Budget 2021 Highlights & Important Key Points PDF: The Union Budget 2021-22 was presented by the Hon’ble Finance Minister Nirmala Sitharaman on 1st February 2021 in the Parliament. The Budget speech was given by the FM from 11 a.m. to 1 p.m. It is the first-ever digital Union Budget of India.
Union Minister of Finance and Corporate Affairs Smt. Nirmala Sitharaman stated that India’s fight against COVID-19 continues into 2021 and that this moment in history, when the political, economic, and strategic relations in the post-COVID world are changing, is the dawn of a new era – one in which India is well-poised to truly be the land of promise and hope.
In this article, you will get Budget 2021 Highlights & Important Key Points PDF. It will benefit all those candidates who are preparing for upcoming government job exams like Banking, LIC, IB, SSC, UPSC, Railways, State PCS, and other competitive exams.
Budget 2021 Highlights
| Topic | Union Budget 2021 Of India Key Highlights |
| Category | Current Affairs |
| Useful For | All Competitive Exams & Interviews |
| Year | 2021-22 |
| Budget Presented By | Union Finance Minister Nirmala Sitharaman |
| Budget 2021 Date | 01 February 2021 |
| Important Highlight | First Digital Union Budget Of India |
| Budget 2021 Speech Duration | 3 hours |
| Source | Government Of India |
| Status | Released |
| Official Site | www.indiabudget.gov.in |
6 pillars of the Union Budget 2021-22:
- Health and Wellbeing
- Physical & Financial Capital, and Infrastructure
- Inclusive Development for Aspirational India
- Reinvigorating Human Capital
- Innovation and R&D
- Minimum Government and Maximum Governance
Union Budget 2021 Important Highlights
1. Health and Wellbeing
- Rs. 2,23,846 crore outlay for Health and Wellbeing in BE 2021-22 as against Rs. 94,452 crore in BE 2020-21 – an increase of 137%
- Focus on strengthening three areas: Preventive, Curative, and Wellbeing
- Steps being taken for improving health and wellbeing
- Rs. 35,000 crores for COVID-19 vaccine in BE 2021-22
- Rs. 64,180 crore outlay over 6 years for PM AatmaNirbhar Swasth Bharat Yojana – a new centrally sponsored scheme to be launched, in addition to NHM
- Mission Poshan 2.0 to be launched
- Rs. 2,87,000 crore over 5 years for Jal Jeevan Mission (Urban)
- Rs. 1,41,678 crore over 5 years for Urban Swachh Bharat Mission 2.0
- Rs. 2,217 crores to tackle air pollution, for 42 urban centers with a million-plus population
2. Physical and Financial Capital and Infrastructure
- Rs. 1.97 lakh crore in next 5 years for PLI schemes in 13 Sectors
- Mega Investment Textiles Parks (MITRA) scheme, in addition to PLI: 7 Textile Parks to be established over 3 years
- National Infrastructure Pipeline (NIP) expanded to 7,400 projects
- Rs. 20,000 crores to set up and capitalize a Development Financial Institution(DFI)
- National Monetization Pipeline to be launched
- Rs. 5.54 lakh crore capital expenditure in BE 2021-22 – a sharp increase of 34.5% over Rs. 4.12 lakh crore allocated in BE 2020-21
- Rs. 1,18,101 lakh crore, highest ever outlay, for Ministry of Road Transport and Highways – of which Rs. 1,08,230 crore is for capital
- Under the Rs. 5.35 lakh crore Bharatmala Pariyojana, more than 13,000 km length of roads worth Rs. 3.3 lakh crore awarded for construction
- Rs. 1,10,055 crore for Railways of which Rs. 1,07,100 crore is for capital expenditure
- National Rail Plan for India (2030): to create a future-ready Railway system by 2030
- 100% electrification of Broad-Gauge routes to be completed by December 2023
- Broad Gauge Route Kilometers (RKM) electrification to reach 46,000 RKM, i.e. 72% by end of 2021
- Raising the share of public transport in urban areas by the expansion of metro rail network and augmentation of city bus service
- Extention of Ujjwala Scheme to cover 1 crore more beneficiaries
- Capital infusion of Rs. 1,000 crore to Solar Energy Corporation of India and Rs. 1,500 crore to Indian Renewable Energy Development Agency
- New policy for Strategic Disinvestment approved; CPSEs except in four strategic areas to be privatized
3. Inclusive Development for Aspirational India
- Ensured MSP at minimum 1.5 times the cost of production across all commodities.
