Union Budget 2019: Are you ready? 5 important terms you should know

Union Budget 2019: Finance Minister Nirmala Sitharaman is set to present the full budget for financial year 2019-20 on July 5. This will be the first budget of the Narendra Modi-led National Democratic Alliance (NDA) government after it got re-elected in May. Earlier this year, the government had presented an interim budget on February 1 ahead of the 2019 Lok Sabha elections. The Budget contains details of government's financial strategy such as revenue, expenditure, growth projections and its fiscal position. Since this is the first budget of the new government, new policies could also be announced. Here are 5 terms you should know ahead of the Union Budget -

1. Direct and Indirect Taxes: Every time we near a budget presentation, there are lengthy discussions about direct and indirect taxes. But, what exactly are they? Direct taxes are the ones paid by individuals and corporations. For example, income tax, corporate tax etc. Meanwhile, indirect taxes are paid by consumers when they buy goods and services.

2. Budget estimates: It is the amount of money allocated in the Budget to any ministry or scheme for any financial year.

3. Budget speech: It is the speech delivered by the finance minister in Parliament while presenting Budget. This year, the Budget speech will be presented by Nirmala Sitharaman. She will become only the second Indian woman, after former prime minisrer Indira Gandhi, to deliver the budget speech. 

4. Fiscal Deficit: It is the amount by which government expenditure in a financial year exceeds government collections. In case there is a shortfall, the government borrows money from the public.

5. Budget documents: This is a set of documents that is tabled in the Parliament as part of the Budget. These documents include Budget Speech, Annual Financial Statement, Demands for Grants (DG), Macro-Economic Framework and Fiscal Policy Strategy Statements, Expenditure Budget, Receipts Budget and Expenditure Profile.