Hi friends, Himbuds.com brings you the Union Budget 2017 Highlights in easily comprehend-able point-wise format. Please go through, to has an in-depth gist of Union Budget 2017.
- Income Tax rate cut to 5 pc for individuals having income between Rs 2.5 lakh to Rs 5 lakh
- 10 pc surcharge on individual income above Rs 50 lakh and upto Rs 1 cr to make up for Rs 15,000 cr loss of due to cut in personal I-T rate
- 15 pc surcharge on income above Rs 1 cr to continue
- Of 3.7 cr individuals who filed tax returns in 2015-16, 99 lakh showed income below exemption limit
- Revenue deficit reduced to 2.1 pc from 2.3 pc for 2016-17
- Govt pegs fiscal deficit target at 3.2 per cent for 2017-18 and 3 per cent for next year.
- Demonetisation will help in transfer of resources from tax evaders to government.
- Merger of Railways Budget with General Budget brings focus on a multi-modal approach for development of railways, highways and inland water transport
- Govt took two tectonic policy initiatives – passage of GST Bill and demonetisation
- World Bank expects GDP growth rate at 7.6 pc in FY18 and 7.8 pc in FY19
- Allocation under MNREGA increased to 48,000 crore from Rs 38,500 crore. This is highest ever allocation
- Rs 9,000 cr higher allocation for payment of sugarcane arrears
- Target of agriculture credit fixed at Rs 10 lakh cr in 2017-18
- National Testing agency to conduct all examinations in higher education, freeing CBSE and other agencies
- 133-km road per day constructred under Pradhan Mantri Gram Sadak Yojana as against 73-km in 2011-14
- Govt to set up dairy processing fund of Rs 8,000 crore over three years with initial corpus of Rs 2,000 crore
- 1 cr households to be brought out of poverty under Antodya Scheme
- Participation of women in MNREGA increased to 55 pc from 45 pc in past
- Modern law on contract farming will be drafted and circulated to states
- Dedicated micro-irrigation fund to be created with a corpus of Rs 5000 crore
- Market reforms will be undertaken, states will be asked to denotify perishables from Essential Commodities Act
- Space technology to be used for monitoring MNREGA implementation
- Sanitation coverage in villages has increased from 42 pc in Oct 2016 to 60 pc, a rise of 18 pc, says FM
- We propose to provide safe drinking water to 28,000 arsenic and fluoride affected habitations
- To construct one crore houses by 2019 for homeless. PM Awas Yojana allocation raised from Rs 15,000 cr to Rs 23,000 cr
- 100 pc electrification of villages to be completed by May 2018
- 27,000 cr on to be spend on PMGSY; 1 cr houses to be completed by 2017-18 for houseless
- PM Kaushal Kendras will be extended to 600 districts; 100 international skill centres to be opened to help people get jobs abroad
- The allocation for rural agri and allied sector in 2017-18 is record Rs 1,81,223 crore
- In higher education, we will undertake reforms in UGC, give autonomy to colleges and institutions
- A system of annual learning outcome in schools to be introduced; innovation fund for secondary education to be set up
- Two new AIIMS to be set up Jharkhand and Gujarat
- New rules regarding medical devices will be devised to reduce their cost
- 1.5 lakh health sub centres to be converted to Health Wellness Centres
- National Housing Bank will refinance indiviual loans worth Rs 20,000 crore in 2017-18
- Rs 500 cr allocated to set up Mahila Shakti Kendras; Allocation raised from Rs 1.56 lakh cr to Rs 1.84 lakh cr for women & child welfare.
