Cybersecurity players seek digital security push

Budget 2024 Expectations Live: Logistics industry wants ease of doing business, incentives for green initiatives      

Logistics industry is expecting steps that will further improve ease of doing business in the country, incentives and benefits for green initiatives in the sector, among others, in the Union Budget for 2024-25.

"There is significant scope to improve the ease of doing business by streamlining regulations and adopting digital processes. Simplifying and ensuring consistency in GST administration, greater clarity and standardisation in interpretation of customs procedures, and TDS regulations are crucial steps in this direction," said R S Subramanian, Senior Vice President & Managing Director, DHL Express India.

Budget 2024 News Live: MSME sector for doubling loan limit under MUDRA to Rs 20 lakh               

The finance ministry in the forthcoming Union Budget needs to double the loan limit to Rs 20 lakh under the MUDRA Yojana, and expand the credit guarantee cover for unsecured loans for MSMEs from Rs 2 crore to Rs 5 crore.

MSMEs also want incentives from the government to help them sell products globally.

On expectations from the Budget, Navin Saini, chief business officer (Retail & MSME), Arka Fincap said the government will continue its agenda to provide a strong foundation for MSMEs, bolstering their growth.

Budget 2024 News Live: Budget should focus on taming inflation, boosting growth, says former FM Yashwant Sinha               

Former finance minister Yashwant Sinha has said that the Union Budget should focus on taming inflation and accelerating economic growth.

Sinha emphasised that GDP should grow at 8 per cent to eradicate poverty in the country.

“Budget should talk about addressing the issues of inflation and accelerating growth,” said Sinha who was finance minister in the Vajpayee government.

Budget 2024 Expectations Live: Cybersecurity players seek digital security push

With India looking to embrace artificial intelligence rapidly, cybersecurity players expect that the upcoming Union Budget will include measures to boost safety of the country's digital space through further allocation of funds and incentives.

Innefu Labs, CEO and Co-founder Tarun Wig said the global focus on AI presents a critical juncture for India.

"The AI and ML (machine learning) models can be trained to identify and prevent 'zero-day' attacks. But this will require support from the government (in) nurturing and retaining top cyber talent, and empowering companies to invest in training AI models for cybersecurity," Wig said.

Budget 2024 Expectations Live: Gaming, alcohol and tobacco firms hope for favourable tax treatment

Chatter on the Street is that excise duty or NCCD duty on cigarettes and other tobacco products could rise. For the alcohol segment, a more standardized tax structure across states, coupled with investments in responsible consumption initiatives, could unlock the sector's full potential, said Tushar Bhandari, Associated Alcohols and Breweries. Read full report here

Budget 2024 Expectations Live: Healthcare sector experts urge govt to boost spending, infrastructure

Ahead of the Budget, experts from the healthcare sector have emphasised the need for increased government spending, improved infrastructure, and enhanced innovation to build a robust healthcare system in India.

Apart from that, the Indian healthcare industry holds greater expectations from the Budget, right from affordability and accessibility to quality enhancements and more research and development.

Budget 2024 Live: Centre should stop treating Delhi stepmotherly, give city its due in Budget, says Atishi

Delhi Finance Minister Atishi has demanded Rs 10,000 crore from the Centre for infrastructure development, claiming the city government got nothing in return over the past year despite its income tax contribution of Rs 2 lakh crore.

Delhi also provided Rs 25,000 crore as central GST to the pool of taxes, the minister said during a press conference here.

Ahead of the presentation of the Centre's annual budget, Atishi batted for release of more money to Delhi, saying it could be spent on infrastructure development in road, transport and power sectors as well as to beautify the city.

Budget 2024 Expectations Live: Industry expects govt to focus on rural economy, agri-infra

With Finance Minister Nirmala Sitharaman gearing up to present the first Budget of the Modi 3.0 government, industry players expect that the government would come out with proposals to boost the rural economy and earmark adequate funds for agri-infrastructure development.

The government has a capital expenditure target of Rs 11.1 lakh crore in the Interim Budget Estimate (IBE), said Ashish Modani, Icra's senior vice president and co-group head - corporate ratings.

He said against the embedded growth target of 17.1 percent for FY2025 (over the preceding fiscal), the government's capital expenditure declined by 14.4 percent on a year-over-year basis to Rs 1.4 lakh crore in April-May FY25 amid a volatile monthly trend.

