The last full budget of India before the Lok Sabha polls has turned out to be middle class-friendly by introducing a tax regime where those with an income below Rs 7 lakhs a year don't need to pay taxes. Although the Finance Minister Nirmala Sitharaman didn't address cryptocurrencies, the budget also rolled out welfare schemes for tribals among other underprivileged groups. Speaking in the parliament, the minister didn't lose the opportunity to take a jibe at Rajasthan CM Ashok Gehlot, who read last year's budget in the state assembly.
Speaking about Gehlot's gaffe, Sitharaman started by hitting back at Congress over corruption, and went on to advise them to wash their mouth with dettol. She also referred to the mistake by Gehlot, and said that she prays to god that no one should face such a situation.
About food subsidies
Addressing concerns about a cut in food and fertiliser subsidies, Sitharaman said that while it went up to Rs 1.2 lakh crore between 2015 and 2020, food subsidies for FY23 are projected at Rs 1.97 lakh crore.
On the middle class
Addressing questions about the new tax regime cutting down savings via exemptions, Sitharaman said that it will benefit salaried people in the lower tax bracket. Since the new rebate limit is unconditional, it will leave people with more disposable income for essential expenses.
Generating employment via investment
Speaking on steps for employment generation, the minister added that of the Rs 10 lakh crore increase in capex, Rs 1.30 lakh crore will be set aside for state governments. She also highlighted Rs 2 lakh crore credit at lower interest rate for medium and small business, enabling them to create more jobs via business expansion.
