Union Budget 2022: Three Big Takeaways for the Youth

Introduction

The Union Budget  2022 was a growth-driven budget   with measures aimed at improving the growth of the economy. Still, some measures were seen as bold and futuristic. Some of these measures are relevant to youngsters, such as the special mention of boosting mental health services in the country and the tax on cryptocurrencies and non-fungible tokens (NFTs).

Here are the top three mentions in the Union Budget  that are relevant to the youth:

1. Setting up of Tele Mental Health Centres

Since the pandemic, the Indian Psychiatric Society has reported a 20% increase in mental health cases. Keeping in mind the impact of the pandemic on mental health, FM Nirmala Sitharaman announced the setting up of a National Tele Mental Health program with a network of 23 mental health centres for the people of India in the budget. This is a welcome move since it is one of the rare occasions when mental health has been mentioned in the Union budget. Citizens of the country, especially the younger generation, can use this opportunity to improve their psychosocial well-being and mental health.

2. Digitization of Education

During the pandemic, the education sector took a significant hit, digitizing education one of the most critical steps. The Finance Minister announced the setting up of new e-learning content platforms for students, significantly to benefit those in semi-urban and rural areas. Additionally, she also announced a digital university to promote better digital education and allow foreign universities to operate in Gujarat International Finance Tech-City (GIFT City). For younger children, in classes 1-12, the One Class One TV Channel scheme was extended to 200 channels from the current 12.

Additional Read: Sector-Wise Key Takeaways From Budget 2022

3. Taxation of Cryptocurrencies and NFTs

Another announcement that is pertinent to the country's youth came in the space of virtual digital assets, which covers cryptocurrencies and NFTs. The government has announced a 30% tax on any virtual digital asset transfer. Additionally, they will also attract a TDS of 1% beyond a certain threshold. Another thing to note in terms of these regulations is that losses incurred while trading in these digital assets cannot be offset against any other income, and gifted assets will also be taxed in the hands of the recipients.

Additional Read: Missed the Union Budget 2022 Speech? Here’s what you need to know

Conclusion

While the budget   had many other important announcements regarding infrastructure spending, support to the agricultural sector, and more local defence allocation, these three measures are the most relevant to the country's youth.

Additional Read: Union Budget 2022: Things that will Get Cheaper and More Expensive for You

Sources

• 20% increase in mental health cases - (Source – Anadolu Agency as of October 10, 2021)
• 23 Tele Mental Health Centres – (Source – NDTV as of Feb 1, 2022)
• 200 channels - (Source – Money Control as of Feb 1, 2022)
• 30% tax on digital assets and 1% TDS (Source –  Indian Express as of Feb 1, 2022)

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