Arshad Jamal Siddiqui decodes the Financial Year 2022-23 budget
It would be no wrong to say that it is completely skeptical which way the Corona virus’s fortunes will turn or what the consequences of the next mutation will be. Oil prices are dangerously high, and war drums can be heard in Ukraine and the Middle East. Despite all the adversities, the Finance Minister of the country, Nirmala Sitharaman presented the budget for 2022 of a country that is a ray of sunshine on an otherwise bleak horizon. Immediately after the FY23 budget was announced financial experts and political leaders across the country started putting forth their opinions, one such name on the list is Arshad Jamal Siddiqui. He is one of those who are leaving an indelible mark on India’s political history with his larger-than-life persona and competent decision-making abilities.
Arshad believes that with over $630 billion in foreign reserves, India is the fastest-growing large economy, with inflation under control and stock markets and corporate results shining brightly, and vaccination is a success, with 93 percent of eligible people receiving a single shot and 70 percent fully vaccinated. He further decodes that the main topic that runs throughout the budget is Digital India. From recognizing virtual assets as a taxable asset class to issuing digital currency, e-passports, the Digital University, the Council for AVGC (Gaming, Animation Sector), an emphasis on digital banking, land record digitization, facilitating payment platforms, auctioning 5G spectrum, and building optical fiber networks, the country’s digital capacity, efficiency, and employment in the services sector will all benefit from these efforts.
The visionary leader while giving his take towards the budget stated, “Changes in income tax slabs, changes in income tax rates, a higher standard deduction, a higher basic exemption limit, a higher section 80C limit, and tax incentives for working from home were among the many things the ordinary man hoped for in Budget 2022. All of these items were absent from the finance minister’s Budget 2022 speech, disappointing individual taxpayers. The budget’s tax plans are rather modest. It invites the issue of whether we could have addressed the challenges in our tax policy with more creativity. It appears that we are still dealing with the retroactive effect of tax legislation – this time in connection to budget clarifications on the deductibility of cess and expense incurred in relation to exempt income.”
According to Arshad Jamal Siddiqui, the cost of living has risen dramatically, exacerbated by the pandemic’s negative consequences. As a result, it was requested that the current Rs 1.5 lakh cap be reassessed, with a minimum rise to Rs 2.5 lakh in Budget 2022. The current tax incentives do not incentivize consumers to purchase adequate health coverage. As a result, it was envisaged that this budget would be increased, ideally doubled. As a result, more people will be encouraged to obtain the right level of coverage. Tax cuts and other demand-side initiatives, such as purchaser incentives, would only improve the real estate sector’s fundamentals. As a result, a time-limited GST exemption for under-construction properties was planned, giving potential purchasers more alternatives while keeping taxation on a level with completed structures.
Talking further about other aspects which he believes will be affected drastically through this budget are, “The present standard deduction should not be construed as a limit on how much money can be deducted from a work allowance. According to tax experts, there is a compelling case for either creating a new deduction for home office expenses or extending the standard deduction limit for those who work from home. Increased standard deduction and tax breaks to help parents save for their children’s education: The amount of the standard deduction is rather low, given the continued cost of inflation over time and present inflation, as well as current living costs of paid workers. As a result, in Budget 2022, this sum was expected to be increased.”
When it comes to his contributions to the country’s development, this politician turned social activist has offered a number of effective initiatives that encourage people to dream big and achieve outcomes that inspire millions of people to follow the path of altruism. Apart from that, Arshad Jamal Siddiqui has spoken at a number of public forums to help children obtain jobs in both the public and private sectors. He also offers free education to any lower-middle-class female students who are capable of establishing a name for themselves in the professional world via their intellect and hard work.
Every Union Budget has a recurring theme and in Arshad Jamal Siddiqui’s opinion, the two sorts of policy push that can be highlighted in the FY23 Budget are Capex and Digital. Over the medium run, Capex is a traditional formula for supporting infrastructure-led economic growth with positive externalities for private investments and inflation management. The drive for digital infrastructure is an encouragement to economic agents to progressively shift to higher productivity and efficiency. After conducting extensive research into the budget, he has concluded that Budget 2022 is likely to create new doors of opportunity for the country’s crypto business but has certain loopholes.