Brief highlights of The Budget 2021

Mayank Kumar
1923022
 Tax Rates
On direct taxes, this budget is more important for what has not happened, as opposed to what
has been done in present times. The fact that taxes have not been raised is a positive. This is
especially so in the context of the fact that corporate tax rates are very reasonable at 25%.
Probably, having reduced the rates a few years back, it was not feasible to do a roll-back.
Also, in the context of individual taxes, given the 43% tax, how much further could taxes
have been increased on individuals? Although, it is disappointing that the constant
representations made for reduction of tax on partnerships and limited liability partnerships at
35% have not been heeded, and the 35% is higher than that for companies at 25%.

 Healthcare

* India to allocate 2.2 trillion rupees ($30.20 billion) for healthcare in 2021/22

* Sitharaman says expect two or more COVID-19 vaccines soon

* India to launch new federal health scheme with outlay of around 641 billion rupees ($8.80
billion) over the next six years

* To allocate 350 billion rupees ($4.81 billion) for COVID-19 vaccines, and allocate more
funds if needed.

References

  https://www.bloombergquint.com/business/budget-2021-the-direct-tax-fine-print
 https://www.ndtv.com/business/budget-2021-budget-aimed-at-boosting-pandemic-hit-
economy-2361390?pfrom=home-business_otherstories