Finance Minister Nirmala Sitharaman will present Union Budget 2023-24 on February 1. The upcoming budget assumes significance as it will lay out the government's roadmap for economic reforms going into the election year in 2024. According to experts, the budget is likely to increase spending on infrastructure in order to spur growth in the economy at the same time maintain fiscal deficit.
Here are key jargons simplified ahead of Union Budget 2023-24
Fiscal Deficit: The gap between the government's revenue and spending is termed as fiscal deficit. For the curremnt financial year government, India's April-November fiscal deficit widens on-year to 58.9 per cent of FY23 aim.
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Income Tax: The tax levied on individual income from various sources like salaries, business income, investments, interest is known as income tax.
Non-Plan Expenditure: Non-plan expenditure covers all expenditure of government not included in the budget.
Plan Outlay: Plan outlay is the amount of expenditure granted on projects, schemes and programmes announced in the budget. The money for the Plan Outlay is raised through budgetary support and internal and extra-budgetary resources.
Planned Expenditure: Money granted from the government's account for the central schemes is called Planned expenditure. This expenditure is developmental purpose and is spent on schemes detailed in the budget.
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Primary Deficit: Fiscal deficit minus interest payments is called the primary deficit. It indicates how much the government will borrow for meeting expenses other than interest payments.
Revenue Deficit: The difference between revenue expenditure and revenue receipt is known as revenue deficit.
Revenue Budget: The Revenue Budget consists of revenue receipts received by the government and the expenditure met out of those revenues. Tax revenues are made up of taxes and other duties that the government collects.
Revenue Receipts: Revenue receipts consist of tax collected by the government and other receipts consisting of interest and dividend on investments made by government, fees and other receipts for services rendered by government.
Revenue Expenditure: Revenue expenditure is for the normal running of the government's department and various services, interest charged on debt incurred by government, subsidies, etc.
