INSUBCONTINENT EXCLUSIVE:
Budget 2021: Budget is prepared under the guidance of the Chief Economic Advisor to the governmentBudget 2021: Finance Minister Nirmala
Sitharaman will present Budget 2021 on February 1, 2021
The budget is simply an annual financial statement or financial plan of the government, containing details of revenue and expenditure in
the past, along with the estimated spending and projections for the following year
The economic survey presented ahead of the budget, is prepared under the guidance of the Chief Economic Advisor to the government of India
Other than the main budget speech, the budget also comprises a set of documents such as finance bill, annual financial statement, the demand
for grants as well as the macroeconomic framework
(Also Read: Budget 2021: 10 Things To Know About First Budget Of Independent India ) Finance BillThrough this document, the government
submits its proposals - in terms of abolition, imposition, alteration, remission, or regulation of taxes - to the ParliamentAnnual
financial statementThe annual financial statement is also known as the budget statement
It contains the details of the estimated receipts as well as expenditure in the year gone by (or revised estimates) as compared to the
following year ( or the budget estimates), as well as those incurred in the year before the present financial year (actuals). Demand for
grantsThe government is needed to provide details of the estimated expenditure in demand for grants
Usually, one demand for grant is presented in respect of every ministry or department
However, depending on the nature of expenditure, more than one demand may be presented for a ministry or department.Appropriation BillAfter
the demands for grants are voted by the Lok Sabha, the Parliament's approval to the withdrawal from the Consolidated Fund is sought through
The purpose of the Vote on Account is to keep the government functioning
The Vote on Account is obtained from the Parliament through an Appropriation Bill.Highlights of BudgetThe highlights document explains the
key features of the Budget
It indicates the prominent achievements of the nation in various sectors of the economy and also outlines the budget proposals for
allocation of funds to be made in significant areas. Macroeconomic framework statementThe macroeconomic framework statement contains an
assessment of the growth prospects of the economy, in terms of gross domestic product (GDP) growth rate as well as fiscal
balance.Memorandum explaining provisions in Finance BillThis document facilitates the understanding of the taxation proposals contained in
The memorandum also explains various provisions and their implications. Budget at a glanceAt a glance is a summary of the receipts and
disbursements, and also contains a brief description of key terms
It provides broad details of tax and non-tax revenues, plan and non-plan expenditure
It also indicates gross primary deficit, gross fiscal deficit as well as revenue deficit.
