The Unified Budget to be presented before 1 April
The Union Cabinet decided that it would present, unified budget, a few weeks earlier than the convention of the last day of February.
The new date will be announced after obtaining approvals from the Cabinet Committee on Parliamentary Affairs and the Lok Sabha Speaker, an official said.
Reason for the advancement
The decision to advance the budget is being taken to allow for the annual budget exercise to be completed every year before April 1, the start of the new financial year.
Implications of the advancement
1. This is expected to lead to streamlined spending of allocations by States and ministries and ensure rollout of the legislative changes in the tax regime from the beginning of the financial year.
Earlier, the budget used to be passed till end of May and funds used to assigned to States by August- September. Thus, use of funds was rushed in later half of the year. This practice used to affect economic growth.
2. It will also preclude the need for seeking appropriation from Parliament through ‘Vote on Account.’