"Further, the capex numbers are typically low in the monsoon months, thereby suggesting that the required monthly run-rate in the second half of FY2025 would be quite sharp to achieve the IBE for the fiscal. Consequently, ICRA believes that the government is likely to retain its capital expenditure target of Rs 11.1 trillion for FY2025," Modani said.

Budget 2024 News Live: Budget being prepared to make crony capitalists richer, says Congress

Days ahead of the presentation of the Union Budget, the Congress on Friday alleged that it would be aimed at making a few crony capitalists richer rather than addressing concerns such as unemployment, rising inequalities and "drying up" of FDI.

Congress spokesperson Supriya Shrinate also alleged that this government has nothing to do with common people, farmers, youth, women and middle class, and claimed that the upcoming budget, like in the past years of the Modi government, is being prepared to build more monopolies in various sectors.

Budget 2024 LIVE: Disability rights activists demand increased budget allocations for inclusive development          

Disability rights activists expect a substantial financial support in the upcoming budget to address the needs of persons with disabilities to ensure their development.

Arman Ali, executive director of the National Centre for Promotion of Employment for Disabled People, stressed the need for earmarking budgets under central and state schemes across different ministries to ensure targeted funding for disability inclusion.

This, he believes, would address the diverse needs of persons with disabilities and ensure adequate support across multiple sectors.

Ali also highlighted the urgent need for allocations to improve accessible infrastructure, including community hospitals, primary health centres, district hospitals, and sub-district hospitals.

Budget 2024 LIVE: Will govt increase Section 80C deduction limit?

Individual taxpayers are primarily requesting a revision of income tax slab rates and an increase in Section 80C tax deduction benefits, which currently allow a Rs 1.5 lakh reduction in taxable income for specific investments and expenditures. The limit, last reviewed in 2014 by the NDA government, has not been changed since, leading to widespread anticipation of an increase this year.

Budget 2024 News LIVE: Union Budget 2024 may revitalize FMCG sector with rural focus

Investors in FMCG companies have faced challenges due to food inflation, poor monsoons, and stagnant wages impacting rural demand. However, a shift in government focus towards the rural sector in the upcoming Budget, with increased social sector spending and welfare schemes, is expected to boost rural consumption. This could significantly benefit FMCG companies, particularly large-cap consumer staples and those expanding their geographical reach.

Budget 2024 News LIVE: India's economy poised for robust growth ahead of Union Budget

India's economy is expanding at the fastest rate among major emerging economies, and tax receipts are higher, factors that could prompt Finance Minister Nirmala Sitharaman to increase spending in the new 2024/25 budget that will be presented to parliament on July 23. Read the report here.

Budget 2024 LIVE: Modi 3.0 budget to boost clean energy investments, experts predict

The government is expected to announce significant measures in the 2024-25 Union Budget to promote investments in renewable energy. Experts predict policies including viability gap funding, incentive schemes, and tax concessions to boost the clean energy sector.

Additionally, there may be a focus on battery storage, hydrogen purchase obligations, and tax reforms to support green hydrogen projects. These measures aim to streamline investment and encourage growth in renewable energy infrastructure.

• Focus on Reforms: Emphasis on reforms to position India as the fastest-growing economy.
• PLI Scheme Expansion: Expected to extend to new sectors, especially those with high import volumes and export potential.
• SEZ Policy Overhaul: Clarity sought on the Development of Enterprise and Service Hub (DESH) Bill to replace the current SEZ Act.
• MOOWR Scheme Issues: Address challenges in the Manufacturing and Other Operations in Warehouse Regulations (MOOWR) scheme, including IGST deferment and capital goods valuation.
• Trade Facilitation: Improvements in the Authorized Economic Operator (AEO) program and Special Valuation Branch (SVB) processes.
• Technology in Trade: Push for digitalizing customs appeal and refund processes to enhance efficiency and transparency.

Budget 2024 LIVE: Travel industry seeks infra status for hotels, measures to drive domestic tourism

The travel industry is eagerly anticipating several key provisions in Budget 2025, including infrastructure status, GST rationalization, adjustments to Leave Travel Allowance (LTA), and incentives aimed at boosting domestic tourism destinations.

Aashish Gupta, Consulting CEO of the Federation of Associations in Indian Tourism and Hospitality (FAITH), emphasized that granting infrastructure status to the hospitality sector would facilitate an increase in branded hotel supply at reduced costs. More here.

