Union Budget 2025: Who Wins, Who Loses? -

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The Union Budget 2025 has landed, bringing with it the usual fanfare, debates, and promises of economic transformation. The middle class gets a tax breather, businesses get their share of incentives, and the government gets to remind everyone how much it cares—at least on paper. But behind the flashy announcements and headline-grabbing reforms lies a familiar pattern: some big wins, some quiet disappointments, and a lot of fine print that might just undo the excitement. So, is this budget a game-changer or just another well-rehearsed performance? Let’s break it down.

The New Income Tax Slabs: Relief or Just a Shiny Distraction?

The Union Budget 2025‘s new income tax slabs aimed at providing relief to the middle class. Under the new regime, individuals earning up to ₹12 lakh annually will not have to pay any income tax. The revised slabs are as follows: no tax for income up to ₹4 lakh, 5% for ₹4-8 lakh, 10% for ₹8-12 lakh, 15% for ₹12-16 lakh, 20% for ₹16-20 lakh, 25% for ₹20-24 lakh, and 30% for income above ₹24 lakh.

Here’s how the new structure in the union budget 2025 looks:

₹0 – ₹4 lakh – No tax (unless you count inflation as a tax)
₹4 – ₹8 lakh – 5% (because the government still needs its cut)
₹8 – ₹12 lakh – 10% (fair enough, right?)
₹12 – ₹16 lakh – 15% (time to rethink that second car)
₹16 – ₹20 lakh – 20% (yep, you’re in the “doing well but not too well” category)
₹20 – ₹24 lakh – 25% (the government starts noticing you)
Above ₹24 lakh – 30% (congratulations, you’re rich! Now pay up)

Pros? The tax burden on middle-income earners has been reduced, leaving more money in their pockets—at least in theory. Cons? The old regime with deductions and exemptions is still gone, meaning those relying on investment-based tax breaks might feel the pinch.

The logic behind this move? The government hopes that with more money in people’s hands, they’ll spend more, boosting demand and encouraging companies to invest. It’s a decent economic theory—until people decide to just save the money instead.

Union Budget 2025 Healthcare: A Dose of Relief or Just a Sugar Pill?

One of the standout announcements in the union budget 2025 is the exemption of customs duty on 36 life-saving drugs. This includes medicines used for treating cancer, rare diseases, and organ transplant patients—an overdue relief for those struggling with exorbitant healthcare costs. While this move has been lauded by healthcare experts, the devil, as always, lies in the details. Will these exemptions truly translate to lower prices for patients, or will pharmaceutical companies and middlemen find ways to keep their margins intact?

Moreover, while the government pats itself on the back for this initiative, public healthcare spending remains disappointingly stagnant. There are no major allocations for infrastructure development in rural health facilities, nor any clear strategy to fix the chronic shortage of doctors and medical staff. It’s as if the government believes waiving customs duties is enough to solve India’s healthcare crisis. Spoiler: It’s not.

Corporate Tax and Business Benefits: Who Wins?

For businesses, the budget brings mixed blessings. The government has extended tax benefits for startups under Section 80-IAC till 2030 in the union budget 2025, meaning more incentives for young companies. Good news if you’re dreaming of launching another food delivery app.

Meanwhile, foreign investors can breathe a sigh of relief with this aspect of the union budget 2025, as the government has extended exemptions for sovereign wealth funds and pension funds investing in Indian infrastructure. Translation: More foreign money, hopefully, flowing into roads, bridges, and those fancy expressways.

GST, Excise, and Customs: Because The Government Never Leaves Money on the Table

In the realm of indirect taxes, the government has once again demonstrated its “we’ll take it from somewhere” philosophy.

GST tweaks: The amendment to Input Tax Credit rules and increased compliance measures means businesses better keep their receipts straight.
Excise duties: Increased on “luxury” items (aka, anything enjoyable).
Customs duties: Adjustments have been made to encourage local manufacturing and discourage unnecessary imports. So, that overpriced imported gadget you were eyeing? It just got pricier.

One major highlight? The introduction of a track and trace mechanism for high-risk goods like pan masala, liquor, and high-value electronics to reduce tax evasion. The government wants to make sure it gets its fair share of the sin tax.

Crypto and Capital Gains: The Government Still Hates Your Bitcoin

Crypto traders, take a deep breath—you’re still on the government’s radar. Virtual digital assets have now been formally classified under “undisclosed income”, meaning if you thought you could hide those gains, think again.

Meanwhile, the tax rate on long-term capital gains has been unified at 12.5% across the board. This might be a relief for some investors, but it’s also a nudge towards traditional investments rather than speculative trading.

The NPS Vatsalya Scheme in the Union Budget 2025: Because Even Your Kid Needs a Retirement Plan

A new addition to the National Pension Scheme (NPS), the Vatsalya Scheme allows parents to open an NPS account for their minor children. Parents can contribute, get tax deductions, and eventually hand over a retirement-ready investment to their kids. Because, let’s be honest, with the way things are going, your kids might need a retirement fund before they even get their first job.

The Middle Class Gets a Bone, But What About Everyone Else?

While the tax relief for the middle class is being touted as a major victory, critics argue that the budget does little for the poorest sections of society. There’s a lack of direct benefits for low-income earners, and social sector spending hasn’t seen dramatic increases.

On the employment front, the government is banking on increased investments and business-friendly policies to generate jobs, but as history has shown, this doesn’t always trickle down to those who need it most.

What’s Missing from the Union Budget 2025?

For all its grand announcements, there are a few glaring omissions in this budget:

Healthcare spending: With India’s doctor-to-patient ratio still in crisis, the budget doesn’t do much to improve healthcare accessibility.
Education reforms: While there are incentives for EdTech companies, school infrastructure and teacher training remain grossly underfunded.
Agriculture sector: The backbone of India’s economy received the usual promises, but farmers were hoping for more direct relief and better pricing mechanisms.

What Does the Union Budget 2025 Mean for You?

If you’re a middle-class taxpayer: Congrats, you get to keep a little more of your hard-earned money (assuming you don’t spend it all on rising fuel and grocery prices).
If you’re a salaried employee: The lack of deductions might hurt, so calculate wisely before you celebrate.
If you’re a business owner: Startups get an extended runway, but compliance and tax scrutiny just got tighter.
If you’re a crypto trader: Sorry, but the government still doesn’t trust you.
If you’re a farmer: Well, the government still thinks “announcements” count as policies.

Union Budget 2025 Final Verdict: A Budget That Tries to Please, But Not Everyone’s Smiling

The Union Budget 2025 is an exercise in balancing act. It gives just enough to keep middle-class taxpayers happy, keeps businesses hopeful, and ensures that foreign investors don’t get spooked. At the same time, it’s cautiously optimistic about growth, hoping that people will spend more, invest more, and complain less.

Will it work? That depends on whether companies actually invest, whether inflation behaves, and whether the global economy doesn’t throw any nasty surprises. But if history is any guide, expect plenty of debates, economic think pieces, and a whole lot of memes in the coming weeks.

One thing’s for sure— union budget 2025 speech and discussions might be over, but the antics and theatrics surrounding it have only just begun.

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