Curiosity funds type the largest chunk of presidency spending at 20 %
Finance Minister Nirmala Sitharaman will current the Interim Price range on February 1 as that is an election 12 months. The total Price range for the monetary 12 months 2024-25 is anticipated to be introduced by the brand new authorities in July after the Lok Sabha elections.
As per the earlier Price range 2023-24, 58 paisa out of each rupee the federal government earns comes from direct and oblique taxes. Out of this, earnings tax contributes 15 paisa.
The second highest contributor is borrowings and different liabilities, which account for 34 paisa.
On the expenditure facet, curiosity funds type the largest chunk of presidency spending at 20 %.
Until 2018-19, curiosity funds weren’t the single-largest expense for the Centre. As a substitute, 23 % to 24 % of the Price range was earmarked because the states’ share of Central taxes, with the federal government’s curiosity funds constituting the second-largest outgo at round 18 %.
Right here’s a breakup of each rupee the federal government earns and spends –