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Tag: FM Nirmala Sitharaman

  • Medical Insurance To Be Exempted Under GST? FM Nirmala Sitharaman Says THIS | Economy News

    GST Cut On Medical Insurance: A Group of Ministers has been tasked to look into GST rates related to medical insurance and come up with a report by October so that the GST Council can take up the matter in the November meeting.”There were a lot of discussions about whether we should reduce the rate or exempt it, whom should we exempt and whom should not, what happens to group insurance; are we going to carve out only for senior citizens, will this not complicate the implementation?” Finance Minister Nirmala Sitharaman told reporters after hours-long GST Council meeting held on Monday.

    A lot of issues were brought up for further discussion today in the GST Council, Sitharaman said, adding that which is why they felt it should go through a rigorous looking into by the GoM.It will be the rate rationalisation GoM headed by the Deputy Chief Minister of Bihar but with newer members added for this limited purpose.

    #GSTCouncilMeet | Union Finance Minister @nsitharaman announces that the GST compensation cess is projected to reach ₹8,66,706 crores by March 2025, with ₹6,64,203 crores already paid out as of September 5.

    The extended compensation cess, which will continue until March 2026,… pic.twitter.com/Dcj6SyGTKj
    — DD News (@DDNewslive) September 9, 2024

    “We have told them that they will look into this matter and come up with a report by the end of October 2024. The #GST Council which will meet in November, will finalise based on this report which will come from the GoM,” she added.

    Both life insurance and medical insurance premiums attract a GST rate of 18 per cent.Recently, many leaders from opposition-ruled states have requested Finance Minister Sitharaman to reduce GST on medical insurance and premiums. 

    Recommendations during 54th meeting of the GST Council

     GST Council recommends Group of Ministers (GoM) on life and health insurance related GST with existing GoM on Rate Rationalisation; to submit report by end of October 2024

     GST Council also recommends formation of a… pic.twitter.com/FYX3o4Txgv
    — Ministry of Finance (@FinMinIndia) September 9, 2024

    West Bengal Chief Minister Mamata Banerjee has requested the central government to withdraw the Goods and Services Tax (GST) on life insurance and health insurance premiums, terming the taxation on such items as “anti-people.”During the recently concluded Parliament session, the INDIA alliance leaders held a protest against the Central government outside the Parliament, demanding to roll back GST on health and life insurance products. 

    Congress leader Rahul Gandhi also joined the protest.Against that context, Sitharaman had asked the members to write to their respective state’s finance minister so that they could take it up in the GST Council meeting.Speaking on the suggestions by many Opposition members to reduce GST on health insurance premiums, Finance Minister Nirmala Sitharaman stated that taxes were imposed on such items even before the GST regime came into effect in 2017.

    The GST Council, consisting of the Union Finance Minister and representatives from all States and Union Territories, was established to make decisions on various aspects of GST, including tax rates, exemptions, and administrative procedures.The GST regime was brought in to remove the inefficiencies and complexities of the previous archaic taxation system. 

    Over the years, GST has, among others, simplified compliance and reduced the cascading impact of tax. Before July 1, 2017, the indirect tax regime was highly fragmented. The Centre and States were separately taxing goods and services.The GST Council, a federal body, comprises the Union Finance Minister as its Chairman and Finance Ministers from states and Union territories. 

  • FM Nirmala Sitharaman To Meet PSU Banks, RRBs Heads For Performance Review On August 19 | Economy News

    New Delhi: Union Finance Minister Nirmala Sitharaman is set to convene a crucial review meeting at Vigyan Bhawan on Monday to assess the performance of Public Sector Banks (PSBs) and Regional Rural Banks (RRBs).

    This meeting aims to evaluate key financial metrics and the effectiveness of various government schemes, ensuring that these financial institutions are aligned with the economic goals. The morning session of the review meeting is dedicated to the evaluation of the Public Sector Banks from 11:00 AM to 1:00 PM. 

    The review meeting will also focus on several critical areas. Finance Minister along with other participants will review deposit growth, the credit-to-deposit ratio, and asset quality, which are vital indicators of the banks’ health. Additionally, the meeting will address the current status of accounts acquired by the National Asset Reconstruction Company Limited (NARCL) and discuss the action taken thus far, along with future strategies.

    The finance minister will also evaluate the performance of PSBs under government initiatives such as PM Awas Yojana, PM Surya Ghar, and PM Vishwakarma will also be scrutinized, alongside advancements in digital payments and cyber security measures. In the afternoon meeting from 3:00 PM to 5:00 PM, the focus will shift to Regional Rural Banks (RRBs). 

    The agenda includes evaluating key financial parameters, Ground Level Credit (GLC) for agriculture, and the status of technology upgrades. The meeting will also cover initiatives for Micro, Small, and Medium Enterprises (MSMEs), performance under government schemes, recent interventions, and any pending issues that require attention.This comprehensive review is expected to provide valuable insights into the functioning of PSBs and RRBs, enabling the government to enhance its contributions to the economy and ensure financial stability across the nation. 

