Finance Minister Arun Jaitley on Monday presented his Union Budget in Parliament.
Key takeaways:
Global economy is under serious crisis: The risks of global slowdown and turbulance are mounting India must must strengthen its firewalls against these risks India must rely on domestic demand to ensure its growth doesn't slow down The country must continue with its economic reforms
The government is committed to ensuring the passage of the GST bill.
It will also back significant reforms to ensure that all benefits reach genuine beneficiaries, by giving statutory status to the Aadhaar platform.
Agriculture and farmer welfare expenditure will target doubling farmer income in five years A dedicated long term irrigation fund with 20,000 crore at NABARD.
Unified Agriculture Market Scheme to be launched A common e-market platform to be built APMC acts will be amended Online procurement to be promoted via the Food Corporation of India
Approved two schemes to extend digital literacy to an additional 6 crore rural households.
SC/ST entrepreneurs are showing promise as entrepreneurs Under Standup India: SC/ST women entrepreneurs to benefit.
An enabling regulatory architecture to promote 10 public and 10 private world-class institutions.
Higher education to be promoted with 1,000 crore rupees to set up the higher education finance fund
A national board for skill development to be set up in partnership with private industry.
The government will pay the employees pension fund contribution for the first three years of employment for all new employees. Scheme applicable to people earning 15,000 rupees a month or less. Budget 2016: Where it surprised, where it disappointed
Retail trade is the largest employer in this country: Small and medium shops should be given a choice to stay open on all seven days of the week.
Infrastructure to get total outlay of 2,21,246 crore rupees. Of this budget allocation of 55,000 crore rupees to be spent on roads, to be topped up with 15,000 crore that NHAI will raise via bonds, for road development.
Passenger traffic management to get a boost: Government will enact necessary rules to open up the road transport sector to private entrepreneurs, who will be able to run fleets of buses
Govt has started a series of measures to modernise ports and related infrastructure. Planning to roll out new greefield ports.
In civil aviation sector, an action plan in the works for revival of unserved and under-served airports, with an indicative cost of 50-100 crore rupees, in partnership with state governments
India is blessed with rich natural resources including oil and natural gas. Discovery and production has been below potential. There is a situation of rising demand, stagnant production and therefore rise in imports.
Therefore government will incentivise deep-sea exploration
A public utility dispute resolution framework to be formed A new credit rating system to get stalled projects back on track Department of disinvestment will be renamed department of investment and asset management
A comprehensive code on the resolution of financial sector bankruptcies.
A financial data management centre will be set up.
RBI will facilitate greater participation of retail investors in the primary markets.
Measures to deepen the bond market.
Asset reconstruction companies to be strengthened.
SEBI Act to be ammended to include more members in the securities appelate tribunal.
25,000 crore rupees towards recapitalisation of public sector banks. Will find additional resources as needed.
Govt to stand "solidly" behind public sector banks.
Debt recovery tribunal to be strenghthened, including with technology.
Massive nationwide roll out of ATMs and micro-ATMs.
Agriculture and farmer welfare expenditure will target doubling farmer income in five years. A dedicated long-term irrigation fund with Rs 20,000 crore at NABARD
The government will pay the employees pension fund contribution for the first three years of employment for all new employees. Scheme applicable to people earning Rs 15,000 a month or less.
Infrastructure to get total outlay of Rs 2,21,246 crore. Of this, budget allocation of Rs 55,000 crore to be spent on roads, to be topped up with Rs 15,000 crore that NHAI will raise via bonds for road development
An action plan in the works for revival of unserved and under-served airports, with an indicative cost of 50-100 crore rupees, in partnership with state governments
Rs 25,000 crore towards recapitalisation of public sector banks
Direct benefit transfer in LPG will be extended to fertiliser on a pilot basis
The fiscal deficit targets have been retained at 3.5 percent and 3.9 percent for 2015-16 and 2016-17
Plan and non-plan classification will be done away with in the coming years.
