CLAT 2021 Questions Related to Union Budget

Earlier this year, the Finance Minister of India, Ms Nirmala Sitharaman had presented the Union Budget for the new financial year (2021-2022). This was among the top trending news that is also important for the CLAT exam 2021. 

In this write-up, we have shared some of the most important questions related to Union Budget 2021 for CLAT exam. Since it is part of the current affairs and general knowledge section, you must be prepared for it. 

Overview of Union Budget 2021

The theme of this year’s budget was ‘Ease of Living’. This theme had three aspirations. First, to make the standards of living better in terms of education, health, and jobs for the Indian society. Second, to develop economically (Sabka Saath, Sabka Vikas, Sabka Vishwas). Third, to make the society more human and compassionate.

Union Budget 2021 brought revisions to the income tax rates, as follows:

  • For income ranging between INR 5 to 7.5 lac: 10% tax (priorly 20%)
  • For income ranging between INR 7.5 to 10 lac: 15% tax (priorly 20%)
  • For income ranging between INR 10 to 12.5 lac: 20% tax (priorly 30%)
  • For income ranging between INR 12.5 to 15 lac: 25% tax (priorly 30%)
  • For income above INR 15 lac: 30% tax
  • For power generation businesses, there is a 15% concession tax rate.
  • Cooperative societies tax declined to 22%.
  • The bank depositors’ insurance coverage has been increased from INR 1 lac to INR 5 lac.
  • 5 new smart cities will be developed under a public-private partnership.
  • The Delhi-Mumbai Expressway project to be finished this fiscal year.
  • Nearly 100 new airports will be built by 2024.
  • There will be the launch of a new scheme for the settlement of tax disputes, called Vivaad Se Vishwaas. 
  • The budget allocation for the defence is INR 3.37 lac crore. 

The Government of India will spend nearly INR 690 billion on the country’s healthcare for the new fiscal year. India is expecting the growth in its GDP of nearly 10% this year. 

CLAT 2021 Questions Related to Union Budget

1. Who presents the Budget in Parliament?

  1. Defence Minister
  2. President of India
  3. Prime Minister
  4. Finance Minister

Answer is B

2. For how many times Mrs Nirmala Sitharama has presented the Union Budget?

  1. 3
  2. 4
  3. 2
  4. 5

Answer is A

3. What is the budget for the COVID-19 vaccine?

  1. 30,000 crore
  2. 25,000 crore
  3. 20,000 crore
  4. 35,000 crore

Answer is D

4. What is the budget for the Railways

I. 3,25,000 crore

II. 1,10,055 crore

III. 2,30,345 crore

IV. 30,55,000 crore

Answer is B

5. By when do the Railways for India expect to develop the future-ready railway system?

  1. 2025
  2. 2035
  3. 2030
  4. 2040

Answer is C

6. Which of the following is not the core pillar of the Budget 2021?

  1. Agricultural Development
  2. Healthcare
  3. R&D 
  4. Minimum Government and Maximum Governance

Answer is A

7. How much is India spending on its healthcare and wellbeing?

  1. 2.23 lakh crore
  2. 3.21 lakh crore
  3. 5.06 lakh crore
  4. 4.35 lakh crore

Answer is A

8. India’s upcoming census will be a digital census. What is the budget allocated to the new census this fiscal year?

  1. 2,872 crore
  2. 3,768 crore
  3. 4,675 crore
  4. 2,654 crore

Answer is B

9. What is the budget allocated for roads, highways, and transportation?

  1. 4.18 lakh crore
  2. 1.18 lakh crore
  3. 2.18 lakh crore
  4. 3.18 lakh crore

Answer is B

10. The Union Budget 2021-22 saves whom from double taxation?

  1. Foreigners
  2. NRIs
  3. Citizens of India
  4. All of the above

Answer is B

Wrapping Up:

So, these are some of the most important questions related to the Union Budget that you can expect in the CLAT 2021 exam. You must have an idea about what it is, who presented it in the parliament, budget allocated for specific factors, etc. This is an important topic related to current affairs and general knowledge and is very important for the Common Law Admission Test.

For any queries or doubts, feel free to write in the comments. 

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