Avinash A.’s Post

The Interim Budget 2024-2025 is focused on achieving comprehensive development across all sectors, including physical, digital, and social infrastructure. It aims to promote formalization and financial inclusion through the deepening and widening of the tax base via GST. Proactive inflation management and strengthening the financial sector to boost savings, credit, and investment are also key priorities. Allocations have been made for various ministries, such as Agriculture and Farmers' Welfare, Consumer Affairs, Food & Public Distribution, Road Transport and Highways, Home Affairs, Railways, Chemicals and Fertilizers, Communications, and Rural Development. Tax proposals in the budget provide certain benefits to start-ups and investments made by sovereign wealth funds and pension funds. Tax exemptions for some IFSC units have been extended, and corporate taxes remain the same, with 22% for existing domestic companies and 15% for new manufacturing companies. Under the new tax regime, taxpayers with an income up to ₹7 lakh have no tax liability. Revenue sources for the government include non-debt capital receipts, customs, GST and other taxes, corporation tax, union excise duties, and income tax. The budget also prioritizes inclusive development in aspirational districts and aims to double FDI inflow and increase capital expenditure. Overall, the Budget 2024-2025 aims to promote people-centric inclusive development while managing inflation through strong financial sector policies, including GST implementation. Don't miss out on this insightful budget that sets the path for progress in various sectors. Let's make the most of the opportunities it presents! CA Nitin Guru 💰🆖🟩 Thinking Bridge #InterimBudget #Budget2024 #InclusiveDevelopment #FinancialSector #GST #ProgressOpportunities

Embracing Progress: The Interim Union Budget 2024-25 Highlights (Part 2/2) In the latest unveiling of the Interim Union Budget 2024-25, we're witnessing a steadfast commitment towards fostering inclusive growth and sustainable development. Here's a closer look at the pivotal changes and initiatives introduced: 🔹 Direct Taxes: Stability in Sight: Tax rates remain unchanged, signalling stability and confidence. Remarkable Growth: A tripling in direct tax collection over the past decade showcases economic resilience. Enhanced Services: A commitment to improving taxpayer services, easing the journey for everyone. Relief Measures: Substantial relief for taxpayers with outstanding demands, easing burdens and fostering goodwill. Incentivizing Innovation: Extended tax benefits for Start-Ups and investments, fueling the fire of innovation and progress. IFSC Units' Boost: Extended tax exemptions promise International Financial Services Centre units a brighter horizon. 🔹 Indirect Taxes: Consistency Continues: With unchanged tax rates and import duties, the focus remains on stability. GST: A Revolutionary Step: Doubling the average monthly gross GST collection, the GST has been a game-changer for India's indirect tax system. Supply Chain Optimization: Reduced compliance burdens and lower logistics costs set the stage for a more efficient and consumer-friendly market. 🔹 Tax Rationalization Efforts: Broadening the Base: No tax liability for incomes up to Rs 7 lakh, making fairness a priority. Simplified Taxation: Increased thresholds for presumptive taxation, acknowledging the unique challenges retail businesses and professionals face. Corporate Tax Cuts: Reduced rates to spur growth and competitiveness on the global stage. 🔹 Economic Growth: Reflecting on the journey since 2014, this budget is not just a financial statement but a blueprint for attracting investments, supporting reforms, and instilling hope. With a 'nation-first' approach, we stand on the brink of an exciting era as India strides towards economic prosperity and a more inclusive and equitable growth story. #UnionBudget2024 #TaxReforms #EconomicGrowth #IndiaFirst Nirmala Sitharaman Let's discuss it! What are your thoughts on these initiatives? How do you see them impacting our economy and society? Share your insights, questions, or comments below. 🌟

Budget expectations: How budget measures can supercharge your wallet and retail therapy. Rahul Kakkad Raghavendra Vinayakvitthal - Thanks for giving me the opportunity to collaborate with you on this piece.

📈 Budget 2024: FM Hikes Long-Term Capital Gains Tax Rate to 12.5%. In the Union Budget 2024-25, Finance Minister Nirmala Sitharaman announced an increase in the long-term capital gains (LTCG) tax rate from 10% to 12.5%. This change aims to balance revenue generation with economic growth. 💰 Policy Highlights: - New Tax Rate: The LTCG tax rate has been increased to 12.5%. - Purpose: The hike is intended to enhance government revenues while still promoting long-term investments. 🔍 Background: - Previous Rate: The LTCG tax rate was previously set at 10%, applied to gains exceeding INR 1 lakh from the sale of listed equities and equity-oriented mutual funds. - Rationale: The adjustment aligns with the government's efforts to optimize tax revenues without significantly deterring long-term investments. 🚀 Economic Implications: - Revenue Generation: The increased tax rate is expected to boost government revenues, providing additional funds for public expenditure. - Investment Behavior: While the hike may lead to some short-term market adjustments, long-term investors are likely to continue seeking opportunities in equities and mutual funds due to their potential for higher returns. 📈 Market Potential: - Investor Adaptation: Investors may re-evaluate their portfolios to optimize tax efficiency, potentially shifting towards tax-advantaged investment options. - Economic Growth: Despite the tax hike, sustained investment in equities can contribute to economic growth and capital market stability. 📅 Future Outlook: - Balanced Approach: The government's strategy aims to strike a balance between increasing tax revenues and encouraging long-term investments. - Market Resilience: The Indian capital markets are expected to remain resilient, with long-term investors continuing to play a crucial role in driving economic development. The hike in the LTCG tax rate to 12.5% reflects the government's commitment to revenue generation while maintaining a conducive environment for long-term investments. #Budget2024 #CapitalGainsTax #Investment #EconomicPolicy #Finance #StartupNews #BusinessNews #MicroShots #NewsUpdates