Every new project will have a sunset time frame and an outcomes review
33 lakh small businesses currently benefiting from presumptive tax within limit of Rs 1 crore revenue: Limit to be raised to Rs 2 crore
Startups to get 100 percent tax breaks for three years. Capital gains will not be taxed, as spelt out in the Startup Action plan. Tax breaks on income from patents, under a patents regime
NBFCs can claim 5 percent deductions against bad loans
First-time home buyers to get an additional tax break of Rs 50,000 a year on interest on housing loans
Dividend distribution tax: 10 percent additional tax on dividend income beyond Rs 10 lakh
Tax evasion to be countered strongly. Domestic income tax transgressors will be allowed a one-time window to pay up 45 percent tax on undeclared income. As much as 50 percent tax on under-reported income and 200 percent on misreported income
Minute-by-minute highlights: (Powered by CNBC-TV18)
Service by vessel from outside India to India subject to ST 29-02-16, 14:52:59
Basic customs duty increased from 10% to 60% - golf cars 29-02-16, 14:47:40
Pass through of Securitization Trust - clarity for investors! 29-02-16, 14:47:16
BCD on parts used for mfg of e-readers reduced to 5% 29-02-16, 14:46:11
BCD exemption available to import of e-readers withdrawan 29-02-16, 14:45:33
Cost of acq / improv of self generated goodwill to be Nil 29-02-16, 14:37:54
SAD Exempt, Withdrawn On PCB For Mfg Of PC/tablets 29-02-16, 14:37:29
Filip for employement generation - New tax incentive 29-02-16, 14:33:42
Employer's Contribution To PF In Excess Of Rs 1.5 L Taxable 29-02-16, 14:32:47
ST exemption to recorded IT software where CVD paid on RSP 29-02-16, 14:30:12
Interest on Gold Monetisation scheme exempted 29-02-16, 14:28:19
No cap gains on redemption from Gold Bond Scheme 29-02-16, 14:26:01
CVD exemption on various road construction equip. withdrawan 29-02-16, 14:24:50
Revision Of Belated Roi PERMITTED 29-02-16, 14:23:46
No ST exempt on monorail/metro Contracts entered wef 1/3/16 29-02-16, 14:23:44
Minor tweaks to sec. 9A condns :an unfinished agenda! 29-02-16, 14:16:23
Outsourced mfg. units covered under ISDmechanism with condn. 29-02-16, 14:15:48
Special activities of Foreign Diamond Mining Cos exempted 29-02-16, 14:14:56
IDS Apply To Domestic Income Irrespective Of Res Status 29-02-16, 14:13:45
Amendment to TDS by AIFs in line with AIPAC report 29-02-16, 14:10:59
BCD reduced to 2.5% on pulp for mfg. of toileteries 29-02-16, 14:10:33
Tax neutral conversion from Co to LLP made more restrictive 29-02-16, 14:08:00
Storage & sale of crude oil by MNC exempted 29-02-16, 14:07:57
FB silent on POEM guidelines :Transition mechanism to intro 29-02-16, 14:07:27
15% Int. rationalization across IDT, with exceptions 29-02-16, 14:06:10
TCS on sale of goods & service (not liable to TDS) exc 200000 29-02-16, 13:59:47
Input service credit available goods transport-rail,vessel 29-02-16, 13:58:37
1% TCS on motor vehicle 29-02-16, 13:57:04
ST exemption restored-constn. of port/airport priorto 1/3/15 29-02-16, 13:54:27
For SOP Constructed In 5 Yrs Interest Of Rs 2 Lcs Allowed 29-02-16, 13:53:40
ST exemption to canal, dam irrigation with retro effect 29-02-16, 13:53:04
Tax incentives to IFC's, move to incentivise GIFT! 29-02-16, 13:49:55
Corporates not hit by 10% recipient tax on DDT 29-02-16, 13:47:56
ST limitation period-nonfraud cases increased to 30 months 29-02-16, 13:45:30
Gift tax not to apply in case of Corporate restructuring 29-02-16, 13:44:59
IRA to go digital for processes and assmts 29-02-16, 13:45:10
Retail garment tailor outlet exempt from new Excise duty 29-02-16, 13:43:08
Dedn allowed for provision on bad & doubtful debts for NBFC 29-02-16, 13:42:42
Radio frequency spectrum right subject to service tax 29-02-16, 13:42:14
LTCG Exemption of Rs 50 lacs for invt in start-up funds 29-02-16, 13:41:11
New Patent Box: BEPS Action 5 adopted 29-02-16, 13:39:53
No MAT for FCo's subject to conditions 29-02-16, 13:39:13
Service tax on transportation by AC stage carrier 29-02-16, 13:37:53
