Today on 29 February 2016 Finance Minister Mr. Arun Jaitley present his third union budget in Lok Sabha. As per the Prime Minister the budget is centralized on development of farmers, women’s and rural area, let’s check the budget highlights of all different sections to conclude what Mr. Jaitley announced for our support and for income tax exemptions as well.
Here Are 9 Pillars Of Union Budget 2016-17.
Tax
Infrastructure and agriculture cess to be charge.
Excise duty hiked from 10 – 15 per cent on tobacco products other than beedis.
1 percent service charge on purchase of luxury cars over Rs. 10 lakh and in-cash purchase of goods and services over Rs. 2 lakh also 4% high capacity tax for SUVs.
Excise 1 per cent imposed on articles of jewellery, excluding silver.
0.5 per cent Krishi Kalyan Cess to be charged on all services.
Pollution cess of 1 per cent charged on small petrol, LPG and CNG cars; 2.5 per cent on diesel cars of certain specifications; 4 per cent on higher-end models.
Personal Finance
No changes have been done to current income tax slabs.
15 per cent surcharge on income above Rs. 1 crore.
Rs 1,000 crore allotted for new EPF (Employees’ Provident Fund) scheme, Govt. will pay EPF contribution of 8.33% for all new employees for first three years.
Additional exemption of Rs. 50,000 for housing loans up to Rs. 35 lakh except provided cost of house is not above Rs. 50 lakh.
Service tax exempted for housing construction of houses less than 60 sq. m.
Health And Education
A new health protection scheme for health covers upto 1 lakh per family. Senior citizens will get additional healthcare cover of Rs 30,000 under the new scheme.
National Dialysis Service Program with funds from PPP mode to provide dialysis at all district hospitals.
Under PM Jan Aushadhi Yojana; 300 generic drug store to be opened.
10 public and 10 private educational institutions to be made world-class. Scheme to get Rs.500 crore for promoting entrepreneurship among SC/ST.
Rs. 1,700 crore for 1500 multi-skill development centers. 62 new Navodaya Vidyalayas to provide quality education.
Entrepreneurship training to be provided across schools, colleges and massive online courses. Objective to skill 1 crore youth in the next 3 years under the PM Kaushal Vikas Yojna-FM Jaitley.
National Skill Development Mission has imparted training to 76 lakh youth. 1500 Multi-skill training institutes to be set up.
Investments and infrastructure
Rs. 27,000 crore to be spent on roadways.
Shops to be given option to remain open all seven days in a week across markets.
65 eligible accommodations to be connected via 2.23 lakh kms of road. Current construction pace is 100 kms/day.
Rs. 55,000 crore for roads and highways. Total allocation for road construction, including PMGSY, – Rs 97,000 crore.
100 per cent FDI in marketing of food products produced and marketed in India.
Govt will amend Motor Vehicle Act in passenger vehicle segment to allow innovation.
Direct tax proposals result in revenue loss of Rs.1060 crore, indirect tax proposals result in gain of Rs.20,670 crore.
Energy And Agriculture
Rs. 3000 crore earmarked for nuclear power generation. Govt drawing comprehensive plan to be implemented in next 15-20 years for exploiting nuclear energy.
Govt to provide incentive for deepwater gas exploration. Deepwater gas new disc to get calibrated market freedom, pre-determined ceiling price based on landed price of alternate fuels.
Total allocation for agriculture and farmer welfare at Rs 35984 crores. 28.5 lakh hectares of land will be brought under irrigation.
5 lakh acres to be brought under organic farming over a three year period. Rs 60,000 crore for recharging of ground water recharging.
Dedicated irrigation fund in NABARD of Rs.20.000 crore. Highest ever compensation in case of crop loss under the PM Fasal Bima Yojna.
Banking
Jaitley says: Banking Board Bureau will be operationalised; we stand solidly behind public sector banks and gave a big boost: Rs 25,000 crore towards recapitalisation of public sector banks.
Target of disbursement under MUDRA increased to 1, 80,000 crore.
General Insurance companies will be listed in the stock exchange. Govt to increase ATMs, micro-ATMs in post offices in next three years.
Process of transfer of government stake in IDBI Bank below 50% started.
Social
LPG connections to be provided under the name of women members of family: Rs 2000 crore allocated for 5 years for BPL families.
Rs. 38,500 crore for Mahatma Gandhi MGNREGA for 2016-17. With a quantum jump of 22.8%, 2.87 lakh crore grants to gram panchayats and municipalities.
300 urban clusters to be set up under Shyama Prasad Mukherji Rurban Mission. Four schemes for animal welfare.
Hub to support SC/ST entrepreneurs
Being a common man the endless wait of “Ache-Din” is over after reviewing the entire budget it is clearly seen that budget completely focused on beneficiary of villages and farmers only. Except there is one benefit on rebate on IT, house loan. I don’t know why government has made the purchase of LED TV or mobile phone cheaper what a common man will do with all these stuff if he didn’t have anything to eat.
Being a citizen we appreciate your thoughts, kindly share your reviews.
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