Times of India

Finance Minister Nirmala Sitharaman's 8th budget focuses on boosting consumption through significant tax giveaways while targeting a lower fiscal deficit. Key proposals include reducing regulations, decriminalizing provisions, and increasing FDI limits in the insurance sector to stimulate economic growth.

The Budget presentation this year has clear political undertones, targeting key states Delhi and Bihar ahead of elections. It includes tax benefits for Delhi's middle class and various developmental projects for Bihar, highlighting the Modi government's strategic efforts to secure voter support.

Ahead of PM Modi's US visit, India's budget lowered import duties on Harley-Davidson bikes, signaling improved trade relations. Meanwhile, President Trump plans to impose hefty tariffs on Mexico, Canada, and China to curb fentanyl flow and illegal immigration. His move might increase consumer costs and provoke retaliatory actions from these countries.

The higher tax exemption limit and the revamped central KYC system, combined with the government's focus on ease of doing business, are expected to boost mutual fund investments. The new income tax slabs are set to increase disposable income, encouraging higher savings and investments.

India plans to amend the Atomic Energy Act and the Civil Liability for Nuclear Damage Act to develop 100 GW of nuclear energy by 2047. This move aims to attract overseas investment and private sector participation, with an allocation of Rs 20,000 crore for small modular reactors.

Budget 2025 introduces higher thresholds for tax deducted at source (TDS) and tax collected at source (TCS), aiding small taxpayers and gig workers. TDS on dividend income's limit rises from Rs 5,000 to Rs 10,000, and for gig workers from Rs 30,000 to Rs 50,000. Additionally, TCS on remittances under LRS increases from Rs 7 lakh to Rs 10 lakh.

The Budget proposals led to a muted response on Dalal Street, with the Sensex closing slightly up and Nifty down. Extreme bullish sentiment in certain sectors was balanced by strong selling in others. Market experts believe the Budget's long-term policies will positively impact the economy and stock market.

A significant Budget amendment will limit the period for carrying forward losses to the residuary period post-amalgamation from April 1, 2025. This change may affect M&A plans, with some areas needing clarification. However, efforts to expedite merger approvals bring some optimism.

The new tax regime offers significant benefits for income up to Rs 12 lakh (Rs 12.75 lakh for salaried), surpassing the old regime's appeal despite deductions. Choosing the old regime makes sense for higher incomes if substantial investments in tax-saving schemes are made. At Rs 20 lakh and above, the new regime shows substantial savings over the old.

In the 87th Tata Steel Chess Tournament 2025, R Praggnanandhaa won his sixth game, Arjun Erigaisi secured his first victory, and Gukesh settled for a draw. Highlights included Praggnanandhaa's win over Alexey Sarana and Abdusattorov's defeat by Erigaisi. Key draws were achieved by Leon Luke Mendonca and Pentala Harikrishna. Gukesh leads the standings with Praggnanandhaa.

Budget 2025 amends Section 23 of the Income Tax Act, allowing taxpayers to claim the annual value of up to two self-occupied properties as nil, without any condition. This simplification applies if the properties are used for the owner's residence or cannot be occupied due to employment, with the provision for two house properties remaining unchanged.

The recent Budget announcement provides that annual incomes up to Rs 12.75 lakh for salaried employees will not be taxed, considering standard deduction. However, increments to Rs 14 lakh or Rs 15.3 lakh could push individuals into higher tax slabs, significantly affecting their take-home pay despite the salary hike.

The tenure for filing updated tax returns has been extended from two to four years, allowing taxpayers more time to correct discrepancies. However, steep additional taxes of up to 70% apply for delayed filings. The updated returns cannot be used to claim missed tax benefits or adjust losses. Nearly 90 lakh taxpayers have already utilized this facility.

Pune civic health authorities are investigating if lapses in water chlorination contributed to the surge in Guillain-Barré Syndrome (GBS) cases, linked to diarrhoea preceding GBS symptoms. They are testing water and meat samples for bacterial contamination, including Campylobacter jejuni and norovirus, to identify the source of the outbreak.

Budget 2025 clarifies that the tax rebate will no longer apply to income from capital gains or other sources taxed at special rates. Taxpayers under the new regime can claim a maximum rebate of Rs 60,000 for an income of up to Rs 12 lakh, effective from FY26.

Prime Minister Modi invoked Goddess Lakshmi on Budget-eve, later Indian taxpayers received significant tax relief. Finance Minister announced revised tax slabs where the biggest benefit is for those earning up to Rs 12.75 lakh, making their tax liability nil. Changes include rebates up to Rs 60,000 and altered tax rates for various income brackets.

Zakia Jafri, widow of ex-Congress MP Ehsan Jafri, who was killed in the 2002 Gujarat riots, passed away at 86 in Ahmedabad. She was known for her prolonged legal battle against Narendra Modi and others, which lasted 16 years. Social activist Teesta Setalvad expressed condolences on social media, recognizing Zakia's efforts for justice.