The Union Budget of India for the financial year 2024-25 is scheduled to be presented by Finance Minister Nirmala Sitharaman on February 1, 2024. While it will be an interim Union Budget 2024 ahead of general elections, it is still important for citizens and businesses to stay updated with the budget announcements. Here are 5 key reasons why:
1. Know about tax changes
One of the most awaited aspects of the Union Budget is announcements around personal income tax slabs and rates. The interim budget may propose some tax relief measures to put more money in the hands of taxpayers. It is also a good time to review your tax planning for the new financial year. Staying updated about changes in direct time to review your tax planning for the new financial year. Staying updated about changes in direct as well as indirect tax structures will help you make informed financial decisions.
2. Understand new policies and schemes
The budget unveils the government’s priorities, policies and vision for the coming year. It provides details on new schemes and initiatives being launched in key sectors like agriculture, healthcare, infrastructure, education etc. Knowing about the budgetary allocations and policy roadmap helps businesses along with individuals align their strategies accordingly. You don’t want to miss out on potential opportunities.
3. Get market and economic insights
The budget offers valuable insights into the country’s overall economic health, projected growth rates and fiscal deficit targets. It gives a sense of the prevailing macroeconomic environment. Staying updated helps analyze potential impact on different industries and markets. One can make well-informed investment decisions based on budget announcements and economic outlook presented.
4. Plan your savings and investments
The budget may propose changes in tax treatment of savings instruments like PPF, EPF, NPS, ELSS funds etc. It pays to keep track of any new investment opportunities as well as incentives being offered. Advanced knowledge helps optimize your savings and make the most of available investment options. Planning finances basis the budget prevents last-minute hassles and helps achieve financial goals.
5. Remain politically aware
While an interim budget may not include big bang reforms or announcements given the model code of conduct ahead of elections, it still provides political insights. Tracking budget discussions and reactions helps understand the ruling party’s priorities and vision. It makes one aware of various political perspectives in the run up to general elections. Overall, staying updated with the Union Budget keeps you well informed across various spheres.
Conclusion
The Union Budget 2024 is set to be presented in the first week of February. While it will be an interim budget before general elections, it still offers crucial insights for both individuals and businesses. It is thus important to closely follow the budget announcements and discussions. One can stay updated at 5paisa as it will help you make informed financial decisions related to taxes, investments and more. Overall, tracking the budget actively keeps you aware of the prevailing economic scenario from political and market perspectives.
