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Budget 2019

1. Direct Taxation

  1. Interest deduction on housing loan under Section 80EE increased by 1.5 lakhs for home loans taken on self-occupied house property by 31/3/2020, houses with the cost of Rs 45 lacs will be eligible for this. 
  2. Interchangeability of PAN and Aadhar for ease and convenience of taxpayers! Income Tax return can be filed using Aadhar Number!!
  3. To discourage cash payments TDS@2% on withdrawals exceeding 1Cr per annum from a bank account
  4. Surcharge for individuals having taxable income from Rs 2 crores to Rs 5 crores increased to 18% from 15%
  5. Surcharge for individuals having taxable income from Rs 5 crores to Rs 10 crores increased to 22% from 15% – FY 2019-20
  6. Proposal to give relief in levy of securities transaction tax
  7. Corporate tax worth 25% that is applicable to companies with an annual turn over Rs 250 crore will be applicable to the ones with an annual turnover of Rs 400 crore
  8. 35AD extended to Li-On battery, Semi-Conductor, Laptops, Fabrication & Photo Volic

2. Infrastructure

  1. Focus on investment in infrastructure, national highways and aviation sectors
  2. The second phase of Bharat Mala to develop state highways
  3. A comprehensive restructuring of national highways will be taken up

3. Education

  1. National education policy to propose major changes in both school and higher education
  2. Swayam Initiative – Online education to be promoted
  3. Greater focus on research and education – National Research Foundation to fund and promote research – pooling of research grants from various ministries and disbursing them, preventing duplication of research projects
  4. For the Youth – New national educational policy to transform the Indian education system.

4. Startup Development

  1. Exclusive programs for startups on DD News

5. Household

  1. Provision of housing, electricity, clean cooking facility and safe and adequate drinking water to all: Rural India
  2. Rainwater harvesting, groundwater recharge, and management of household wastewater for reuse in agriculture
  3. HarGhar Jal – to all rural household by 2024
  4. 7 crore LPG connections delivered to rural households

6. Pension

1.Proposed pension benefit to 3 crore retail traders and shopkeepers whose annual turnover is up to Rs 1.5 crore

7. MSME

  1. 350 crore rupees allocated for 2% interest subvention for all GST-registered MSMEs on fresh or incremental loans.
  2. MSME: Large scale extensive reforms planned, government to create a platform for MSME payments.
  3. MSME to get loans up to 1 crore within 59 minutes …350 Crore loans already given

Women Empowerment

  1. Committee to be formed with Public and Private stakeholders for gender equality: FM
  2. Every SHG Women having Jan Dhan Account – Rs. 5,000/- overdraft allowed: FM
  3. Loan up to 1 lakh under Mudra Scheme for Women entrepreneurs: FM

9. NRI

  1. Proposal for Issuance of Aadhar Card on arrival for NRIs with Indian Passports: FM
  2. Aadhaar card for NRI’s post arrival in India
  3. To increase NRI investment in Indian capital market – NRI portfolio scheme route and FPI route should merge

10. Budget – Railway Updates

  1. Railway infra would need an investment of 50 lakh crores between 2018 and 2030;
  2. PPP to be used to unleash faster development and delivery of passenger freight services
  3. Railway Station Modernisation will be launched this year.
  4. Indian Railways to be encouraged to invest more in urban and suburban regions
  5. 657KM of Metro Rail operational in the country.

11. Banking and Financial Sector

  1. Reforms will be taken to strengthen governance in Public Sector banks
  2. NPAs of commercial banks reduced by over 1 lach crores over last year
  3. Record Recovery of over 4lac crore with IBS
  4. NPAs of commercial banks reduced by over 1 lakh crore over last year
  5. After Consolidation of Public Sector Banks, now 70,000 Crore of Capital boost for credit improvement
  6. Government has smoothly carried out consolidation, reducing the number of PSBs by 8
  7. NBFCs – that are fundamentally sound, will get fundings from govt to a total of 1lakh crore during the current financial year
  8. RBI has limited regulatory Authorities, Now the Regulatory Authorities of RBI over NBFC will be placed
  9. Proposals for strengthening the regulatory authority of RBI over NBFCs – Debenture Redemption Reserve to be maintained
  10. Proposal to return regulatory authority from NHB to RBI!

12. Electric Vehicles

  1. Lower GST Rate from 12% to 5% on Electric vehicle and Additional Income Tax Deduction of 2.5 Lakh on Interest paid on loan taken to purchase an electric vehicle
  2. To make electric vehicles affordable, additional IT deduction on 1.5 lakh on interest paid on loan taken to purchase electric vehicles

13. Technology

  1. Solar storage batteries and chargers included in 35AD deduction: FM
  2. Program of mass scaling of LED Bulbs – Approx. 35 Crores of LED bulbs distribute
  3. Machines and robots to be deployed for scavenging
  4. Focus on VR, AI, Robotics training to youth to align India with the World