• Cybersecurity experts are calling for increased funding and incentives in the upcoming Union Budget to bolster India's digital security amidst rapid AI adoption. Key figures like Tarun Wig of Innefu Labs and Shashank Shekhar of FCRF emphasize the need for government support in AI training, cyber talent retention, and cybersecurity infrastructure to enhance national defense and reduce cyber crimes.
• They advocate for collaborations with educational institutions for specialized training, and regular security audits for critical infrastructure. The article highlights the critical juncture India faces in becoming a global leader in cybersecurity.

Budget 2024 LIVE: Modi to focus on jobs, incomes in first budget after election setback

Prime Minister Narendra Modi aims to repair voter relations in the upcoming budget by focusing on job creation and income boosts amidst economic unevenness and rising food prices. Modi relies on regional allies TDP and JD(U) for support, as his party didn't secure a majority in the recent election. Finance Minister Nirmala Sitharaman will present the new budget on July 23, potentially introducing measures to support domestic manufacturing, reduce personal income tax for some, and increase subsidies on rural housing and food. Increased spending without expanding the deficit is expected, leveraging a record $25 billion transfer from the Reserve Bank of India.

Budget 2024 Expectations LIVE: Budget must address fundamental questions such as why is private investment very sluggish, says Congress 

The Congress party has said that the forthcoming Budget must address fundamental questions such as why private investment is "very sluggish" and private consumption is not picking up as the party dismissed claims that economic growth is accelerating sharply and large numbers of jobs being created.

Congress general secretary, in-charge communications, Jairam Ramesh said, "The non-biological PM's cheerleaders and drumbeaters claim that economic growth is accelerating sharply and that jobs are being created in large numbers."

"But if this was the case -- and it is not-- Why is private investment, a key engine of economic growth, still so very sluggish recording a 20-year low during April-June 2024?" Why is private consumption, another key engine of economic growth, not picking up except at the high end, Ramesh asked.

Budget 2024 Expectations LIVE: Realty sector anticipates tax relief in the upcoming Budget

Budget expectations of realty sector:

Industry Status: Granting industry status to real estate to improve access to funds and attract foreign investment.

Affordable Housing: Funding for SWAMIH scheme, new subsidy schemes like CLSS under PMAY, and revising affordable housing definitions.

Tax Benefits: Revising tax slabs, increasing standard deductions, and raising home loan interest deduction limits.

Digitization: Digitizing land records to enhance transparency and streamline transactions.

• Nomura predicts the government to lower its FY25 fiscal deficit target to 5 percent of the GDP, down from the 5.1 percent announced in the interim Budget.
• "Despite the increased financial demands of the two key allies (estimated to be around 0.2 percent of GDP in FY25), we expect the government to use the space afforded by higher RBI dividend (~0.4 percent of GDP) and lower FY24 fiscal deficit (~0.2 percent of GDP)," Nomura stated.

Economic Survey 2024 Preview: Watch for GDP growth forecast, comments on food inflation, climate strategies

The Economic Survey is scheduled to be presented on July 22, preceding the full Budget for 2024-25. This annual document will highlight crucial economic indicators, prominently featuring projections for real GDP growth in the current financial year.

Moneycontrol outlines significant aspects to monitor in the series of documents overseen by India's Chief Economic Advisor, V Anantha Nageswaran. Read the report here.

Budget 2024 Expectations LIVE: Assocham suggests structural reforms in the agriculture sector to enhance productivity

- Assocham has suggested structural reforms in the agriculture sector to enhance productivity, market access, and income opportunities for farmers.

- It also suggested promoting contract farming, investing in agri-infrastructure, facilitating value chain integration, and encouraging diversification into high-value crops.

• Educationists are hopeful that the first Budget of Modi 3.0 will see a significant increase in the allocation for the education sector with an emphasis on research. They have called for greater investment in research to foster innovation and keep pace with global advancements, stating that strengthening these capabilities is crucial for India’s growth in science, technology, and other critical areas.
• Enhanced funding in research and development is seen as essential for building a robust educational foundation that can drive the country towards a knowledge-based economy.

