Lok Sabha Question No. 2613 (UNSTARRED), answered on 2026-03-09
Subject: Corporate Tax Concessions and Welfare Allocations
Ministry: FINANCE
Asked by: Dr. Amar Singh

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF REVENUE

## LOK SABHA

## UNSTARRED QUESTION NO. 2613

TO BE ANSWERED ON MONDAY, MARCH 09, 2026/ PHALGUNA 18, 1947 (SAKA)

## CORPORATE TAX CONCESSIONS AND WELFARE ALLOCATIONS

## 2613. DR. AMAR SINGH:

Will the Minister of FINANCE be pleased to state:

- (a) whether  the  Government  proposes  to  review  the  effectiveness  of  corporate  tax concessions  granted  in  recent  years,  in  view  of  subdued  private  investment,  gross  capital formation and employment generation and if so, the details thereof;
- (b) whether allocations to welfare schemes such as the Mahatma Gandhi National Rural Employment  Guarantee  Act  (MGNREGA),  which  provide  income  support  to  the  poorest sections of society, have been reduced, constrained or otherwise diluted during the last three years and if so, the reasons therefor; and
- (c) whether the Government acknowledges that increase in overall budgetary outlays and tax revenues, arising from economic expansion and a widening tax base have not resulted in a commensurate improvement in the standard of living of a majority of citizens and if so, the details thereof?

## ANSWER

THE MINISTER OF STATE IN THE MINISTRY OF FINANCE

## (SHRI PANKAJ CHAUDHARY)

- (a) Currently, there is no such proposal in consideration.
- (b) Mahatma Gandhi National Rural Employment Guarantee Scheme (Mahatma Gandhi NREGS) is a demand driven wage employment Scheme. It provides livelihood security, i.e. fall-back  options  for  livelihood  for  the  rural  households,  when  no  better  employment opportunity is available. Details of Budget Estimate and Revised Estimate for Mahatma Gandhi NREGS  during  the  last  three  financial  years  and  current  financial  year  2025-2026  as  on 04.03.2026 are given below:

|   SI. No. | Financial Year             |   Budget Estimate (Rs. in crore) |   Revised Estimate (Rs. in crore) |
|-----------|----------------------------|----------------------------------|-----------------------------------|
|         1 | 2022-23                    |                            73000 |                             89400 |
|         2 | 2023-24                    |                            60000 |                             86000 |
|         3 | 2024-25                    |                            86000 |                             86000 |
|         4 | 2025-26 (as on 06.03.2026) |                            86000 |                             88000 |

Under Mahatma Gandhi NREGS for the FY 2024-25. budget allocation of Rs. 86,000 crore was made, which was the highest ever allocation for scheme at the Budget Estimate (BE) stage since inception. In the FY 2025-26, the Government has retained this allocation at Rs. 86,000 crore ensuring continued support for rural employment. Further, the provision for providing additional funds of Rs.2,000 crores has also been made under Revised Estimate stage for the FY 2025-26 for MGNREGA Scheme.

Ministry of Rural Development closely monitors the demand for employment at the ground level  and  seeks  additional  funds  from  the  Ministry'  of  Finance  as  and  when  required.  The release of funds is a continuous process, and the Government of India remains committed to providing  funds  as  per  actual  demand  for  employment  under  the  scheme.  In  the  current financial year 2025-26 (as on 04.03.2026).an amount of Rs. 80,616.39 crore has been released to the States/Union Territories, which includes Rs.65,519.35 crore for wage component and an amount of Rs.15,097.03 crore for Material and Admin.

(c) No, in general the increase in overall budgetary outlays and tax revenues have resulted in improvement in the standard of living of a majority of citizens.

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