- SWAMITVA Scheme to be extended to all States/UTs, 1.80 lakh property-owners in 1,241 villages have already been provided cards
- Rural Infrastructure Development Fund to be enhanced to Rs. 40,000 crore from Rs. 30,000 crore
- One Nation One Ration Card scheme for beneficiaries to claim rations anywhere in the country – migrant workers to benefit the most
- Portal to collect information on the unorganized labor force, migrant workers especially, to help formulate schemes for them
- Rs. 15,700 crore budget allocation to MSME Sector, more than double of this year‟s BE
4. Reinvigorating Human Capital
- 15,000 schools to be strengthened by implementing all NEP components. Shall act as exemplar schools in their regions for mentoring others
- 100 new Sainik Schools to be set up in partnership with NGOs/private schools/states
- Legislation to be introduced to set up the Higher Education Commission of India as an umbrella body with 4 separate vehicles for standard-setting, accreditation, regulation, and funding
- Central University to come up in Leh for accessibility of higher education in Ladakh
- 750 Eklavya model residential schools in tribal areas
- Revamped Post Matric Scholarship Scheme for the welfare of SCs
- 4 Crore SC students to get a benefit of Rs. 35,219 crores enhanced Central Assistance for 6 years till 2025-2026
- Proposed amendment to Apprenticeship Act to enhance opportunities for youth
- Rs. 3000 crores for realignment of existing National Apprenticeship Training Scheme (NATS) towards a post-education apprenticeship, training of graduates and diploma holders in Engineering
5. Innovation and R&D
- Rs. 1,500 crores for proposed scheme to promote digital modes of payment
- National Language Translation Mission (NTLM) to make governance-and-policy related knowledge available in major Indian languages
- PSLV-CS51 to be launched by New Space India Limited (NSIL) carrying Brazil‟s Amazonia Satellite and some Indian satellites
- As part of the Gaganyaan mission activities: 4 Indian astronauts being trained on Generic Space Flight aspects, in Russia
- The first unmanned launch is slated for December 2021
- 4,000 crore over five years for Deep Ocean Mission survey exploration and conservation of deep-sea biodiversity
6. Minimum Government, Maximum Governance
- Measures being undertaken to bring reforms in Tribunals to ensure speedy justice
- National Commission for Allied Healthcare Professionals already introduced to ensure transparent and efficient regulation of the 56 allied healthcare professions
- The National Nursing and Midwifery Commission Bill introduced the same in the nursing profession
- Proposed Conciliation Mechanism with a mandate for quick resolution of contractual disputes with CPSEs
- 3,768 crore allocated for the first digital census in the history of India
- 300 crore grant to the Government of Goa for the diamond jubilee celebrations of the state’s liberation from the Portuguese
- 1,000 crore for the welfare of Tea workers especially women and their children in Assam and West Bengal through a special scheme
Tax Proposals In Budget 2021
Vision of a transparent, efficient tax system to promote investments and employment in the country with minimum burden on taxpayers
1. Direct Taxes
Achievements:
- Corporate tax rate slashed to make it among the lowest in the world
- The burden of taxation on small taxpayers eased by increasing rebates
- Return filers almost doubled to 6.48 crore in 2020 from 31 crores in 2014
- Faceless Assessment and Faceless Appeal introduced
Relief to Senior Citizens:
- Exemption from filing tax returns for senior citizens over 75 years of age and having only pension and interest income; tax to be deducted by paying bank
Reducing Disputes, Simplifying Settlement:
- Time limit for re-opening cases reduced to 3 years from 6 years
