FM says that 75 digital banks to come up
Seventy five digital banking units will be established, which will encourage digital payments, as it is economical and user friendly, union finance minister, Nirmala Sitharaman said while presenting budget on the floor of Parliament her this morning.
Finance Minister Nirmala Sitharaman
Mumbai, Feb 01 Seventy five digital banking units will be established, which will encourage digital payments, as it is economical and user friendly, union finance minister, Nirmala Sitharaman said while presenting budget on the floor of Parliament her this morning.
In order for digital payments to gain traction among the underprivileged, users must be given more options. Policy should be aimed to encourage payment method innovation to meet the lifestyles and demands of all consumer segments, removing friction from the payment process and making it more frictionless than ever before. To make the digital ecosystem safe and secure for individuals and businesses, a push is being made for projects to expand digital infrastructure, improve internet access, increase payment touchpoints, and improve cybersecurity, CapitalVia said.
There are lots of reliefs for income taxpayers in the Budget. There is a provision for filing 'Updated Income Tax returns' within 2 years from end of relevant AY. Reduced AMT rates for Co-operatives from 18.5 per cent to 15 per cent. Reduced surcharge for Co-operatives with total income of 1cr to 10Cr.
Besides, there is a tax relief for persons with disability: Allow annuity payment to differently abled dependents when parents attaining age of 60 years.
Deduction for National Pension Scheme for State Government employees u.s 80CCC made at par with Central Govt. Start-ups established before 31.03.2023 (earlier – 31.03.2022; now extended by 1 year) will be provided tax breaks. Last date for commencement of manufacturing for claiming lower tax regime under Section 115BAB to be 31.03.2024 (earlier 31.03.2023; now extended by 1 year).
Income from transfer of virtual digital assets to be taxed at 30 per cent; No deduction for expenses other than cost of acquisition; No set off of losses TDS @ 1 per cent on consideration above specific threshold Gift to be taxed u.s 56(2)(x).
Upasna Bhardwaj, Senior Economist at Kotak Mahindra Bank, said, "The Budget outturns are broadly in line with our expectations with the government has continued its focus on infrastructure and rural demand.
Accordingly as expected the government has refrained from a sharp fiscal consolidation. While the fiscal expansion is expected to be pro-growth, the heavy supply is expected to worry the bond markets."
