highlights of general budget 2010

8/9/2019 Highlights of General Budget 2010

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Highlights of General Budget 2010-11

the finance minister shri pranab mukherjee lays emphasis on consolidated growth, improving investmentenvironment, inclusive development and strengthening transparency and public accountability in budget

2010-11.

yincome tax slabs broadened - 10 per cent on income above rs 1.6 lakh to 5.00 lakh, 20 per cent

on income above 5.oo lakh to 8.00 lakh , 30 per cent on above rs. 8.00 lakh

ythe total expenditure proposed in the budget estimates is rs.11,08,749 crore , an increase of 8.6 percent over last year.

ythe plan and non-plan expenditure estimated at rs.3,73,092 crore and rs.7,35,657 crore respectively,an increase of 15 percent in plan expenditure and 6 per cent in non-plan expenditure over the be ofprevious year.

yfiscal deficit at 5.5 per cent of gdp works out to be rs. 3,81,408 crore.

yrolling targets for fiscal deficit pegged at 4.8 per cent and 4.1 per cent for 2011-12 and 2012-13.

ynet market borrowing would be of the order of rs. 3,45,010 crore leaving enough space to meetcredit needs of private sector.

yagainst a fiscal deficit of 7.8 per cent in 2008-09 , inclusive of oil and fertilizer bonds, the comparablefiscal deficit is 6.9 per cent as per re 2009-10.

ygross tax receipts estimated at rs.7,46,651 crore and non-tax receipt estimated at rs. 1,48,118 crore.

ystatus paper giving road map for curtailing the overall public debt to be brought out within 6 months.

yabout rs. 25,000 crores to be raised through disinvestmet programme

yto simplify the fdi regime, for the first time both ownership & control recognised as central to the fdipolicy.

yrs. 16,500 crore to be provided to public sector banks to achieve a minimum 8 per cent tier-i

ygrowth of 127 per cent recorded in exports from sezs till december, 2009.

y

a four-pronged strategy to spur the growth in agriculture sector envisaged. which includesagricultural production, reduction in wastage of produce , credit support to farmers and thrust to thefood processing sector.

yagriculture credit flow target raised to rs. 3,75,000 crore from rs.3,25,000 crore

ysubvention for timely repayment of crop loan increased from 1 per cent to 2 per cent.


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yinfrastructure development gets an allocation of rs. 1,73,552 crore, 46 per cent of total planallocation , an increase of 13 per cent in road transport sector.

yindia infrastructure finance company limiteds disbursements to reach rs. 20,000 crore by march2011.

yallocation for power sector increased by more than doubled to rs. 5,130 crore.

ynew tax incentives announced for infrastructure sector.

ynational clear energy fund for funding research and innovative projects in clean energytechnologies to be set up.

yspending on social sector to account for 37 per cent of total plan outlay at rs.1,37,674 crore

yallocation for rural development enhanced to rs.66,100 crores. allocation for nrega stepped up to40,100 crore.

yrs. 48,000 crore allocated for bharat nirman programme

y backward region grant fund allocation enhanced to rs. 7,300 crore.

yrajiv awas yojna for slum dwellers and urban poor to get rs. 1,270 crore , an increase of over 700per cent

ynational social security fund for unorganised sector workers to be set up with an initial amount ofrs. 1,000 crore.

ymahila kisan sashaktikaran pariyojna with a provision of rs.100 crore launched

y80 per cent increase in the allocation for ministry of social justice & empowerment at rs 4,500crore.

yminority affairs to get rs.2,600 crore, an increase of 50 per cent.

yto rewrite and clean up the financial sector laws, financial sector legislative reforms commission tobe set up.

yunique identification authority of india to get an allocation of rs. 1,900 crore. a technology advisorygroup for unique proect to be set up.

yallocation for defence increased to rs.1,47,344 crore

ynational mission for delivery of justice and legal regorms to be set up to provide timely justice toall.

yadditional deduction of rs. 20,000 for investment in infrastructure bonds


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ysurcharge of 10 per cent on domestic companies reduced to 7.5 per cent

ymat increased from 15 per cent to 18 per cent

ywighted deduction non expenditure incurred on in-house r&d from 150 per cent to 200 per cent

ylimit of turnover for presumptive taxation of small business enhanced to rs. 60 lakh.

ylimits of turnover needing audit enhanced to 60 lakh for businesses and rs. 15 lakh for

professions.

yproposal of direct tax to result in revenue loss of rs. 26,000 crore where as indirect taxes to result ina revenue gain of rs. 46,500 crore.

