From tax relief to defence budget hiked by 13%, here are some key announcements

Union Finance Minister Nirmala Sitharaman on Wednesday presented the Budget 2023 in Lok SabhaShe announced no tax for those with an annual income of up to Rs 7 lakh under the new tax regime but made no changes for those who continue in the old regimeUnion Finance Minister Nirmala Sitharaman on Wednesday announced an increase in the income tax rebate limit from Rs 5 lakh to Rs 7 lakh stating that the new tax regime will now be the default tax regimeThe Finance Minister also proposed to change the tax structure in this regime by reducing the number of tax slabs to 5 and increasing the tax exemption limit to Rs 3 lakhAlso Read Budget 2023 Clothes get costlier mobile phones cheaper heres the complete list of productsHere are some of the key announcements of Budget 2023Looking to acquire major weapon systems including fighter aircraft submarines and tanks the defence services today got a hike of around 13 per cent in their budget for 202324 as Rs 594 lakh crore were allocated to them up from the Rs 525 lakh crore given last yearThe modernisation budget has also been hiked from Rs 152 lakh crore last fiscal to Rs 162 lakh crore this fiscal A significant portion of the modernisation budget would be for the acquisition of weapon systems and equipment from Indian firms under Prime Minister Narendra Modis Make in India programmeGovernment proposed to make new tax structure as default tax optionIncome tax rebate extended on income up to Rs 7 lakhs in new tax regimeProposes to cut highest surcharge rate to 25 per cent from 375 per cent under new income tax regimeThe new tax rates are 0 to Rs 3 lakhs nil Rs 3 to 6 lakhs 5 per cent Rs 6 to 9 Lakhs 10 per cent Rs 9 to 12 Lakhs 15 per cent Rs 12 to 15 Lakhs 20 per cent and above 15 Lakhs 30 per centTo consider a cut in customs duty on labgrown diamondsCustom duty exemption extended to EV batteriesTaxes on cigarettes hiked by 16 per centNominal GDP for 202324 which includes real GDP and inflation estimated to grow 10537 yearonyear to 30175 trillion rupees 369 trillion in 202324Indias federal government will target a budget deficit of 5937 of GDP for 202324 compared to 6437 for the current fiscal yearAims to achieve fiscal deficit of 45 per cent of GDP by 202526India is expecting 668 per cent economic growth in 202324 slightly lower than the 7 per cent expected in the current fiscal yearWith inputs from PTI