Hello and welcome to the Current Affair's Portal of ExamPundit.in. Here are the LIVE UPDATES of BUDGET 2016-17.
CAD has declined to $14.4 bn dollars, projected 1.4% of GDP
Forex reserves at $350 bn
Govt to focus on passing GST and Bankruptcy laws. Statutory backing for Aadhaar platform
Increasing outlay on social sector programmes, 3 schemes to be focus: Crop Insurance, health insurance scheme for 1/3rd of India and BPL families to be provided with cooking gas connection helped by govt
9 pillars in this Budget - agri, rural sector, health sector, education skills and job creation, infra and investment, financial sector reforms, governance and ease of business, fiscal discipline, and tax reform to reduce compliance burden
Agri and farmers' welfare: Need to think beyond food security to income security. WIll double income of farmers by 2022. Rs 35, 984 crore allocation
Of 141 mn hectares of cultivated area, only 46% covered by irrigation. 28.5 lakh hectares to be brought under new scheme.
Allocation for AIBP at Rs 17,000 crore
Global economy has reduced from 3.4% to 3.1% growth. Indian economy has grown to 7.6% while CPI inflation down to 5.4% - Jaitley
Govt implementing a unified market for agri produce, e-platform to be launched after states amend APMC Act. E-platform to be dedicated on Babasaheb Ambedkar's birth anniversary.
Rs 27,000 crore to be spent on roads network
100 kms road construction per day currently to be stepped up.
Provision of Rs 15,000 crore to ease burden on loan repayment in form on interest subvention for farmers
Four new projects for dairy farmers, to costs Rs 850 crore
A dedicated irrigation fund worth Rs 20,000 crore to be set up under NABARD
Catastrophic health events single largest cause of out of pocket expenditure, pushes people below BPL. Govt to launch new health protections schemed, health cover of Rs 1 lakh per family. Addl top up of Rs 30000 for senior citizens.
Rs 2,000 crore to meet initial cost of proving LPG connections for rural areas. Scheme to continue for 5 years to cover BPL households
Over Rs 87,000 crore allocated for rural development.
Two digital literacy programme will cover 6,000 extra villages
Rs 38,500 crore allocated to MNREGS- Highest ever amount spend in a year
Rs 9000 crore allocation for Swachh Bharat Mission
National Dialysis service to be launched in PPP model. Certain parts of dial. machines to get duty exemptions.
National SC/ST hub to be set up in MSME Ministry, to provide professional help to help SC/ST entrepreneurs in govt procurement policy
Rs 2.87 lakh crore will be given as aid to Gram Panchayats as recommended by Finance Commission It is a quantum jump of 228%
Skill India Mission - want to bring entrepreneurship. To set up 5700 multi-skill schools nationwide. To skill 1 crore youth over next 3 years
To set up higher education financing agency with corpus of Rs 1000 crore
Infra and Investment - in road sector, more than 70,000 projects were pending worhth 8,300 km. Nearly 85% of these back on track.
Rs 2,21,246 crore for roads and highways and railways.
Rs 55K crore for roads and crore, topped up by bonds. Total allocation to be Rs 97,000 crore on roads and highways. Along with Railways, total outlay on roads and rail will be a mammoth Rs 2.18 lakh crore
100% FDI to be allowed through FIPB in marketing of food produce manufactured and processed in India
Guidelines for PPP contracts to be issued. New credit rating systems for infra sector instead of relying standard perception of risk.
RBI Act to be amended for providing framework for Monetary Policy Code
Allocation of Rs 25,000 crore for recapitalisation of Public sector banks
Govt has option to reduce stake in IDBI below 50%
Tech platform to be developed for procurement across ministries. Bill to amend Companies Act, will provide enabling platform, company registration to be completed in 1 day
15.3% increase in Plan Expenditure to Rs 5.5 lakh crore, this is the last year of the 12th Plan
FY17 fiscal deficit target at 3.5%
Fiscal deficit to be retained at 3.9% of GDP
FY2016 revenue deficit target at 2.5%
Non plan expenditure at Rs 14.28 lakh crore.
Not more than Rs 5 lakh, ceiling raised under 87 (a) from Rs 2000 to Rs 5000. for renters, increased from Rs 24000 to Rs 60000 per annum
For MSMEs, with revenue not more than Rs 1 crore, turnover limit for scheme raise to Rs 2 crore.
Corporate tax: Effective rate of tax comes to 24.8%. Accelerated depreciation limited to 40% for first year.
Accelerated depreciation limited to 40% for first year, starting FY18
Lower corp. IT rate for FY17 of relatively small enterpises, with turnover of less than Rs 5 crore limited to 29% plus cess
LTCG period for unlisted firms reduced to 2 years
Withdrawal up to 40% of corpus from Pension to be made tax-exempt
Persons with higher income can bear higher tax cost. Tax @10% for persons/HUFs receiving dividend more than Rs 10 lakh
For first homepayers, addl Rs 50,000 tax exemption for houses under Rs 50 lakh
0.05% cess called Krishi Kalyan Cess on all taxable services.
Infra cess of 1% on all diesel cars of certain capacity, SUVs, some other cars
Increase excise duty on tobacco products between 10-15%
Clean Environment Cess for coal and lignite raised to Rs 400 per tonne
1% infra cess to apply to small cars as well
Window open from June 1, 2016, defaulters will pay within two months of reporting undeclared income.
1 year window for tax evaders; can pay up to 45% of undeclared income.
Penalty reduced to 50% in case of under-reporting of income
Propose to accept large parts of Justice Eshwar Committee. to abolish 13 different cesses where revenue is less than Rs 50 crore p.a.
e-assessments to be extended to all e-assesees in 7 metros. to eliminate face-to-face meeting with tax official, to be conducted in e-environment.
Govt will pay interest of 9% in case of delay beyond 90 days in implementing appellate decision
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