yservice tax proposals to result in net revenue gain of rs.3,000 crore.

yaccredited news agencies which provides news feed online exempted from service tax

ysaralii for individualsalary taxpayers ready for notification

yservice tax retained at 10 per cent.

ycertain new services to be brought within service tax purview..

ymicro-wave ovens, pre-packaged imported goods, mobile phones, watches, readymade garments,toy baloons, long pepper, replaceable household water filter to be cheaper.

yinfotainmet sector to benefit from concessional custom duty

yindian rupee to get a symbol, join the select club of currencies

yspecial duty concessions to promote clean environment clean energy cess @ rs. 50 per tonne on coal

yrate reduction in central excise duties partially rolled back ad valorem on non petro products & carsincreased by 2 per cent

yuniform basic duty of 5 per cent and cvd of 4 per cent on import of medical equipmnet.

yscientified inputs for orthopaedic implants exempted from import duty

ycentral excise on petrol & diesel raised by rs. one per litre.

ymajor tax relief to agriculture & related sectors

yproject import status for the setting up of cold storages

yfull exemption from excise duty to trailers & semi trailers.


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Highlights of the Union Budget 2010-11 Net revenue gain from tax proposals at Rs 20,500 crore

y Certain accredited news agencies exempted from service taxy Service tax to remain 10 per centy Increase in duty on gold and silver importy Clean energy cess of Rs 50 per tonne to be levied on coal produced in Indiay 10 per cent central excise duty on all non-petroleum productsy Structural changes in excise duties on cigarettes, cigars and cigarillos.y Revenue loss of Rs 26,000 crore on direct tax proposals.y 7.5 per cent duty on petrol, diesel, crude restored.y Exempt duty raised for all non-smoking tobacco producsy Investment linked tax deductions to be allowed to twoy star hotels anywhere in the country.y Fiscal deficit seen at 4.8 per cent and 4.1 per cent in 201112 and 201213 respectively.y 20 per cent tax for income above Rs 5 lakh and up to Rs 8 lakhy 30 per cent tax for income above Rs 8 lakh.y Income Tax department ready with twopage Saral2 return forms for individual salaried

assessesy Surcharge on companies reduced to 7.5 per centy Additional exemption of Rs 20,000 for long term investment in infra bondsy Ten per cent tax slab for income above 1.6 lakhs up to Rs. 5 lakhs.y No income Tax upto Rs. 1.6. lakhsy National Social Security Fund created for workers in unorganised sector with allocation of

Rs.1,000 crore

y Government to give Rs.1,000 for each National Pension Scheme account opened by workers inthe unorganised sector

y Exclusive skill development programme for the textile sectory Fifty percent hike in allocation for schemes for women and child developmenty Rs.4,500 crore allocated for ministry of social justice and empowerment, a hike of 80 percenty Rs.2,600 crore allocated for ministry of minorities affairsy Rs.1,900 crore for Unique Identification Authority of Indiay Rs.147,344 crore allocated for defencey 2,000 youth to be recruited in central paramilitary forcesy Draft Food Security Bill prepared and will be put in the public domainy Allocation on primary education raised from Rs.26,800 crore to Rs.31,300 crorey Banking facilities to be provided to all habitations with a population of 2,000 and morey Rs.66,100 crore allocated for rural development in 201011; Rs.40,100 crore forNational Rural

Employment Scheme; RS.48,000 crore for Bharat Nirmany Rs.1,270 crore allocated for Rajiv Awas Yojna for slum dwellers, up from Rs.150 crore, an

increase of 700 percent with the aim of creating a slum free India.

y Fortysix percent of plan allocations in 201011 will be for infrastructure developmenty Coal Regulatory Authority to be set up to benchmark standards of performancey Allocation for new and renewable energy sector increased 61 percent from Rs.620 crore to

Rs.1,000 crore in 201011y National Clean Energy Fund to be establishedy Rs.200 crore allocated as special package for Goa to prevent erosion and increase green cover.y Government committed to growth ofSEZs.y Fourpronged strategy for growth of agricultural sector.y Rs.200 crore to be provided in 201011 for climateresilient agricultural initiative.y Involvement of private sector in grain storage to continue for another two years.y In view of drought and floods, debt repayment period extended to June 2010.


