The Finance Minister and the officers at the Ministry of Finance as well as the NITI Aayog tried to do their best in giving the corporate India a chance to take the lead in restarting the economy, but the budget has many other areas that were to be carefully dealt with, amazingly, it felt as if the Finance Minister herself saw the budget for the first time yesterday, when she was reported as saying that she is satisfied with the budget.
This author certainly has limited knowledge about how money moves, yet this author knows how money comes and goes from the pockets of our citizenry. The move to exempt the taxpayers aged 75 years and above from filing returns had something to mean into the beginning of the disintegration of the HUF structure in the upcoming years.
The budget has given nothing to the common people to keep their budgets in check but has instead ignor d inflation and has taken to lay foundations of aggravated inflation in the upcoming financial year. The ground realities of the COVID induced uncertainty has also found no mention, and they have tried to burden the Young Indian with an indirect tax regime that when gets combined with direct taxes will leave the household savings rates to drop drastically.
Disinvestment of non performing assets is a good move but including profitable ventures like BPCL and LIC, while at the same time allowing 74% FDI in insurance sector means something that will in the future mean that our economy will be governed by the Foreign investors, not by “We The People of India”.
The budget is giving tax holidays, and reduced tax regime for Corporates, but it then uses the common man to pay for all the labour he has invested in reaping all the profit for the Corporate that he was working for. The average spending with this budget in place will reduce for sure, and many sectors will face a simple decline in their revenues, this was not thought by our so intelligent policy makers, who this author is to say otherwise…!
The simple fact that cotton cloth will be expensive and in the climatic conditions like that of ours we are supposed to pay less for hosiery and polyester clothing, is a slap on the face of Gandhi Ji’s vision of having boycotted all British garments and take to weaving. Though Modi ji is a Gandhian of sorts himself, yet the solar lanterns being made available on a reduced cost indicate that rural India shall see waves of power cuts in the days to come.
The budget has forgotten how we needed to invest in education, and health, while at the same time ignoring the fact that defence acquisition requires more innovation, manufacturing and talent from our own soil, and if the leader such as Modi Ji has failed to usher in changes with whatever we have, he certainly is a bad manager/ leader.
It pains the heart of this author to be realistic with regards to this budget but yes, it is not deserving of all the pomp and celebration that the media and all are giving to it.