Finance Minister Nirmala Sitharaman on Monday said the government will borrow about Rs 12 lakh crore in 2021-22. Presenting the Union Budget for 2021-22, she said expenditure for the next fiscal year has been pegged at Rs 34.83 lakh crore, which includes Rs 5.54 lakh crore of capital spending. Sitharaman also said states will get 41 percent share of taxes as per the 15th Finance Commission recommendation and the government has accepted the recommendation.
Exemption from tax audit limit has been doubled to Rs 10 crore turnover for companies doing most of their business through digital modes, she said.
The finance minister said advance tax liability on dividend income shall arise only after payment of dividend.
She further said the government proposes to ease norms to attract more foreign investment in the infrastructure sector.
Sitharaman presented the Union Budget 2021-22 on Monday, which was approved by the Union Cabinet headed by Prime Minister Narendra Modi earlier today.
Sitharaman, who had in her first budget in 2019 replaced leather briefcase that had been for decades used for carrying budget documents with a traditional red cloth 'bahi-khata', had earlier this month stated that the budget for the fiscal year beginning April will be "like never before".
It has to be a vision statement, a roadmap to get the world's fastest-growing major economy back on track.