By Nandini Das
CNBC-TV18.com
Published July 23, 2024
Union Finance Minister Nirmala Sitharaman is going to present the budget today. Ahead of budget here are some key terms you should know about:
The statement of estimated receipts and expenditures of the government. It is presented in Parliament by the Union Finance Minister.
Occurs when a government’s total expenditures exceed the revenue that it generates.
Spending to create assets such as highways, buildings and dams as well as loans given by the Centre to the states.
Expenditure that does not create any asset, such as subsidies and interest payments.
Paid by individuals and corporations. For example, income tax, corporate tax etc.
Are imposed on goods and services and are paid by consumers when they buy these services. For example: excise duty, customs duty etc.
Amount of money allocated in the Budget to a ministry or scheme for the coming financial year.
A sales tax that is levied on the supply of goods and services in India. It was introduced in 2017.
An indirect tax levied on domestically produced goods. It has been subsumed by GST. Today, it applies to a limited number of items such as petrol, diesel, and alcohol.
Tax imposed on the export and import of the goods from or into the country.
Mid-year estimates based on six months’ actual trends that consider likely expenditure and receipts for the balance of six months.
Actual detailing of expenditure and receipts once a budget year is over.
The tax paid by corporations or firms on the income they earn.
A minimum tax that a company is liable to pay, even if it is under zero tax limits.
The rate of interest paid to the RBI by commercial banks for short-terms loans it lends against government securities. ‘Repo’ means repurchase of securities.