Finance Minister Arun Jaitley gives #Modi Government final budget of this session today. In 2014 #BJP made many promises but fail to complete many of them like Employment, Corruption and many more. Home Minister Rajnath Singh termed the budget 2018-19 as a “budget for progressive and positive India” and said it would help bridge the gap between the rural and urban India.
- Today in the last budget, Finance Minister #ArunJaitley, steps ahead and try to fulfill a promise made by his government in 2014 election rallies ie “Farmers will get MSP 1.5 times the cost of their production.”
- The poorest of the poor will be covered by universal healthcare to the tune of Rs 5 lakh per year.
- The middle class was thinking of getting Up to 5 Lacs I-T exemption which again Mr. Jaitely promises in 2014 but Budget 2018 proposes to provide a standard deduction of Rs 40,000 from salary income to employees but also proposes to take away existing annual transport allowance of Rs 19,200 and Rs 15,000 medical reimbursement. However, these savings would be nullified in most cases, except in the case of income up to Rs 5 lakh, due to increase in the cess payable from current 3% to 4% on the rest of the income tax payable by the individual.
- #Budget2018 declares in increasing of customs duty on mobile phones, which means handsets made by foreign companies will cost more.
- Jaitley also announced hike in President’s salary to Rs 5 lakh a month, the Vice-President’s salary will rise to Rs 4 lakh per month and the Governor’s pay will rise to Rs 3.5 lakh a month
- Jaitley announced a Rs 150 crore fund to celebrate the 150th anniversary of Mahatma Gandhi.
- Bengaluru Metro will get Rs 17,000 crore and Rs 11,000 crore will be allocated to Mumbai rail network
- No change in personal income tax slabs and rates.
- Surcharge of 10% on income above Rs 50 lakh but less than Rs 1 cr, 15% on income above Rs 1 cr to continue.
- Standard Deduction returns after a decade; Rs 40,000 to be allowed in lieu of transport allowance and medical expenses.
- Interest income exemption on deposits with banks and post offices for senior citizens increased from Rs 10,000 to Rs 50,000.
- Senior citizens will be able to claim the benefit of the deduction up to Rs 50,000 annually on health insurance premium and/or general medical expenditure incurred.
- Govt introduces long-term capital gains on equity market; long-term capital gains over Rs 1 lakh to be taxed at 10%.
- Education cess increased to 4% from 3%.
- E-assessment of Income Tax Act to eliminate person-to-person contact.
- Finance Ministry to leverage India Infrastructure Finance Corporation to help finance major infrastructure projects.
- Redevelopment of 600 major railway stations being taken up.
- The suburban network of 160 kms in Mumbai at an estimated cost of Rs 17,000 crore being planned.
- Gross budgetary support for Railways hiked to over Rs 3 lakh crore in 2018-19 from Rs 2.73 lakh crore in 2017-18.
- Plans to expand airport capacity more than 5 times to handle a billion trips a year.
- Proposed expenditure on infra pegged at Rs 5.97 lakh crore as against Rs 4.94 lakh crore in FY'18.
- Govt to launch a flagship National Health Protection Scheme to cover over 10 crore poor families providing coverage up to Rs 5 lakh per family every year for hospitalization.
- Govt earmarks Rs 56,619 crore for SCs and Rs 39,135 crore for STs in FY'19.
- Sets target of Rs 3 lakh crore for lending under MUDRA scheme.
- Substantial increase I n allocation of National Rural Livelihood Mission to Rs 5,750 cr in FY'19.
- MSP of all kharif crops to be hiked to at least 1.5 times of their production cost.
- The institutional mechanism proposed to develop policies and practices for price and demand forecast.
- Rs 2,000 crore fund for developing and upgrading agri marketing infra in 22,000 Grameen Agri Markets and 585 APMCs.
- Allocation for food processing ministry doubled from Rs 715 crore in RE FY'18 to Rs 1,400 crore in BE FY'19.
- Kisan Credit Cards extended to fisheries and animal husbandry farmers.
- Agriculture credit disbursal target increased to Rs 11 lakh crore from Rs 10 lakh crore in 2017-18.
- Customs duty on mobile phones increased from 15% to 20%; also on certain parts of TVs to 15%.
- Customs duty on crude edible vegetable oils hiked from 12.5% to 30%; on refined edible vegetable oil from 20% to 35%.
- Customs duty on perfumes, dental hygiene, after-shave, deodorants, room deodorisers, preparations for use on hair doubled to 20%.
- Govt to contribute 12% of wages of the new employees in EPF for all sectors for 3 years.
- Facility of fixed-term employment will be extended to all sectors.
- An outlay of Rs 7,148 crore for textiles sector in 2018-19.
- Economic growth pegged at 7.2-7.5% for H2 FY18.
- India's average growth in first 3-year of NDA govt 7.5%.
- Indian economy size USD 2.5 trillion, 7th largest in world.
- India is expected to be 5th largest economy very soon.
- Revised Fiscal Deficit estimate for 2017-18 is Rs 5.95 lakh crore at 3.5% of GDP.
- Fiscal Deficit for FY'19 estimated at 3.3% of GDP.
- Govt's market borrowing estimated at Rs 4.07 lakh crore in FY'19 versus Rs 4.79 lakh crore estimated in 2017-18
As part of good news for the common man, Arun Jaitley’s Budget 2018 will bring under control the sky-rocketing fuel prices in the country by reducing excise duty. The Budget reduced basic excise duty on branded and unbranded petrol as well as diesel. Unbranded Petrol which attracted excise of Rs. 6.48 per liter has been reduced to Rs. 4.48 per liter. Branded petrol has basic excise duty of Rs. 7.66 per liter which has been slashed to Rs. 5.66 per liter. Unbranded diesel having basic excise duty of Rs. 8.33 per liter was reduced to Rs. 6.33 per liter. Basic excise duty on branded diesel was also reduced from Rs. 10.69 per liter to Rs. 8.69 per liter.
The Finance Minister said that estimated budgetary expenditure on health, education and social protection for 2018-19 is Rs.1.38 lakh crore against the estimated expenditure of Rs.1.22 lakh crore in 2017-18.
To step up investments in research and related infrastructure in premier educational institutions, including health institutions, a major initiative named "Revitalizing Infrastructure and Systems in Education (RISE) by 2022" with a total investment of Rs.1,00,000 crore in next four years was announced.
To improve the quality of teachers an integrated B.Ed. programme for teachers will be initiated. Mr. Jaitley said the Government would launch the "Prime Minister's Research Fellows (PMRF)" Scheme this year.
- The Budget has given a big thrust to Medium, Small and Micro Enterprises (MSMEs) to boost employment and economic growth.
- A sum of Rs. 3794 crore has been provided for giving credit support, capital and interest subsidy and for innovations.
- MUDRA Yojana launched in April, 2015 has led to the sanction of Rs.4.6 lakh crore in credit from 10.38 crore MUDRA loans.
- 76% of loan accounts are women and more than 50% belong to SCs, STs, and OBCs.
- It is proposed to set a target of Rs.3 lakh crore for lending under MUDRA for 2018-19 after having successfully exceeded the targets in all previous years.
This list is closed for submission.