- Serious tax evasion cases, with evidence of concealment of income of Rs. 50 lakh or more in a year, to be re-opened only up to 10 years, with approval of the Principal Chief Commissioner
- Dispute Resolution Committee to be set up for taxpayers with taxable income up to Rs. 50 lakh and disputed income up to Rs. 10 lakh
- National Faceless Income Tax Appellate Tribunal Centre to be established
- Over 1 lakh taxpayers opted to settle tax disputes of over Rs. 85,000 crore through Vivad Se Vishwas Scheme until 30th January 2021
Relaxation to NRIs:
- Rules to be notified for removing hardships faced by NRIs regarding their foreign retirement accounts
Incentivising Digital Economy:
- Limit of turnover for tax audit increased to 10 crore from Rs. 5 crore for entities carrying out 95% transactions digitally
Relief for Dividend:
- Dividend payment to REIT/ InvIT exempt from TDS
- Advance tax liability on dividend income only after declaration/ payment of dividend
- Deduction of tax on dividend income at lower treaty rate for Foreign Portfolio Investors
2. Indirect Taxes
GST:
- Measures were taken to date:
- Nil return through SMS
- A quarterly return and monthly payment for small taxpayers
- Electronic invoice system
- The validated input tax statement
- Pre-filled editable GST return
- Staggering of returns filing
- Enhancement of capacity of GSTN system
- Use of deep analytics and AI to identify tax evaders
Custom Duty Rationalization:
- Twin objectives: Promoting domestic manufacturing and helping India get onto the global value chain and export better
- 80 outdated exemptions already eliminated
- Revised, distortion-free customs duty structure to be put in place from 1st October 2021 by reviewing more than 400 old exemptions
- New customs duty exemptions to have validity up to the 31st March following two years from its issue date
Status of India’s fight against COVID-19:
- 2 Made-in-India vaccines – medically safeguarding citizens of India and those of 100-plus countries against COVID-19
- 2 or more new vaccines expected soon
- Lowest death rate per million and the lowest active cases
Achievements and Milestones during the COVID-19 pandemic
- Pradhan Mantri Garib Kalyan Yojana (PMGKY): Valued at 2.76 lakh crore
- Free food grain to 80 crore people
- Free cooking gas for 8 crore families
- Direct cash to over 40 crore farmers, women, elderly, the poor and the needy
2021 – Year of milestones for Indian history
- 75th year of India’s independence
- 60 years of Goa’s accession to India
- 50 years of the 1971 India-Pakistan War
- Year of the 8th Census of Independent India
- India’s turn at the BRICS Presidency
- Year for Chandrayaan-3 Mission
- Haridwar MahaKumbh
Vision for AatmaNirbhar Bharat
- AatmaNirbharta – not a new idea – ancient India was self-reliant and a business epicentre of the world
- AtmaNirbhar Bharat – an expression of 130 crore Indians who have full confidence in their capabilities and skills
- Strengthening the Sankalp of:
Nation First
Doubling Farmer’s Income
Strong Infrastructure
Healthy India
Good Governance
Opportunities for Youth
Education for All
Women Empowerment
Inclusive Development
Union Budget 2021 Highlights PDF
Here we have attached Union Budget 2021 Important Highlights PDF in both Hindi & English language.
Union Budget 2020 Important Key Highlights PDF
Union Budget 2020 Important Questions PDF For All Exams
Budget 2019 Important Questions & Highlights PDF
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Frequently Asked Questions
Q. When was Union Budget 2021 presented in parliament?
Ans. – Union Budget 2021 was presented on 01 February 2021.
Q. Who presented the Union Budget 2021?
Ans. – Union Finance Minister Smt. Nirmala Sitaraman presented the Union Budget 2021.
Q. How many pillars are there for Budget 2021?
Ans. – There are six main pillars for Union Budget 2021.
Q. How much money is allocated for the Covid19 vaccination in Budget 2021?
Ans. – Rs. 35,000 crores is allocated for Covid-19 vaccination in Budget 2021.