• The government has a capital expenditure target of Rs 11.1 lakh crore in the Interim Budget Estimate (IBE), said Ashish Modani, Icra's senior vice president and co-group head - corporate ratings.
• He said against the embedded growth target of 17.1 per cent for FY2025 (over the preceding fiscal), the government's capital expenditure declined by 14.4 per cent on a year-over-year basis to Rs 1.4 lakh crore in April-May FY25 amid a volatile monthly trend.
• "Further, the capex numbers are typically low in the monsoon months, thereby suggesting that the required monthly run-rate in the second half of FY2025 would be quite sharp to achieve the IBE for the fiscal. Consequently, ICRA believes that the government is likely to retain its capital expenditure target of Rs 11.1 trillion for FY2025," Modani said.

• Individual taxpayers are strongly advocating for a revision of income-tax slab rates. A major demand centers around increasing the Section 80C tax deduction benefits, which currently allow taxpayers to reduce their taxable income by investing in specific categories.
• Presently, the Section 80C deduction limit stands at Rs 1.5 lakh. This deduction covers a variety of investments and spending categories. There is a widespread expectation that the government will raise this limit. The Section 80C limit was last reviewed in 2014 by the NDA government, with no changes made since then.

Budget 2024 LIVE: Financial planners wish for more tax benefits in NPS

- A separate additional deduction for investment in the National Pension System (NPS) was introduced in FY16, allowing taxpayers investing up to Rs 50,000 in their NPS Tier I account to claim an additional deduction under Section 80CCD (1B) of the Income-tax Act.

- The Union government introduced NPS to provide individuals with a pension income to support their needs in retirement. The Pension Fund Regulatory and Development Authority (PFRDA) regulates and administers NPS under the PFRDA Act, 2013.

Union Budget LIVE: Govt to strike a balance between fiscal deficit, capex for growth, social spending

The upcoming Union Budget is anticipated to set a robust framework for India's economic, infrastructure, and social advancement over the next decade, emphasizing substantial reform initiatives and a forward-looking growth strategy. With a concerted effort to bolster and solidify the 'India growth story', there is an expectation of accelerated reforms aimed at expediting progress. This budget holds heightened significance as it marks the first full-year fiscal plan under NDA 3.0, generating high expectations for comprehensive policy measures and strategic allocations. More here.

Budget 2024: Will the government keep borrowings at the same level or can we see some changes?

Gaura Sen Gupta, chief economist, IDFC First Bank says, the government's financial surplus has increased dramatically as a result of the RBI dividend. With a significantly lower H1FY25 calendar than anticipated, the Center has already lowered borrowings through Treasury bills.Despite a little increase in issuance in H2FY25, the total amount of T-bills issued for the year is probably closer to Rs 12000 crore. We forecast a 5 percent GDP fiscal deficit, which means we may cut net G-Sec (government security) issuance by Rs 33,000 crore to Rs 10.2 lakh crore.

Budget 2024 Expectations LIVE: Taxpayers' expect that government provides relaxation for GST on initial cost of drug development, proposes expert

Jitendra Patel, Associate Partner, Indirect Tax, N.A. Shah Associates notes that taxpayers expectations from the union budget

--There has been huge initial cost for development of drugs in case of pharma industry which leads to blockage of working capital. It is expected from the government to provide relaxation / exemption for GST on these initial costs.

--MRO services in relation to Aircrafts are facing inverted duty structure in relation to ITC as GST in case of inputs higher than the GST in outward supply of MRO services. The company industry expects reduction in parts / components used during the providing MRO services.

--Clarification / valuation rules in relation to services provided by builders to SRA / government for construction of buildings against FSI granted by the SRA / government.

--Reduction in GST rates on health insurance policies. The said policies are treated a basic necessity of citizens in today’s era

Budget 2024 LIVE: Aviation industry seeks tax breaks, ATF relief in Budget 2024

In efforts to alleviate the impact of soaring fuel costs, the aviation sector has proposed tax deductions and rationalizations in its budget recommendations to enhance profitability. Additionally, the industry is advocating for airports to be classified under priority sector lending. India, ranking as the third-largest aviation market globally after the US and China, witnessed a significant rise in domestic air travelers, reaching 4.2 lakh daily in the fiscal year 2023-24, up from 1.85 lakh in 2014. Despite robust growth, profitability within the sector remains a concern. Read more.

