Union Budget 2024: What Nirmala SItharaman said On GST?

Enhancements in GST and Tax Structure

In her address, Sitharaman lauds the success of the Goods and Services Tax (GST), which has significantly reduced tax incidents for the common man and simplified compliance for businesses. She announces plans to further enhance GST benefits by rationalizing the tax structure to improve efficiency and ease of compliance.

Investment in Innovation and Research

Sitharaman reveals the establishment of the Anusandhan National Research Fund, aimed at supporting basic research and prototype development. A financing pool of ₹1 lakh crore will be created to foster private sector-driven research and innovation at a commercial scale.

Support for Mobile Phone Industry

To boost the mobile phone sector, Sitharaman proposes reducing the Basic Customs Duty (BCD) on mobile phones, mobile PCBs, and mobile chargers to 15%. This move is expected to lower production costs and make mobile devices more affordable.

New Venture Capital Fund for Space Economy

A venture capital fund of ₹1,000 crore will be set up to support the burgeoning space economy. This initiative aims to encourage investment and development in space technologies and innovations.

Fiscal Deficit Targets

Sitharaman projects the fiscal deficit for 2024-25 at 4.9% of GDP, with the goal of reducing it to below 4.5% in the near future. This target reflects the government’s commitment to improving fiscal discipline and ensuring sustainable economic growth.

The Union Budget 2024-25 showcases a commitment to enhancing GST benefits, investing in research and innovation, supporting key industries, and achieving fiscal prudence.