New jobs
Production Linked Incentive (PLI) scheme will create 60 lakh new jobs. These new workforce can be your potential clients.
Interoperability between postal savings and bank accounts
Digital transaction between postal savings and bank account is now possible through NEFT. In future, MF investments may be possible through postal savings account.
Also, the government will set up 1.50 lakh new post offices.
In addition, government will set up 75 digital banks in 75 locations.
One more insurance scheme for distribution
General insurers to launch surety insurance in India. Surety insurance aims to protect parties from financial loss arising out of payment defaults. Simply put, if an entity or an individual fails to honour debt obligation due to default, insurance company will underwrite such a financial loss.
Crypto
RBI will issue digital rupees through blockchain technology to combat unregulated cryptocurrencies.
Further, gains made from transfer of crypto will be taxed at flat 30%. In case of losses, it cannot be set off against any gains. In addition, crypto will be subject to 1% TDS.
Other key highlights
- Government to issue sovereign green bonds
- Capex will increase to 7.5 lakh crore, an increase of 37%
- While India’s expenditure for FY 2023 is Rs.39.45 lakh crore, the country will receive income of Rs. 22.84 lakh crore through receipt of taxes. This indicates that India has pegged its fiscal deficit target at 6.9% to meet its expenditure
- Tax payers can file updated returns within 2 years of filing the original returns
- In line with corporate India, the taxation structure for co-operative societies has been reduced to 15%
- Government has reduced corporate surcharge from 15% to 7%
- State government employers can now increase their NPS contribution to 14%. This will reduce their income tax burden to large extent
- Surcharge on long term capital gains for association of persons (AOPs) is reduced from 37% to 15%
