How is the union budget prepared in india 2025

The Union Budget of India is prepared through a detailed and structured process, and it typically begins months before the presentation in Parliament. Here’s an overview of how the budget preparation happens in India, including the 2025 budget:-

1.The process:-

The initial processes-
It begins in august -september around six months prior to the presentation of the budget.The finance ministry sends budget circulars containing skeleton forms and
necessary guidelines to concerned ministries and department.These circulars are then distributed amongst disbursing and field officers,who provide details about
financial expenditures and receipts of their department during the current and past fiscal year.They also their financial requirement for the ensuing fiscal year.

2.Accumulation and authorization of data:-

The data and estimates provided by ground level officials are then scrutinized by top officials of their department.Upon approval the data and estimates are then sent to the
concerned ministries where they are examined again.Finally the data and estimates are sent to the finance ministry.

3.Consultations with stakeholders:-

Apart from holding internal discussion on various key numbers of the budget such as nominal gross domestic (GDP) projected fiscal deficit and the revenue and
expenditure accounts.The government meets leaders and shareholders from across sectors and such industry, the financial sectors,agriculture,and the social sector.To
take their inputs and suggestion into the budget -making exercise.

4.Composing the budget:-

After analyzing every aspect carefully,the finance ministry then allocates revenues to various administrative ministries and devises new public welfare schemes.At times
there are disputes between ministries over the allocation of resources.In such scenarios,the finance ministry consults the union cabinet or the prime minister.Their decision
is deemed final in such scenarios.After completing the allocation of resources to future expenditure,the finance ministry in association with central board of direct taxes and
central board of excise and customs prepares a report of the estimated revenues to be generated in the ensuing financial years.In the final stage both the reports are consolidated
to generate the final union budget.

5.Printing of Budget

According to the press trust of india ,budget -related documents are printed at north block on a dedicated government press.”Earlier the documents were printed at rashtrapati
bhavan ,but this was shifted to a press on minto road in the national capital in 1950 after documents were leaked an in 1980 to north block” the PTI report said.

6.About the Budget

Every year the department of economic affairs in the ministry prepares the union budget which is presented by the finance minister.The union budget is an annual financial
statement which encapsultes the estimated earning from revenue and estimated expenditure of the government during a particular fiscal year.It establish a financial roadmap
for the country in the ensuing financial year.The budget is made through a consultative process involving ministry of finance ,niti aayog and spending ministries.

Frequently Asked Question

Conclusion

.Budget is annual financial in form of estimates of income & Expenditure for coming year
.Budget is important policy instrument for socio-economic measures,distributive justice,and welfare delivery
.PM,FM budget division of finance ministry ,department of expenditure revenue,nitiayog,nodal ministries,parliamentary committe ,cobinet ,prsideent are main actors in budget
making in india
.Because of its allocative ,distributional and stabilization roles ,budget is most important policy tools for socio-economic development and change
.Budget may be categorized into may types-balanced,surplus,deficit-revenue ,capital -and line item,performance,and zero base budget etc.