Marginal Relief To Individual Tax Payers 29-02-16, 13:37:40
Clarity on spectrum depn reduced litigation for telecos 29-02-16, 13:37:02
Clarity on spectrum depn reduced litigation for telecos 29-02-16, 13:36:54
Surcharge For NR With Income >1 Cr increased To 15% 29-02-16, 13:36:38
Currency gain exempt for NR's on masala bonds 29-02-16, 13:36:27
Weighted deduction phased out: -ve for Pharma, Auto, Tech Cos 29-02-16, 13:36:27
Tax on NR digital cos: Adoption of BEPS Action 1 29-02-16, 13:34:25
Accelerated depreciation reduced from 80% to 40% 29-02-16, 13:32:45
Tax holiday schemes to be phased out from 1 April 2017 29-02-16, 13:32:10
32AC rationalisation: +ve for cos implementing large project 29-02-16, 13:30:30
Levy of Krishi cess to increas Service tax rate to 15% 29-02-16, 13:29:21
Additional depreciation on new P/M in power transmission 29-02-16, 13:26:34
20% Buyback tax applicable to all unlisted companies 29-02-16, 13:24:47
Customs Single Window Project to be implemented at majorport 29-02-16, 13:23:23
No change in LTCG for listed cos 29-02-16, 13:22:27
Excise&Customs duty on refrige rated container reduce to 5/6% 29-02-16, 13:18:58
Clean Environmental Cess increased by 200 per tonne 29-02-16, 13:12:47
Levy Of Carbon Cesses To Make Way For Mfg Of Electric Cars 29-02-16, 13:10:05
Restoration Of Excise Duty To Hit Demand For Branded Garment 29-02-16, 13:11:02
Banks May Start Partial Credit Enhancement Products In FY17 29-02-16, 13:12:23
High Coal Cess To Impact Cement Cos' PBT By 75-100 Bps 29-02-16, 13:13:36
25% Corp Tax For New Mfg Cos To Boost MII w.e.f Apr 1, 2016 29-02-16, 13:14:28
High Coal Cess May Hit SAIL's Profit Margins By 40-50 Bps 29-02-16, 13:14:57
Simplification Of Credit Rule Beneficial To Banking Sector 29-02-16, 13:09:54
Clean Cess to Burden Discoms by INR116bn Annually 29-02-16, 12:55:50
Branded Garments Demand Hurt By Restoration Of Excise Duty 29-02-16, 12:55:15
CE For Infra Assets - Chance For IIFCL To Reallocate Risks 29-02-16, 12:53:00
Banks May Kickstart Partial Cr Enhancement Product in FY17 29-02-16, 12:52:22
Renegtn of CAs May Reignite Interest In Roads And Seaports 29-02-16, 12:51:45
Tax inc phase without lower corp tax rate: -ve India Inc 29-02-16, 12:51:42
High Coal Cess To Impact Cement Cos PBT by 75-100bps 29-02-16, 12:51:20
CT @ 25% For New Mfg Cos To Boost Mii Wef 1.4.16 29-02-16, 12:50:34
High Coal Cess May Hit SAIL PAT Margins by 40-50bps 29-02-16, 12:48:29
High Coal Cess May Hit Tata Steel PAT Margins by 40-50bps 29-02-16, 12:48:14
Simplification Of Credit Rule beneficial For Banking Sector 29-02-16, 12:48:01
High Coal Cess May Hit JSW's Profit Margins by 40-50 bps 29-02-16, 12:47:55
No Hike In Svc Tax Rate Points To Delay In Implementing GST 29-02-16, 12:47:31
New Tax Regime For New Mfg Cos A Boost To MII, Start-ups 29-02-16, 12:46:32
Tax Reforms Pro-Poor, Taxes The Rich 29-02-16, 12:45:45
Rich Being Taxed On Dividend And Capital Gains 29-02-16, 12:45:13
Higher Interest On Tax Refunds To Benefit Taxpayer 29-02-16, 12:44:58
Increase In Excise Duty On Tobacco Hurts Cig Cos Like ITC 29-02-16, 12:44:14
E-assessment To Improve Ease of Doing Business 29-02-16, 12:43:29
Customs Duty Deferment Scheme For Certain Assessees 29-02-16, 12:42:18
Data mining and analytics make way for widening tax base 29-02-16, 12:40:50
Rationalised TDS Provisions A Huge Relief For SMEs 29-02-16, 12:42:50
Penalty of 200% of tax for mis reporting 29-02-16, 12:39:45
Simplification Of Baggage Rule To Benefit Expats, MII 29-02-16, 12:42:24
Liberalisation Of NRI PAN Requirement To Ease Tax Burden 29-02-16, 12:42:09
Measures To Cut Litigation To Improve Ease of Doing Business 29-02-16, 12:40:20
Stay To Taxpayer On Payment Of 15% Of Tax Demand 29-02-16, 12:38:23
Alternate Document Facility To NRIs A Welcome Move 29-02-16, 12:39:34
DDT Exemption In REITs +Ve For DLF, Prestige & PE players 29-02-16, 12:38:04
Rationalisation Of Cenvat Rule Positive For Manufacturers 29-02-16, 12:38:49
11 New Cestat Benches To Be Created To Fasttracklitigation 29-02-16, 12:36:35
Penalty % And Provision REVAMPED 29-02-16, 12:36:33