Published On: Mon, Jun 26th, 2017

India To Adopt New Financial Year – January To December

The Indian financial year could change from next year and the government could follow a new cycle of January to December instead of April to March, changing the 150-year-old tradition.

Sources say the next Budget could be presented in November this year and the government is working on aligning the Indian financial year with calendar year.

If the information turns true, this would be a historic change by ending decades-old practice.

India To Adopt New Financial Year - January To December

Earlier this year Prime Minister Narendra Modi changed the date of Budget presentation. Earlier it in the last week of February but the last was exercised on February 1.

This mean the Budget session of the Indian Parliament would be held before December and to conclude by the year-end.

The budgetary exercise takes about two months to conclude and so the session could start in the first week of November.

The current financial year system was adopted in 1867 to align with the British government.

Before the change, the financial year used to commence on May 1 and end on April 30 in the next year.

It is learned a high-level committee was appointed to study the feasibility of the new change. The panel has already submitted its report.

Meanwhile, Madhya Pradesh has become the first state in India to announce change of financial year to January-December.

About the Author

- Paul Linus is an eminent online journalist who has been writing news, features and editorials on different websites from across the world for about a decade.

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