Nirmala Sitharaman, Budget 2019, India Budget, Budget for New India Bahi Khata
Finance Minister Nirmala Sitharaman unveiled the much-awaited Budget 2019-20 on Friday. The new budget aims to boost infrastructure and foreign investment. This is the first budget under Mr Modi’s second term in office.
The new budget gained attention after Prime Minister won another term (2014-19) after leading the ruling BJP to power with complete majority.
Though there was no changes in Income tax limit for the middle class, the govt. announced some incentives for those eyeing to buy affordable homes and electric vehicles.
Last month, Sitharaman became the second women to become India’s finance minister after Ms. India Gandhi (in 1971) also announced to increase Rs. 2 excise duty every liter of petrol and diesel. The budget speech was one the longest, it lasted 2 hours 17 minutes. She began her speech praising Mr Modi’s government schemes.
Ms. Sitharaman who is India’s first full-time Finance minister ditched the old colonial era briefcase with a traditional bahi-khata (red cover) to carry the budget.
These are few developments of Budget 2019
Ms Sitharaman said that India will be become a $3 trillion economy in 2019-20 fiscal.
There were no changes Rs 5 lakh income tax limit but it provided 3 percent relief for those earning Rs 2 crore or more 7 percent for those earning Rs 5 crore and above annually.
Companies who earn Rs 400 crore will be under 25 percent tax bracket. Earlier it was applicable for companies with turnover of 250 crore per annum.
Finance Minister also proposed 100 percent FDIs on media, aviation, Insurance, single-brand retail and animation sectors.
Gas connection will be provided to every village. Further discounts will be applicable on eco- friendly electrical vehicles.
Upgradation of 1.25 lakh kilometers of roads by spending around Rs 80,000 crore.
FM also restated Mr Modi’s goal of doubling farmers income by 2022. This will be possible through taking steps centered at Zero budget farming, villages, poor and the farmers.
Custom duty on steel raised from 5 percent to 7.5 percent and 12.5 on gold and precious metals. Duties on several imported items have been also increased to encourage local farming.
Startups will also benefit from the new budget.
Fiscal deficit will be 3.3 percent of the GDP, Sitharaman said.
State owned banks will get Rs 70,000 crore of more capital. 2 percent TDS will be awarded for withdrawals exceeding Rs 1 crore each year. The move aims to encourage business move towards electronic transactions.
The budget gained attention as its Economy shrank to a 5-year low to 6.8 percent for 2018-19. Furthermore, a 2018 employment revealed India’s unemployment was at its 45 years high. Furthermore Arvind Subramaniam, India’s former chief economic advisor wrote in a harvard report that India’s GDP was overstated by 2.5 percent during 2011-16.for more visit: http://www.techymob.com
Posted By: James Kuanal