Top 10 Highlights Budget 2019
Piyush Goyal's (Union Finance Minister) election-eve budget has proposed tax breaks for the middle class and sops for agriculturists and a large number of employees in the unorganized sector. Pay up to Rs five lakh every year will be exempted from tax. Agriculturists owning up to five hectares of land will get income support of Rs 6,000 every year, as well as unorganized sector employees, will get Rs 3,000 per month pension.
Above are the highlights from the FM's speech:
Income Tax reliefs:
1. No tax for those whose assessable salary is not as much as Rs 5 lakh
2. Standard deduction expanded to Rs 50,000 from Rs 40,000 for salaried class
1.Rs 6,000 every year assured income support for small and marginal agriculturists
2. Agriculturists having up to 2 hectares of lands will get Rs 6,000 every year in three equal portions. The plan will be viable from December 1, 2018
Tax exemptions on investments:
1. Individuals with gross pay up to 6.5 lakh rupees will not require to pay any tax if they make investments in provident money as well as prescribed equities
2.TDS limit for home lease expanded from Rs 1.8 lakh to 2.4 lakh
3. Interest income up to Rs 40k in post offices, as well as banks, made tax free
4.Capital gains tax exemptions under 54 Section to be available up to Rs Two crore. Capital gains exemption to be available on two house properties
5. Income tax relief on notional lease from unsold houses stretched out to 2 years from 1 year
More tax related reliefs:
1. ITR to be processed within 24 hours, as well as refunds, will be paid immediately
2. Within about two years, almost all assessment, as well as verification of ITR, will be done electronically by an anonymized tax system without any intervention by authorities.
Interest subvention for farm loan takers:
1. Agriculturist affected by natural disasters to get 2% interest subvention and extra 3% interest subvention upon timely repayment
2. 2% Interest subvention for farm loan takers: Farmers affected by natural disasters to get 2% interest subvention and extra 3% interest subvention upon timely repayment
3. 2% interest subvention to farmers who pursue animal husbandry, fisheries jobs through Kisaan credit cards
4. Kamdhenu scheme for animal husbandry
1. Group of Ministers to propose approaches to reduce GST for house purchasers
2. Direct tax collections expanded from Rs 6.38 lakh crore in 2013-14 to nearly Rs Twelve lac. crore the Tax base is above from Rs 3.79 crore - 6.85 crore
3. Businesses with not as much Rs 5 crore yearly turnover, comprising over 90% of GST payers, will be permitted to file quarterly returns
4. Indian Customs to fully digitized exit transactions and leverage RFID for logistic. Govt abolishes duties on 36 capital goods
5. GST accumulations in January 2019 has crossed Rs 1 lakh crore
Sops for workers:
1. Rs 3,000 every year pension for unorganized sector workers
2. Secondly, New Pradhan Mantri Shram Yogi Maandhan Yojana for unorganized sector workers with income up to Rs 15k per month. Beneficiaries will get Rs 3k every month pension with a contribution of Rs 100 every month after retirement. Govt allocates Rs Five Thunder crore for the scheme
3. Gratuity limit increased for workers to Rs Thirdly lakh
Rs 60,000 crore for MNREGA
Rs 19,000 distributed for development of provincial streets under Gram Sadak Yojana
Govt expands the defense budget to over Rs 3 lakh crore. Govt will give extra assets to Defense, if necessary.
We have disbursed 35,000 crore Rs. under the OROP scheme in the last few years.
Railway's working proportion seen 96.2% in FY19 Vs. 95% FY20.
Railway capex for FY20 set a record of Rs 1.6 lac. crore
Now a day there is not a single unmanned railway crossing on the broad gauge in the country.
For FY19, the government has modified the fiscal deficit focus to 3.4 percent in FY 19. Fiscal deficit for 2019/20 evaluated at 3.4 percent of GDP.
Government's stated commitment before was to cut down the financial deficiency to 3.1 percent of GDP before the finish of March 2020, and 3 percent by March 2021
Current record deficit at 2.5% of the Gross domestic product
Nine important sectors for government
To build next-generation infrastructure - Physical as well as Social –
(1) To construct a Digital India that achieves each native
(2) Clean and Green India
(3) Expanding Indian industrialization by using modern industrial techniques
(4) Clean the rivers - with safe drinking water to all Indians
(5) Self-sufficiency in food and enhancing agricultural productivity with an emphasis on organic food
(6) Healthy India: free from disease
(7) Minimum Government, with proactive, responsible and friendly bureaucracy
(8) Oceans and coastlines
(9) India getting to be launchpad of the world