INTRODUCED BY

Ms Nirmala Sitharaman

Minister of Finance

SYNOPSIS

Union Budget 2022 Highlights

HIGHLIGHTS

Focus on growth and all inclusive welfare.
Promoting technology enabled development, energy transition, and climate action.
Virtuous cycle starting from private investment, crowded in by public capital investment.

Priorities

Salient Points ()

PM GatiShakti

Agriculture and Food processing

Education

Health

Inclusive Development

Productivity Enhancement and Investment

Sunrise Opportunities

Energy Transition and Climate Action

Financing of Investment

PM GATI SHAKTI

Salient Points ()

Driven by 7 engines: Roads, Railways, Airports, Ports, Mass Transport, Waterways and Logistics Infrastructure.
National master plan aimed at world class modern infrastructure and logistics synergy.

Formulation of master plan for expressway. Completing 25000 km national highways in 2022-23.

Unified logistics interface platform allowing data exchange among all mode operators.
Open source mobility stack for seamless travel of passengers
4 multimodal logistics parks through PPP to be awarded in 2022-23

Integration of postal and railway network facilitating parcel movement.
One station one product
Extending coverage under Kavach
400 new generation Vande Bharat trains

Multimodal connectivity between mass urban transport and railway stations.
National ropeway development plan as sustainable alternative to conventional roads.
Capacity building for infrastructure projects.

AGRICULTURE AND FOOD PROCESSING

Salient Points ()

Promoting chemical free natural farming starting with farmers land close to Ganga river.

Promoting post harvest value addition, consumption and branding of milet products.

Delivery of digital and hi-tech services to farmers in PPP mode.
Use of Kisan drones to aid farmers.

Launching fund with blended capital to finance agriculture start ups.

Implementing of Ken Betwa link project benefitting 9.1 lakh hectare farm land.
Providing drinking water to 62 lakh people and generating 130 mw power.
5 such projects under implementation.

EDUCATION

Salient Points ()

Universalisation of Quality Education

One class One TV channel programme to be expanded to 200 channels.
- Virtual labs and skilling e-labs to promoting critical thinking skills and stimulated learning environment

Universalisation of Quality Education

High quality e-content will be delivered through digital teachers.
- A digital university will be established with world class quality universal education.

Skill Development

Digital ecosystem for skilling and livelihood will be launched to promote online training (DESH-stack-e-portal).

Skill Development

Start ups will be promoted to facilitate drone shakti for drone as a service.

HEALTH

Salient Points ()

National Digital Health Ecosystem will be rolled out.

National Tele Mental Health Programme will be launched for quality counselling

Integrated architecture: Mission Shakti, Mission
Vatsalya, Saksham Anganwadi, and Poshan 2.0 to be launched.

Two lakh Anganwadis to be upgraded to Saksham
Anganwadis.

ALL INCLUSIVE WELFARE FOCUS

Salient Points ()

Har Ghar, Nal Se Jal: 3.8 crore households to be covered in 2022-23.

PM Awas Yojana: 80 lakh houses to be completed in 2022-23.

PM-DevINE: To fund infrastructure and social development based on felt needs of the North East.

Aspirational Blocks Programme: For development of lagging
blocks of aspirational districts

Vibrant Villages Programme: Targeting development of
villages on the Northern Border left out from the development
gains.

Digital Banking by Post Offices: 100% of post offices to come on the core banking system.

Digital Payments: Scheduled Commercial Banks to set up 75
Digital Banking Units in 75 districts

MSME

Interlinking various portals: Udyam, e-shram, NCS & Aseem
Extending ECLGS with focus on hospitality and related enterprises
Raising and Accelerating MSME Performance (RAMP) programme will be rolled out

PRODUCTIVITY ENHANCEMENT AND INVESTMENT

Salient Points ()

Ease of doing business 2.0

Trust based governance
Integration of central and state
level systems through IT bridges
Expanding scope of PARIVESH
Portal
Unique Land Parcel
Identification Number for IT
based management of land
records.
Establishing C-PACE to
facilitate voluntary winding up
of companies
End to end online e-Bill System
and utilising surety bonds in
government procurement.
AVCG promotion task force
Support to 5G under PLI scheme
Opening up defence R&D for
industry, startups and academia

Ease of living

Issuance of chip embedded ePassports
Modernisation of building
byelaws, implementing Town
Planning Schemes and Transit
Oriented Development.
Establishing Centres of
Excellence in urban planning.
Providing a battery swapping
policy as an alternative to
setting up charging stations in
urban areas

FINANCING OF INVESTMENT

Salient Points ()

Public investment to
continue to pump prime
private investment and
demand in 2022-23.

Introduction of Digital
Rupee by RBI starting
2022-23

Mobilizing resources

Green Bonds to
mobilise resources for
green infrastructure
Infrastructure status for
Data Centres and
Energy Storage
Systems.
Measures to aid
investment by Venture
Capital and Private
Equity Investment
Blended Finance for
sunrise sectors

Providing greater fiscal space to States

Enhanced outlay to Scheme for Financial Assistance to States for Capital Investment
For 2022-23 States will be allowed
a fiscal deficit of 4% of GSDP of
which 0.5% will be tied to power
sector reforms

TAXATION

INDIVIDUALS

Allowing taxpayers to file Updated Return within 2 years for correcting errors
Tax relief to persons with disability
Reducing Alternate Minimum Tax Rate and Surcharge for Cooperatives from 18.5% to 15%.
Extending period of incorporation of eligible startups for providing tax incentives from 3years to 4 years.
Income from transfer of virtual assets to be taxed at 30%

OTHER TAX PROPOSALS

Customs administration to be fully IT driven in SEZs
Phasing out concessional rates in capital goods and project imports gradually and apply a moderate tariff of 7.5%.
Review of customs exemptions and tariff simplification
Customs duty rates are being calibrated to provide a graded rate structure to facilitate domestic electronics manufacturing
Rationalisation of exemptions on implements and tools for agri sector manufactured in India.
Extension of customs duty exemption to steel scrap
Reduction of duty on certain inputs required for shrimp aquaculture
Unblended fuel shall attract additional differential excise duty

Rupee Collection (%)	Rupee Allocation (%)
Income Tax - 15%	Central sector scheme - 15%
Corporation Tax - 15%	Finance commission and other transfers - 10%
Borrowing and other liabilities - 35%	States share of taxes and duties - 17%
GST - 16%	Interest payments - 20%
Union Excise Duty - 7%	Defense - 8%
Non tax revenue - 5%	Subsidies - 8%
Non debt capital receipts - 2%	Centrally sponsored schemes - 9%
	Pensions - 4%
	Other expenditure - 9%