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Budget Highlights: Space industry seeks PLI scheme, liberal FDI policy

LIVE updates: The central government focus is likely to be on controlling inflation and adjusting the fiscal deficit ahead of the Lok Sabha polls. Catch all the budget-related live updates here

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LIVE updates Budget 2024: Firms operating in the space sector have sought a liberal FDI policy on a par with the defence industry and production-linked incentive in the upcoming interim Budget.

In another development, the third phase of the FAME (Faster Adoption and Manuf–acturing of Hybrid & Electric Vehicles) scheme, expected to be proposed in the upcoming Union Budget.

By extending tax concessions on contributions and withdrawals especially for senior citizens above 75 years, the Centre could make  the National Pension System (NPS) more attractive. Finance Minister Nirmala Sitharaman will present the interim Budget on February 1. This is going to be her sixth Budget. PFRDA has sought "parity" with Employees' Provident Fund Office (EPFO) on the taxation front for contributions by employers. Some announcements in this regard are expected to be made in the interim Budget. At the current moment, there is a disparity in the employers' contributions in building corpus for the employees, wherein contributions up to 10 per cent of basic salary and dearness allowances by a corporate are exempt from tax for NPS contributions, while the same is 12 per cent in the case of EPFO.  

At the current moment, an citizen's contribution of up to Rs 50,000 to the NPS under Section 80CCD (1B) as deduction under the old tax regime but not under the new tax regime.  This is over and above Rs 1.5 lakh tax relief given under Section 80C in the OPS.  The centre had last year set up a committee under Finance Secretary T V Somanathan to review the pension system and suggest measures for its betterment.  The details of the report have still not been maid available on the public domain. 
 
Telecom infrastructure providers have asked for an increase in tax depreciation rate and rationalisation of TDS provisions.  Measures to facilitate ease of doing business will increase investment and contribute to the industry's long-term growth,  firms under the aegis of Digital Infrastructure Providers' Association (DIPA) said. Summit Digitel, American Towers, Indus Towers, Ascend Telecom, Cloud Extel, Pratap Technocrats, Crest Digitel, Signotox Towers, Applied Solar Technologies, iBUS Networks, and Suyog Telematics, are some of the members of this association.


 

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Economic Survey 2024: Key aspects you must know about document

The Economic Survey of India is an annual report crafted by the Economic Division of the Department of Economic Affairs, Ministry of Finance, Government of India. Typically unveiled just before the Union Budget presentation in Parliament, the survey offers a comprehensive overview of the Indian economy, its performance, challenges, and policy recommendations. Read more
5:24 PM

Space industry seeks liberal FDI policy, PLI scheme in Union Budget

India's nascent space sector has sought a liberal FDI policy on a par with the defence industry and production-linked incentive in the interim Budget that the government will present next week. The industry body Indian Space Association (ISpA) has also sought GST exemption for satellites, launch vehicles and ground equipment manufacturing, lower tax rates for external commercial borrowings and reduction of satellite sector withholding tax from 10 per cent to two per cent, given the low profit margins.
5:07 PM

Budget 2024 LIVE updates: Space industry asks for liberal FDI policy, PLI scheme in Union Budget

The Indian Space Association (ISpA) has sought GST exemption for satellites, launch vehicles and ground equipment manufacturing, along with lower tax rates for external commercial borrowings. Click here for more details.
4:58 PM

Union Budget 2024: Possible changes in schemes

MGNREGS
The central government is likely to increase the allocation towards the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) by around 47 per cent to Rs 88,000 crore from Rs 60,000 crore at the present moment, according to a report by the Economic Times (ET). Read here for more details.
3:53 PM

Union Budget 2024: Possible changes in schemes

 
Ayushman Bharat Scheme
The central government is looking into a proposal to double the health cover under the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana to Rs 10 lakh from Rs 5 lakh currently, according to news agency PTI. The announcement is expected during the interim budget speech on February 1.
3:45 PM

Budget 2024 expectations: FM Sitharaman may significantly enhance allocation for farm sector schemes

The Centre is likely to increase allocation for key farm sector schemes and push credit in the interim Budget to boost rural economy as growth in the agriculture sector is projected to fall to 1.8 per cent in 2023-24 from 4 per cent a year ago.

In the 2019 interim Budget ahead of the 2019 general elections, the centre announced PM-Kisan Samman Nidhi, under which up to Rs 6,000 is given to small farmers annually. In the poll year,  there are expectations that the quantum could rise in the upcoming Budget.
1:56 PM

Disinvestments slow, but Centre keeps earning dividends from state-run cos

There has hardly been any disinvestment of state-run companies in Financial Year 2023-34 (FY24), but dividends from such firms more than made up for government receipts, Business  Standard reported today. FY24 will most likely have the lowest collection in disinvestment in a decade. Read here for more details.
1:41 PM

Budget 2024 news update: Apparel exporters AEPC seeks tax incentives in Budget to boost manufacturing

Apparel exporters body AEPC todayurged the Centre to provide tax incentives such as uniformity in GST and enhanced interest subsidies to give a filip to domestic manufacturing and India's outbound shipments.
12:58 PM

Budget 2024 LIVE news: Expansion of scope for Digilocker expected by experts in this budget

Experts anticipate the expansion of the scope for the usage of Digilocker in the interim Budget 2024.
12:22 PM

Budget 2024 LIVE: India's business activity expanded at fastest pace in four months in January, says survey

India's business activity  expanded at the fastest pace in four months in January due to  stronger demand, according to a private survey.  The findings suggest that India would continue to hold onto its title as the fastest growing major economy in the near-term at least.
11:48 AM

Budget 2024 LIVE: Telecom infrastructure providers bat for input tax credit

Mobile tower companies have urged the finance ministry to  release the input tax credit (ITC) and asked for the rationalisation of tax deducted at source (TDS) provisions in the upcoming Budget. The Digital Infrastructure Providers Association (DIPA) stated on Tuesday that the sector needed the Centre's intervention for the availability of ITC on telecom towers. Release of ITC has been a major demand from the industry over the past few years. Read here for more details.
11:41 AM

Budget 2024 LIVE: FAME-III scheme expected to be proposed this Union Budget

The third phase of the FAME (Faster Adoption and Manuf–acturing of Hybrid & Electric Vehicles) scheme, expected to be proposed in the upcoming Union Budget. The allocation for e-buses is expected to increase to Rs 4,500 crore under FAME-III from Rs 3,209 crore in FAME-II. Read here for more details.

11:36 AM

Budget 2024 LIVE news: Govt may announce social security funding for informal workers

 Finance Minister Nirmala Sitharaman may introduce a social security fund targeted towards the unorganized sector's labor force, including gig and platform workers in India.
10:41 AM

Budget 2024 expectations LIVE update: Centre likely to increase capital expenditure

 
 
 The Centre is expected to increase capital expenditure, particularly in the infrastructure sector, in the upcoming Budget to boosteconomic growth. In the current fiscal year, the government made a historic allocation of Rs 10 trillion for capital expenditure. This shows a rise from the Rs 4.39 trillion earmarked in 2020-21, marking a 35 percent rise to Rs 5.54 trillion in the subsequent year.
10:25 AM

Centre could announce steps to promote, make NPS more attractive

The government may make the National Pension System (NPS) more attractive by extending tax concessions on contributions and withdrawals especially for senior citizens above 75 years.  

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First Published: Jan 24 2024 | 10:17 AM IST

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