Major Highlights of Budget 2025

Shah Consultants Blog 01/02/2025 Budget

NEW TAX REGIME

Zero Income Tax for Annual Income up to Rs 12Lakh

No Income Tax Upto Rs 12.75 Lakh for salaried Taxpayer with a standard deduction of Rs 75,000

Budget 2025: Key Highlights

Focus: Economic resilience, inclusive growth (poor, youth, farmers, women), MSMEs, startups.

Taxation: No tax up to ₹12 lakh (new regime), relief for higher incomes, simplified slabs/TDS/TCS, higher LRS threshold (₹10 lakh), increased rent TDS threshold (₹6 lakh), no TCS on education loans (up to ₹10 lakh). New tax bill.

Fiscal: FY25 deficit 4.8% GDP, FY26 target 4.4%. ₹28.37 lakh crore tax receipts (FY26 est.), ₹14.82 lakh crore borrowing. ₹10.18 lakh crore capex (FY25 rev.), ₹1.5 lakh crore interest-free loans to states.

Agriculture: Program for low-productivity districts, high-yielding seeds mission, creating sustainable fisheries. Infra: Broadband for schools/healthcare, expanded Udaan, ₹25,000 crore maritime fund, airport/canal projects.

Industry: National Manufacturing Mission, new urea plant, solar/battery ecosystem, footwear/toy schemes, India Post logistics.

Education/Skills: 5 skilling centers, IIT boost, AI centers (₹500 crore), 50,000 tinkering labs.