  • EaseMyTrip To Hire 500 Employees Under One Crore Internship Scheme Announced In Budget 2024 | Companies News

    New Delhi: EaseMyTrip, an Indian online travel company headquartered in New Delhi, will hire 500 interns under a Central Government scheme announced in the Union Budget.

    Nishant Pitti, CEO & Co-Founder of EaseMyTrip, made this announcement on the social media platform ‘X’ after attending Prime Minister Narendra Modi’s inaugural session of ‘Journey Towards Viksit Bharat: A Post Union Budget 2024-25’ Conference organized by the Confederation of Indian Industry (CII) in New Delhi today.

    Pitti on X said, “We announce that @EaseMyTrip will be hiring 500+ employees across India under the new employment scheme introduced by our Hon’ble Finance Minister in the 2025 budget. This initiative supports the government’s vision of employment and skill development for more than 10M youth. We commend Hon. PM @narendramodi ji for his unwavering commitment to building a #ViksitBharat. More details to follow.”

    EaseMyTrip is the first company to announce the hiring of 500 interns after the Finance Minister announced the internship scheme in the Union Budget. EaseMyTrip was founded in 2008 by Nishant Pitti, Rikant Pitti, and Prashant Pitti.

    The company provides hotel bookings, air tickets, domestic and international holiday packages, bus bookings, and white-label services. EaseMyTrip has overseas offices in Singapore, UAE, and Thailand, with country-specific websites for UAE, UK, and Thailand.

    Finance Minister Nirmala Sitharaman announced in the Budget speech that the Centre will launch a scheme for internship opportunities for the youth in the top 500 companies of India as part of the Union Budget 2024-25.

    She said this scheme will be implemented over the next five years and is expected to benefit 100 million youth. Interns will receive a monthly stipend of Rs 5,000 and a one-time assistance of Rs 6,000. The companies will bear the cost of training the interns via corporate social responsibility.

    Pitti said, “We are elated as we plan to add 500+ talented individuals to our team. This move supports the government’s futuristic vision for the country and perfectly aligns with our growth strategy. The expansion underscores our dedication to nurturing the next generation of industry leaders. As we invest in human capital, we intend to set new benchmarks for excellence in the travel sector in India.”

    He further added, “The Hon’ble Prime Minister’s commitment to building a Viksit Bharat is commendable, and we truly support his vision. Our plans to expand our team signify a notable step towards empowering the youth, driving innovation, and contributing to the nation’s progress.”

    EaseMyTrip’s plan to undertake large-scale hiring will positively impact the Indian travel industry’s landscape. By bringing in fresh talent, the brand is helping generate employment in the market while paving the way for growth and innovation across the ecosystem. 

  • Budget 2024: What Is Angel Tax That Is Abolished By FM Nirmala Sitharaman And How Will It Benefit Investors? | Personal Finance News

    Budget 2024: India’s Finance minister Nirmala Sitharaman has proposed the abolishment of the ‘Angel Tax’ for all classes of investors to promote the growth of budding entrepreneurs in the country. Finance Minister Nirmala Sitharaman made this move while presenting the Union Budget 2024-25 on Tuesday. 

    “To bolster the Indian startup ecosystem, boost the entrepreneurial spirit, and support innovation, I propose to abolish the so-called angel tax for all classes of investors,” FM Nirmala Sitharaman said while presenting the budget 2024. 

    What Is Angel Tax And How Will It Benefit Investors? 

    The “Angel Tax” refers to a levy imposed on the capital raised by unlisted companies through the issuance of shares to investors. This tax targets the premium paid by investors above the fair market value of the shares, classifying it as “income from other sources” and taxing it accordingly. The Angel Tax was Introduced in India in 2012 which aims to curb money laundering and prevent the inflow of unaccounted money.

    In September last year, the Income Tax Department notified new angel tax rules that comprise a mechanism to evaluate the shares issued by unlisted startups to investors. Over 1.17 lakh startups are registered with the government. They are eligible for availing of incentives under the government’s Startup India initiative. 

    Commenting on the announcement, Deloitte India Partner Sumit Singhania said it is a positive move as it would help reset not only the tax cost matrix for investors in startups but for foreign strategic investors as well.

    “It also puts out a progressive view of tax policy making by the government. Since this levy has stung for more than a decade since it was introduced in 2012, the withdrawal of angel tax entirely means a timely course correction as the government rolls out the red carpet for long-term strategic investment as well as more risk-capital to promote innovation and R&D,” he said. (With Inputs From PTI) 

  • Economic Survey 2023-24 To Be Tabled Today: Know Its Importance And History | Economy News

    New Delhi: Finance Minister Nirmala Sitharaman will table the Economic Survey for 2023-24 in the Lok Sabha on Tuesday soon after President Droupadi Murmu`s Address to both Houses of Parliament.

    The Survey, which is tabled in Parliament by the Finance Minister ahead of the Union Budget, is being prepared by Chief Economic Adviser Anantha Nageswaran, the main architect of the document.
     

    Economic Survey Presentation Timings And Other Details

    The Economic Survey 2023-24 will be presented in Lok Sabha at 1 pm and will be tabled in Rajya Sabha at 2 pm. This will be followed by a press conference by CEA Nageswaran.

