Tag Archives: Nirmala Sitharaman

Nirmala Sitharaman, Finance Minister, GoI, announced “Govt to increase TCS on remittances under RBI’s Liberalised remittance scheme from ₹7 lakh to ₹10 lakh. She also said, “In the budget of July 2024, the delay of the payments of the TDS up to the due date of filing statements was decriminalised; I propose the same from the TCS provisions as well.” Number of rates and thresholds above which TDS is deducted to be reduced Limit for tax deduction on interest for senior citizens to be doubled from ₹50,000 to? 1 lakh Annual limit for TDS on rent to be increased from ₹2.40 lakh to ₹6 lakh Threshold to collect tax at source on remittances under RBI’s Liberalized Remittance Scheme to be raised from ₹7 lakh to ₹10 lakh

Nirmala Sitharaman, Finance Minister, GoI announced that the Modified UDAN scheme will be launched to enhance regional connectivity to connect 120 new destinations and cater to 4 crore passengers over the next 10 years. The scheme will also support helipads and smaller airports in hilly, aspirational and northeast regional districts. She added that Greenfield airports will be facilitated in Bihar to meet the future needs of the state. These will be in addition to the expansion of the capacity of Patna airport and Brownfield airport in Bihta. Financial support will be provided for Western Kosi Canal ERM project in Mithilanchal, benefitting a large number of farmers in the Mithilanchal region of Bihar.

Presenting the Union Budget 2025, Finance Minister Nirmala Sitharaman proposed a simpler tax regime for foreign shipping companies operating domestic cruises in India, aiming to boost cruise tourism. She highlighted plans for ownership, leasing, and flagging reforms to enhance the domestic shipping industry’s share and create more jobs.

According to the detailed Expenditure Profile for Interim Budget 2024-25, total estimated outlay for tourism is ₹2449.62cr. For overseas tourism promotions, allocation is ₹3.02cr vis-a-vis ₹100cr in FY23-24. For domestic promotions ₹176.97cr is proposed, up from ₹95cr in FY23-24.

Announcing the Interim Budget 2024-25, Nrmala Sitharaman, Finance Minister of India, said, ” There will be comprehensive development of tourist centers. The success of organizing G20 meetings in 60 places presented diversity of India to Global audience. Our economic strength has made the country and attractive destination for business and Conference tourism. Our middle class also now aspires to travel and explore tourism including spiritual tourism has tremendous opportunities for local people. States will be encouraged to take up comprehensive development of iconic tourist centers branding and marketing them at global scale. A framework for rating of the centers based on quality of facilities and services will be established long-term interest free loans will be provided to States for financing such development.”

The Lok Sabha passed additional amendments to Finance Bill, which mentions that any payment made with a credit card to foreign vendors (such as for hotel and airline bookings, gaming, subscriptions to software/magazines/memberships, etc.), will be subjected to TCS at 20% irrespective of the amount paid. Credit card payments for foreign travel can be now brought under RBI’s Liberalised Remittance Scheme, announced Nirmala Sitharaman in the Lok Sabha.  

Ajay Singh, CMD, SpiceJet, at a post-budget interaction with Finance Minister Nirmala Sitharaman, put forth the difficulties being faced by civil aviation, travel, tourism and hospitality sectors. He requested her to consider granting infrastructure status to these sectors to facilitate lending by banks and financial institutions. He also requested the Hon’ble Finance Minister’s support for inclusion of Aviation Turbine Fuel under GST. The FM gave a positive response to consider these issues.

FHRAI has submitted a representation to Finance Minister Nirmala Sitharaman requesting her intervention for notifying the Rs60,000 crore sanctioned under the Loan Guarantee Scheme for COVID-affected sectors that was announced on June 28. The Association has stated that neither the operational guidelines nor any other details of the scheme have been announced by the Ministry so far.

Rajiv Mehra, President, IATO and Pronab Sarkar, Immediate Past President, IATO met with Nirmala Sitharaman, Finance Minister, in her office to thank her for the recent announcements for revival of tourism and also to seek support from the government on issues like SEIS, TCS, GST, ECLGS and export industry status. A communication from IATO mentioned that the meeting was historic and fruitful. On issue of ECLGS, she said that revised rules and guidelines are being issued to the banks. On the other issues raised by the IATO representatives, she gave a very patient hearing and assured to look into their suggestions/recommendations favourably based on its merit.

Jyoti Mayal, President, TAAI, has said that it’s a welcome move by the Finance Minister to announce package or relief for the travel agents and the tourism people, especially the tourist guides, who are registered on the MOT website. “However, I still feel that more should have come for the tourism sector, which is really suffering a huge cash flow crunch, seeing low business and are not even looking at any business coming and reviving quickly. I think more needs to be done, as the 10% which will be useful to some of the smallest players, will not go far for the majority. Hence, the industry in general, has not been helped. However, it’s a small light at the end of the tunnel. We are also looking at the ECLGS scheme and we hope that something more will be added to it. In addition, SEIS would be another perspective that would be looked at. Hence, let’s hope there is some more coming and we keep our fingers crossed that whatever they have announced will be distributed easily and doesn’t just remain on paper. We need ease of getting that amount also. Overall it’s a good move and we are looking for more and I hope it’s the beginning to get more respite,” she added.