• The US-India Strategic Partnership Forum has urged Union Finance Minister Nirmala Sitharaman to ensure a stable and predictable tax environment as she prepares for her annual Budget later this month.
• The US-India Tax Forum, a dedicated Tax Policy Forum of the US-India Strategic Partnership Forum (USISPF), said this in a set of recommendations to Sitharaman.
• In a press release by USISPF, the tax forum said that a stable and predictable tax environment is imperative to boost investment sentiment across sectors.
• "The industry eagerly anticipates the Union Budget 2024-25, the first budget of the re-elected Government, which is expected to introduce measures that will stimulate growth across sectors," it said.

India Budget 2024: Capital gain tax regime is too cluttered. It needs an overhaul

A comprehensive overhaul of the capital gains tax regime is eagerly anticipated by corporations, individuals, and other stakeholders. Over the years, the evolution of the capital gains taxation framework has resulted in a complex system with numerous sub-categories. These categories dictate the taxation of capital assets based on various factors such as holding period, acquisition method, currency used for acquisition, and whether the asset was obtained through previous reorganizations. More here.

India Budget 2024 LIVE: R&D sector expects clear provisions from union budget, says Aalok Kumar, NEC Corporation India

Aalok Kumar, Corporate Officer and Senior VP, NEC Corporation India states that the R&D sector is expecting clear and decisive provisions to advance Viksit Bharat in the upcoming budget. We are optimistic that this Union Budget will prioritize the adoption of digital technologies across critical sectors, particularly in governance, to create a more inclusive, efficient, and participative framework. While technology continues to drive India’s socio-economic progress, the key lies in building the nation into the knowledge capital of the world through enhanced R&D and innovation efforts. This will require continued and rigorous investments into the nation’s talent-pool through concerted training, skilling, and upskilling endeavours.

Budget 2024 Expectations LIVE: Experts speculate on pre-budget expectations from SEZ perspective

Gunjan Prabhakaran, Partner & Leader, Indirect Tax, BDO India shared views and speculations on pre-budget expectations from SEZ perspective. She said, the market expects union budget to provide clarity on the future of SEZ law (e.g. continuation of present SEZ Act or introduction of proposed DESH bill) specially in the context of the first 100 days plan of MOC with respect to changes in SEZ law (NFE, payment of input taxes rather than Customs duty on DTA supplies by SEZ, etc.) and the steps to generate economies of scale.

• The government is likely to introduce amendments to Banking Regulation Act 1949 and other laws to push banking sector reforms during the upcoming Budget session.
• Apart from this, amendments in the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, and the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980 are needed for privatisation of public sector banks, sources said.
• These Acts led to the nationalisation of banks in two phases and provisions of these laws have to be changed for the privatisation of banks, they said. (PTI)

Budget 2024 LIVE: Budget expected to focus on capex, rural demand and support to state governments, says IDFC First’s Gaura Sen Gupta

Gaura Sen Gupta, chief economist at IDFC First Bank, highlighted expectations for the Union budget for fiscal year 2024-25. Emphasizing on capital expenditure, meeting rural demand, and supporting state governments are anticipated focuses. Gupta noted that allocations towards agriculture and rural areas remained steady at 1.3 percent of GDP in the interim budget, suggesting potential increases in funding for schemes like the rural job guarantee, farmer-focused initiatives, and housing. Read more here.

Budget 2024 LIVE: Govt likely to stick to Rs 1.64 lakh crore fertiliser subsidy in FY25

The upcoming Union budget is likely to keep the fertiliser subsidy at approximately Rs 1.64 lakh crore as estimated in the interim financial statement of the government, which is a significant reduction of over 13 percent from the previous year’s expenditure of Rs 1.89 lakh crore, a government official said.

“The fertiliser subsidy allocation is likely to remain more or less the same in the Union budget as urea imports will be significantly lower this year with a boost in nano urea, and the global input prices are expected to be stable,” the official told Moneycontrol on condition of anonymity.

Budget 2024 Expectations LIVE: FM Sitharaman set to unveil her seventh complete budget on July 23

Finance Minister Nirmala Sitharaman is preparing to unveil her seventh complete budget on July 23. Known for her focus on fiscal discipline, substantial capital investment, and initiatives to promote self-reliance and bolster manufacturing, Sitharaman's past budgets have reflected these priorities.

The interim budget she presented in February defied expectations of populist measures typically seen in pre-election budgets, opting instead for a more restrained approach.

Good Morning! Welcome to our live blog on budget news and expectations. Stay tuned for more information.