREGA outlay. This has made possible the reduction of ₹37,000 crore in direct taxes. The finance minister wants taxpayers to shift to the new income tax regime which disallows myriad individual exemptions but gives a higher exemption limit of ₹7 lakh, facilitating both taxpayers and collectors. This has an element of election budgeting.