#BudgetWithMC | Consumer sector companies are expecting a demand boost from the #InterimBudget2024 through tax rebates and higher government spending in priority sectors.   Here's what experts anticipate 👇 https://lnkd.in/d5vHd78G #Budget2024 #UnionBudget2024

Is the government encouraging Tax evasion through the budget 2024❓️ Nirmala Sitharaman's recent budget changes—raising taxes and removing indexation benefits—have triggered a lot of concern among salaried and middle-class individuals. A few days ago, I stumbled upon a startling revelation. At BharatNex, we help restaurant and hotel owners enhance their income with EV charging infrastructure setup. During one such interaction, I witnessed something troubling...😵 I saw the restaurant manager rejecting online payments and hiding the QR code device for 4 out of 5 customers, accepting ONLY CASH ... 💸 The owner—a friend of mine, admitted they were indeed evading taxes, driven by his CA’s advice to hide 80% of their income. This made me wonder: Are these budget changes pushing more businesses into unethical practices?🤨 Do you know why this is a BIG problem? 👉 Business owners have numerous options to avoid taxes and claim significant deductions before paying taxes. But, salaried individuals don't have that privilege! 😶 Their employers pay taxes before they even receive their salary. In this case, where employers have the freedom to claim benefits – instead of ethically claiming and paying taxes, they evade them. Tax evasion by businesses puts immense pressure on salaried individuals, who end up bearing a larger tax burden. 👉 This is because the government has a set budget to collect due to the fiscal deficit. Restaurant owners claim the government is unfair, but their actions squeeze their employees and hinder our nation's development. In this equation, employees have no option to escape—where can they go?🤐 ⭕️ PS~ Is there a way to make business owners understand the repercussions of their actions? Can we encourage them to contribute to the country's growth ethically or is there a way the government could set regulations similar to those for employees to ensure businesses pay their fair share? I’d love to hear your thoughts and suggestions on how we can tackle this issue effectively. Let's discuss and find a solution together. #taxevasion #financeminister #restaurantbusiness #ethicalbusiness #bharatnexenergy #evcharging #indiaeconomicgrowth #budget2024

Budget 2024: A Mixed Bag for Businesses and Middle Class 💼🤔 The Union Budget 2024 is out, and it's a rollercoaster of emotions for businesses and the middle class! Let's break it down: For Business Owners: Pros: - Capital Expenditure Boost: Increased capital expenditure is a major win for businesses, especially in infrastructure and manufacturing. This can lead to increased demand for goods and services. 🚀 - Focus on MSMEs: The budget's emphasis on MSMEs is encouraging. Measures like credit guarantees and support for digital payments can help small businesses grow. 💪 - Tax Incentives: While specific details are crucial, potential tax incentives can improve cash flow and boost investment. 💰 Cons: - Increased Compliance Burden: New compliance requirements can be time-consuming and costly for businesses, especially for MSMEs. 📄 - Rising Input Costs: Increased customs duties on certain items can impact input costs, squeezing profit margins. 📈 - Uncertainty in Tax Regime: The option for a new tax regime with lower rates but fewer deductions might create confusion and complexity. 🤔 For Middle Class Employees: Pros: - Tax Relief: The increased standard deduction and revised tax slabs are positive steps towards reducing the tax burden for many. 🎉 - Focus on Affordable Housing: Increased allocation for affordable housing can benefit homebuyers, especially first-time buyers. 🏠 - Investment Incentives: Potential tax incentives for investments can encourage savings and wealth creation. 📈 Cons: - Rising Inflation: Despite tax relief, rising prices can erode purchasing power, offsetting the benefits. 🛒 - Limited Impact on Job Creation: While the budget aims to create jobs, the actual impact on employment generation remains to be seen. 💼 - Increased Tax on High-Income Earners: Higher taxes for the upper middle class might impact consumption and investment. 💰 Overall, the budget is a step in the right direction, but its impact will depend on effective implementation. Click here to know more: https://lnkd.in/gTnBinxC Let's discuss which aspects of the budget you found most impactful! #Budget2024 #IndianEconomy #Business #MiddleClass #Finance #Economy #India #Tax #MSMEs #Jobs #Investment #Inflation

The Era of Big Taxes Is Upon Us In the U.S., tax receipts at all levels of government climbed to nearly 28% of GDP in 2022, up from 25% in 2019 and the highest level since at least 1965, aside from a brief period of budget consolidation during the Clinton administration.

I have been saying to clients for some time that there is a maximum level of taxation that we the workers can bear, and even under a ‘blue’ government, we have been taxed to the hilt. So, the danger this new government faces is that if they tip the tax scale too far, then workers may start to refuse to work, and many of us can remember the 1970’s. To demonstrate this point we can refer to the famous ‘Laffer Curve’, which was created by the economist Arthur Laffer, see image. The curve, which he reportedly drew on a napkin in 1974, demonstrates brilliantly that both zero and 100% tax rates generate zero revenue – one because nothing is taxed, the other because nothing is produced.  The real debate is then what happens in between the two extremes as whilst raising taxes can boost revenue, there’s a tipping point after which it stifles growth. Like most things, it’s all about getting the balance right with each of us being rewarded for our unit of labour resulting in our own satisfaction and fulfilment. This government will do well to reflect on Laffer’s most basic insight: if you tax too much, you risk killing the very activity that fuels the economy, and they will need to spin a lot of plates in order to meet the demands of the electorate. It won’t be easy but if we have a growing economy where work is rewarded (keeping your own money) and each of us lives ‘our own good life’ then they may discover the secret sauce, and therefore I wish them luck, for all our sakes.