    What is Economic Survey and what is its significance?

    The survey, also regarded as the official report card of the union government, gives a roadmap for the country’s economy and spells the way forward. The Economic Survey provides a summary of the annual economic development across the country during the financial year. 

    The annual survey analyses the trends in infrastructure, agricultural and industrial production, employment, prices, exports, imports, money supply, foreign exchange reserves and other factors having an impact on the Indian economy and the Budget.

    The survey also puts out economic growth forecasts, provides justification and detailed reasons why it believes the economy will expand faster or decelerate. Sometimes, it also argues for some specific reform measures.

    History of Economic Survey

    The first economic survey reportedly came into existence in 1950-51, when it used to be a part of the budget documents. In the 1960s, it was separated from the Budget documents and presented day prior to the Union Budget.The most important feature which many will look out for is its central theme. Last year`s central theme was `Agile Approach`, which put emphasis on India`s economic response to the Covid-19 Pandemic shock. The preface of the Economic Survey 2022 stated that the “Agile approach” was based on feedback loops, real-time monitoring of actual outcomes, flexible responses, safety-net buffers and so on.Along with the sectoral chapters, the Survey document also adds new need-based chapters that need focus.

    Union Budget for 2024 to be presented on July 23

    The Budget documents will be available on the Mobile App after the completion of the Budget Speech by the Union Finance Minister in Parliament on 23rd July, 2024.

     

  • Budget 2024: FM Sitharaman To Table Economic Survey In Parliament Tomorrow |10 Key Points | Economy News

    New Delhi: India’s Finance Minister Nirmala Sitharaman will table the Economic Survey in Parliament on Monday, July 22, a day before she unveils the Union Budget for a record seventh time. The upcoming budget aims to address unemployment and other ongoing issues in the country.

    Continuing the trend of the last few years, the 2024 Union Budget will be delivered in a paperless format. Notably, the Budget for the Union Territory of Jammu and Kashmir for 2024 will be presented on July 23, 2024. 

    Here are 10 Key Highlights of the Economic Survey And Budget 2024 You Need to Know

    1. The Economic Survey is made by the Economic Division of the Department of Economic Affairs in the Ministry of Finance.

    2. The first Economic Survey started in 1950-51 and was part of the budget documents. In the 1960s, it was separated from the budget documents and presented the day before the Union Budget.

    3. In 2022, the theme of the Economic Survey was ‘Agile Approach,’ focusing on India’s economic response to the Covid-19 pandemic.

    4. In 2023, the theme was ‘Recovery Complete’ as the economy was recovering during the Russia-Ukraine war and trying to return to pre-Covid conditions.

    5. This year’s Budget will be Prime Minister Narendra Modi-led government’s first major policy announcement after winning a third term in the Lok Sabha elections.

    6. Finance Minister Nirmala Sitharaman will break the record set by former Prime Minister Morarji Desai, who presented five annual budgets and one interim budget between 1959 and 1964 as Finance Minister. She has also surpassed Manmohan Singh, Arun Jaitley, P. Chidambaram, and Yashwant Sinha, who each presented five budgets.

    7. The Reserve Bank of India recently increased the GDP forecast for the current year 2024-25 to 7.2% from 7% earlier. Strong domestic demand has driven the economy to a growth rate of over 7% in recent years.

    8. The International Monetary Fund (IMF) has raised India’s growth forecast for 2024 from 6.8% to 7%, keeping the country as the fastest-growing in emerging markets and developing economies.

    9. For 2023-24, the government set the fiscal deficit target at 5.9% of GDP, later revised to 5.8%.

    10. India is expected to become the world’s third-largest economy with a GDP of USD 5 trillion in the next three years. By 2030, India could become a USD 7 trillion economy. (With Inputs From ANI)

  • Nirmala Sitharaman To Hold Pre-Budget Meeting With Industry Leaders On June 20 | Markets News

    New Delhi: As part of pre-budget consultations, Finance Minister Nirmala Sitharaman is scheduled to meet representatives from industry associations on June 20 evening.

    The meeting, slated to take place between 4 and 6 pm at North Block, will see industry associations such as the Federation of Indian Chambers of Commerce & Industry (FICCI), Confederation of Indian Industry (CII), Associated Chambers of Commerce and Industry of India (Assocham), and PHD Chamber of Commerce and Industry presenting their budget suggestions and recommendations.

    This meeting is part of the government’s annual pre-budget consultations aimed at garnering feedback and suggestions from key stakeholders to shape the upcoming Union Budget.

    The budget is anticipated to be tabled in Parliament in the third week of July.

    Ahead of their meeting with the Finance Minister, industry associations will meet Revenue Secretary Sanjay Malhotra on June 18. The discussions are expected to cover a broad range of topics, including tax reforms, incentives for various industries, measures to boost economic growth, and policies to support small and medium enterprises (SMEs).

    This will be the Modi government’s first budget after it assumed office for the third successive term. Nirmala Sitharman had presented an interim budget on February 1 ahead of the Lok Sabha polls. She has so far presented six budgets in a row and will create a record when she presents the full-fledged budget for the new term of the BJP-led National Democratic Alliance government.