The Union Finance Ministry has recently initiated its comprehensive consultations for the upcoming Union Budget, engaging with diverse economic stakeholders to shape the fiscal landscape of the nation.
On a pivotal Saturday morning, Union Finance Minister Nirmala Sitharaman chaired a significant pre-budget meeting, convening Finance Ministers from all States and Union Territories. This high-level assembly, organized by the Ministry of Finance and Corporate Affairs, aims to gather insightful suggestions and feedback for the Union Budget 2024-25.
The Bharat Mandapam venue buzzed with activity as notable participants, including Uttar Pradesh Finance Minister Suresh Kumar Khanna and Rajasthan Finance Minister Diya Kumari, arrived for the discussions. The pre-budget consultation series, initiated by the Union Finance Ministry, underscores the government’s commitment to an inclusive budgetary process. Sitharaman has already engaged with a wide array of economists, finance and capital market experts, and industry leaders, commencing these vital consultations on June 19.
The meeting witnessed the presence of Union Minister of State for Finance Pankaj Chaudhary, the finance secretary, and other high-ranking officials from the departments of economic affairs, revenue, financial services, and corporate affairs, alongside the chief economic adviser. Their collective expertise is pivotal in steering the nation’s economic policies.
In a concurrent development, Sitharaman is set to chair the 53rd Goods and Services Tax (GST) Council Meeting later in the day. This meeting, the first under the newly formed government, is a critical forum where state finance ministers converge to deliberate on the GST framework, addressing issues such as tax rates, policy adjustments, and administrative hurdles. The GST Council’s decisions are instrumental in refining India’s indirect tax system, ensuring it aligns with economic goals while providing relief to businesses and citizens alike.
Introduced on July 1, 2017, the Goods and Services Tax revolutionized India’s tax regime. The states were promised compensation for any revenue losses due to the GST implementation, as stipulated by the GST (Compensation to States) Act, 2017. As the nation prepares for the Union Budget 2024-25, marking the inaugural budget of Prime Minister Narendra Modi’s third term, the deliberations and outcomes of these meetings are keenly anticipated by businesses, policymakers, and the public. The decisions made here will undoubtedly influence the nation’s taxation, trade, and economic dynamics profoundly.