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y Five more mega food processing projects in addition to 10 existing ones.y FDI flows in AprilDecember 2009 $20.9 billion.y FDI policy to be made more userfriendly with one comprehensive document.y Apex level financial stability council to be set up for banking sector.y Indian Banking Association to give additional licences to private players.y Provision for further capital for regional rural banks.y Roadmap for reducing public debt in six months.y Implementation of direct tax code from April 2011.y Government actively engaged in finalising structure of general sales tax regime; hopes to

implement it from April 2011.y Rs.35,000 crore raised from divestment in 200910; will be higher in 201011.y New fertiliser policy from April 2010; will lead to improved productively and more income for

farmers.

y Economy stabilised in first quarter of 200910; strong rebound in second quarter; overallgrowth at 7.2 and could be higher when Q3 and Q4 are taken into account.

y Export figures for January encouraging.y Hope to breach 10 percent growth mark in not too distant future.y Government set in motion steps to bring down food inflation.y Need to review stimulus package; need to make growth more broadbased.y India has weathered global economic crisis well; Indian economy in far better position than it

was a year ago. In 2009 Indian economy faced grave uncertainty; delay in

y southwest monsoon had undermined agricultural production.y First challenge now is to quickly revert to 9 percent growth and then aim for double digit growth;

need to make recovery more broadbased.y Second challenge is to make growth more inclusive; have to strengthen food security.y Third challenge is to overcome weakness in governments public delivery mechanism; a long

way to go in this.

Railway Budget 2010-2011 Highlightsy No hike in freight and passenger fare.y New Janmabhoomi train between Ahmedabad and Udhampury Concession for children of accredited journalists up to 18 years.y Free journey for cancer patients in sleeper and 3AC; 75 p.c. concession for companiony Concession of Rs. 100 on freight rates of food grains for domestic use, kerosene.y Survey will be conducted to connect Sealdah and Howrah stations in West Bengaly Karmaboomi train for working classy Sanskriti Express to commemorate Rabindranath Tagore's birth 150th anniversary.y Matribhumi special trains for womeny Andaman and Nicobar Islands to get railway line from Port Blair to Diglipury Velachery-St.Thomas Mount MRTS link by 2012y New suburban trains forChennaiy Stations to be named after Bhagat Singh, Mother Teresa, Tipu Sultan, BahadurShah Zafary RPF to have women battaliony Railways to have master plan forNorth Eastern regiony Insurance facilities for licensed porters as part of railway's corporate social responsibilityy Kashmir role link to be extended to Soporey Rs. 1,302 crore provided for passenger amenitiesy Freight loading target for 201011 fixed at 944 million tonnesy Several new lines announced.


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y New train service to Dhaka, Bangladesh from Agartala.y Gross traffic receipt for 2010-11 pegged at Rs. 94,765 crorey Highspeed dedicated passenger corridors to be constructedy Revenue from non-core business of Railways to go up from Rs. 150 crore to Rs. 1,000 crorey Wagon RepairShop to be set up in Badnera near Amravati in Maharashtray Railways saved Rs. 2,000 cr from austerity drivey 10 more Duranto trains announcedy Service charge on AC fares cut to Rs. 20y 101 new suburban trains forMumbaiy Dedicated corridors will be implemented on timey Land acquisition: One member from the family would be given employment in Railwaysy Railways earned net profit of Rs. 1348 crores.y Railways will be the lead partner in the Commonwealth Games in Delhiy Railways to set up Rabindra Museum in Howrah and Geetanjali Museum in Bolpur -- both in

West Bengal -- to commemorate Rabindranath Tagore's 125th birth anniversary

y New testing facility in Bangalorey Railways proposes modernisation of ICF, Chennai.y New housing scheme for 14 lakh employeesy Railways to start six water bottling plants in places like Ambala, Thiruvananthapuram, Farakka,

Amethi and Nasik to provide clean and cheap drinking water to passengers.y Special task force for clearing investment proposals in 100 daysy New business model to be createdy Unmanned railway crossing will be phased out in five yearsy Five sports academies to be set-up, including Delhi, Chennai, Secunderabady E-tickets to be made available at panchayat levely Railways recruitment: Exams to be conducted in regional languagesy Railways recruitment: Simultaneous exams proposedy Modern toilets to be introduced in stationsy No privatisation of Railwaysy Six bottling plants for Rail Neery Fee waiver for economically weaky Special drive for improving passenger amentitiesy Railways target 1,000 km of new line in one yeary 117 new trains flagged-off in the last financial yeary Special task force will be set up for early clearance of projectsy Mamata appeals to business houses to join hands for building partnership with Railways

highlights of general budget 2010

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