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Budget Session 2025 has introduced several pro-business, tax-friendly, and growth-oriented measures aimed at fostering a strong economic foundation for the future.
PWOnlyIAS
February 03, 2025
Budget Session 2025: The Union Budget 2025-26, presented by Finance Minister Nirmala Sitharaman on February 1, 2025, outlines the government’s vision for economic growth, investment, taxation, and welfare schemes. With a focus on ‘Viksit Bharat’, the budget aims to accelerate India’s progress in various sectors. We have provided a comprehensive overview of the Budget Session 2025, including its schedule, taxation changes, economic policies, and major takeaways.
The Budget Session is the first parliamentary session of the year, typically beginning in late January and continuing until March or April. The Budget Session 2025 is one of the most critical legislative sessions in the Indian Parliament, where the government presents its financial roadmap for the upcoming fiscal year. This session plays a crucial role in shaping the country’s economic policies, taxation structures, and expenditure plans. It is divided into two phases:
The Union Budget is a financial statement of the government’s revenue and expenditures. It outlines key allocations for different sectors and sets the roadmap for economic policies.
The Union Budget 2025-26, presented by Finance Minister Nirmala Sitharaman, has introduced a major relief for taxpayers by raising the income tax rebate limit from ₹7 lakh to ₹12 lakh. This means that individuals earning up to ₹12 lakh annually will have zero tax liability under the new tax regime.
The rebate is only applicable for incomes up to ₹12.75 lakh salaried taxpayers. If your taxable income exceeds ₹12,75,000 lakh by even ₹1, you will not get this rebate and will be taxed as per the new tax slabs.
For example:
Previously, individuals earning ₹12 lakh had to pay ₹80,000 in tax under the new tax regime. With this rebate, they now have zero tax liability if they stay within the ₹12 lakh limit.
| Revised Income Tax Slabs (New Tax Regime – Budget 2025-26) | |
| Total Annual Income | Tax Rate (New Regime) |
| Up to ₹4 lakh | Nil |
| ₹4 – 8 lakh | 5% |
| ₹8 – 12 lakh | 10% |
| ₹12 – 16 lakh | 15% |
| ₹16 – 20 lakh | 20% |
| ₹20 – 24 lakh | 25% |
| Above ₹24 lakh | 30% |
The Budget Session 2025 started on January 29, 2025, with the President’s address to the Parliament. The Union Budget was presented on February 1, 2025 by Finance Minister Nirmala Sitharaman.
The session is expected to conclude in April 2025, after discussions and approvals of various financial bills.
The Parliament debates and scrutinizes the budget proposals through various stages:
This provisional calendar provides the tentative schedule for the Budget Session 2025, covering both the Lok Sabha and Rajya Sabha discussions.
The following are the allocated days for answering questions in Lok Sabha and Rajya Sabha for this Ministry:
| House | Day | Dates |
| Lok Sabha | Tuesday | 4th & 11th February 2025 |
| 11th, 18th & 25th March 2025 | ||
| 1st April 2025 | ||
| Rajya Sabha | Wednesday | 12th, 19th & 26th March 2025 |
| 2nd April 2025 |
The Indian Parliament holds three major sessions annually:
The Union Budget 2025-26, presented by Finance Minister Nirmala Sitharaman on February 1, 2025, outlines the government’s vision for economic growth, financial stability, and welfare-driven reforms.
With a focus on ‘Viksit Bharat’, the budget aims to strengthen India’s four key growth engines—Agriculture, MSMEs, Investments, and Exports—while introducing major taxation reforms, infrastructure development, and digital transformation. Below are the key highlights of Budget 2025-26 that define the roadmap for India’s economic trajectory.
The Budget 2025-26 is centered on four key engines of economic growth:
It also focuses on reforms as the fuel to drive India towards the goal of ‘Viksit Bharat’.
One of the major announcements in Budget 2025-26 was the revision of income tax slabs. Below is a comparison between the existing and proposed tax slabs:
| Total Annual Income (Existing Tax Slabs) | Rate of Tax | Total Annual Income (Proposed Tax Slabs – Budget FY26) | Rate of Tax |
| Up to ₹3 lakh | Nil | Up to ₹4 lakh | Nil |
| ₹3 to 7 lakh | 5% | ₹4-8 lakh | 5% |
| ₹7 to 10 lakh | 10% | ₹8-12 lakh | 10% |
| ₹10 to 12 lakh | 15% | ₹12-16 lakh | 15% |
| ₹12 to 15 lakh | 20% | ₹16-20 lakh | 20% |
| Above ₹15 lakh | 30% | ₹20-24 lakh | 25% |
| – | – | Above ₹24 lakh | 30% |
Note: Total Annual Income is calculated after excluding the standard deduction of ₹75,000.
The standard deduction has also been increased to ₹75,000, providing additional relief to salaried individuals.
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