Union Budget 2024: 5 landmark budgets that transformed India's economic landscape
PTC Web Desk: Finance Minister Nirmala Sitharaman is set to present the Union Budget 2024 on July 23 at 11 am in the Lok Sabha. The Budget session will commence on July 22 and continue until August 12, 2024.
The Union Budget has a long history, beginning in 1947 when RK Shanmukham Chetty delivered the first budget of independent India. Over the years, several landmark budgets have significantly influenced the country's economy.
5 Landmark Budgets of India
1957-58: TT Krishnamachari's Budget for 1957-58 introduced pioneering tax reforms, including the wealth tax, which was levied on the total value of personal assets. This marked a notable shift in India's tax policy and remained in various forms until it was abolished in 2015.
1991-92: The 1991 Union Budget, presented by Manmohan Singh, was crucial in addressing the severe economic crisis facing India at the time. Drawing on his experience as Chairman of the Planning Commission and Chief Economic Advisor, Singh reformed the import-export policy, slashing customs duty from 220 percent to 150 percent, making Indian trade more competitive globally. Under Prime Minister PV Narasimha Rao's government, he introduced liberal policies that reduced government control and promoted economic freedom. This budget ended the "Licence Raj," attracted foreign investment, boosted economic confidence, and laid the groundwork for India's emergence as a major economic power.
1997-98: P Chidambaram, who served under Manmohan Singh in the Narasimha Rao Cabinet, presented the "Dream Budget" of 1997 as Finance Minister. This budget was notable for reducing personal income tax and corporate tax rates. The highest personal income tax rate was cut from 40 percent to 30 percent, and corporate tax rates were also reduced, providing significant relief to taxpayers and boosting economic activity.
2000-01: Yashwant Sinha's Budget under Atal Bihari Vajpayee's government in 2000-01 was a landmark for the IT sector. By lowering customs duty on 21 items, including computers, this budget spurred a boom in the industry and established India as a hub for IT growth.
2016-17: Arun Jaitley's 2017-18 Budget marked a historic change by merging the Union Budget and Railway Budget presentations, ending a tradition that had lasted for 92 years. This streamlined process has since become the standard practice.
- With inputs from agencies