- Capital and development expenditure pegged at Rs 1.31 lakh cr for railways in 2017-18 from Budget
- Allocation for SCs increased from Rs 38,833 cr to Rs 52,393 cr, a rise of 35 per cent
- 35 pc increase in allocation for SC to Rs 52,393 cr
- For senior citizens, Aadhaar based health cards will be issued
- Model Shops and Establishment Bill to open up additional opportunities for employment of women
- Select airports in tier-II cities to be taken up for operations, development on PPP mode
- New metro rail policy to be unveiled
- Railway tariffs to be fixed on the basis of cost, social obligation and competition
- Service charge on e-tickets booked through IRCTC will be withdrawn
- Delhi and Jaipur to have solid waste management plants and five more to be set up later
- Government proposes Coach Mitra facility to redress grievances related to rail coaches
- 500 stations will be differently abled by providing lifts and escalators
- Unmanned railway level crossings to be eliminated by 2020
- Railway line of 3,500 km will be commissioned in 2017-18 as against 2,800 km in 2016-17
- Total allocation for rural, agri and allied sectors for 2017-18 is a record Rs 1,87,223 cr, up 24 per cent from last year
- Rs 1 lakh cr corpus for railway safety fund over five years
- A scheme for senior citizens to ensure 8 per cent guaranteed returns
- Dedicated micro-irrigation fund to be set up by NABARD to achieve mission of Per Drop, More Crop
- Digi Gaon will be launched to promote tele-medicine and education
- Crude oil strategic reserves to be set up in Odisha and Rajasthan apart from 3 already constructed
- Coverage of Fasal Bima Yojana to go up from 30 pc of cropped area to 40 pc in 2017-18 and 50 per cent next year
- For transport sector, including railways, road and shipping, government provides Rs 2.41 lakh crore
- Allocation of Rs 10,000 cr for Bharat Net project for providing high-speed broadband in FY18
- Allocation for national highways stepped up to Rs 64,000 cr from Rs 57,676 cr
- Budget allocation for highways stepped up to Rs 64,000 crore in FY18 from Rs 57,676 crore
- Dispute resolution in infrastructure projects in PPP mode will be institutionalised
- Rs 2,74,114 crore allocated for defence expenditure, excluding pension; This includes Rs 86,000 crore for defence capital
- Govt to further liberalise FDI policy
- Over 90 per cent of FDI proposls are now processed through automatic route
- FIPB will be abolished
- Trade Infrastructure Export Scheme to be launched in 2017-18; total allocation for infra at record Rs 3.96 lakh cr
- Second phase of solar power development to be taken up with an aim of generating 20,000 MW
- After demonetisation on Nov 8 last year, deposit of between Rs 2 lakh and Rs 80 lakh made in 1.09 cr bank accounts at an average of Rs 5.03 lakh till Dec 30
- More funds beyond Rs 10,000 cr for recapitalisation of banks will be provided if needed
- The shares of railway CPSCs like IRCTC and IRFC to be listed on various stock exchanges
- Of 76 lakh individuals who reported income of over Rs 5 lakh, 56 lakh are salaried
- Integrated public sector oil major to be created to match global giants
- Govt will amend the Multi-state Cooperative Act to protect the poor and gullible investors
- Urgent need to protect poor from chit fund schemes, draft bill placed in public domain
- Computer emergency response team to be set for cyber security of financial sector
- Govt to introduce two new schemes to promote BHIM App – referal bonus for users and cash back for traders
- Govt doubles distribution target under Mudra Yojana to Rs 2.44 lakh crore for 2017-18
- Over Rs 80 lakh deposits in 1.48 lakh cr at an average of Rs 3.31 cr per account ..
- Customs duty on LNG halved to 2.5 pc
- FPI to be exempt from indirect transfer provisions
- Political parties can receive donations in cheque, electronic mode; electoral bonds to be issued by RBI
- Maximum amount of cash donation a political party can receive will be Rs 2000 from any one source as part of effort to clean political funding
- Total expenditure in FY18 at Rs 21.47 lakh cr
- Duty exempted on various POS machines and iris readers to encourage digital payments
- Rs 7,200 cr revenue loss due to reduction in tax on smaller companies
- Govt mulling introduction of legal changes to confiscate assets of offenders, including economic offenders, who flee the country
- Govt to set up a web-based interactive platform for defence pensioners
- Head post offices to issue passports
- Govt considering option to amend Negotiable Instruments Act to ensure that holders of dishonoured cheques get payment
- FRBM review committee has recommended 60 pc debt to GDP ratio; 0.5 pc of GDP deviation from stipulated fiscal deficit targets
- Payment regulatory board to be set up in RBI to regulate electronic payments, replacing Board for Regulation and Supervision in Payments and Settlements System
- 3 yr period for long-term capital gains tax on immovalble property reduced to 2 years; base year indexation shifted from 1.4.1981 to 1.4.2001
- A proposal to receive all government receipts beyond a certain threshold through e-modes under consideration
- GST implementation to bring more taxes to Centre and states
- No transaction above Rs 3 lakh in cash will be allowed as suggested by SIT
- Customs duty on LNG to be reduced from 5 pc to 2.5 pc
- To make MSME companies more viable, govt proposes to reduce IT tax with annual turn over of Rs 50 core up to 25 per cent
- I-T for smaller cos with turnover of upto Rs 50 cr up to 25 per cent
- Not possible to remove MAT levied on advance tax for now; carry forward allowed for 15 yrs instead of 10 yrs
- Relaxation in norms for Start Ups for getting tax exemption
- Solar tempered glass used for manufacture of solar cells/panels exempted from customs duty
- Import duty on aluminium ores and concentrates raised to 30 pc from nil presently
- Actual revenue loss on tax proposals Rs 22,700 cr; gain from additional resource mobilisation is Rs 2,700 cr
- Net revenue loss from direct tax proposals to be about Rs 20,000 cr
- Excise duty on pan masala containing tobacco (Gutkha) raised to 12 pc from 10 pc
- Excise duty on non-filter cigarettes of length not exceeding 65 mm raised to Rs 311 per thousand from Rs 215 per thousand
