Union Budget 2024 - Key Tax Proposals

Economic Survey 2023-24 – a snapshot of tax revenue

• Economic Survey 2023-24 was tabled on July 22, 2024
• Growth in Gross Tax Revenue (GTR) was estimated to be 13.4% - with 15.8% growth in direct tax and 10.6% growth in indirect tax
• 55% of aggregate GTR accrued from direct taxes and the remaining 45% from the indirect taxes
• Increased contribution of direct tax to GTR has been in line with governments effort to enhance progressivity in taxation
• Efficiency of cost collection also increased – cost of collection of direct taxes declined from 0.66% of gross collections in financial year 2020-21 to 0.51% in financial year 2023-24

Introduction

Finance Minister Nirmala Sitharaman presented Union Budget on July 23, 2024, the first Budget of Modi Government 3.O.