Chandigarh
Budget 2022 was announced by the finance minister in the shortest speech ever today. It brought huge disappointment for the salaried and middle-class income group which was expecting an increase in standard deduction, increase in tax slabs etc. Nevertheless, the FM seems to have focused on building eco-system for the digital economy.
Not only did FM announce the extension of tax schemes for the start-ups and new manufacturing unit but also opened up the arena for digital currency and digital education. The concept of digital university which shall come up in GIFT city would prove advantageous to a large number of students across the country. To curb the tax evasion, budget 2022 brought harsh provisions in respect of undisclosed incomes found during Income Tax Search proceedings. Further a concept of Updated Income Tax Return has also been announced which will now allow the taxpayer to file updated return by paying additional tax ranging from 25% to 50%.
The focus has also been made to reduce the corruption in the Income Tax Department by introducing the National Faceless Assessment Centre. This will go a long way in bringing transparency in the income tax procedures. The introduction of 30% tax on the income earned on crypto currencies is a welcome step looking at the huge amount of money invested. Further the announcement of digital currency by the Reserve Bank of India came as a big surprise looking at the lack of infrastructure in the country to effectively implement blockchain.
All in all Budget 2022 is absolutely futuristic which tries to build an imaginative castle heading towards 100 years of India’s independence. Budget near to the ground realities would have been much more appreciated.
