Union Budget 2019 Live Updates: Last Opportunity for Modi Government

Large expectations from Modi Government of presenting a populist budget as Lok sabha elections are round the corner.

Piyush Goyal begins the speech with achievements of Modi Government: GST, Inflation Control, Low Fiscal Deficit and Current account deficit, bankruptcy code and others. Inspection and bringing out the true picture of NPA Crisis in the country. Defaulter are either paying or exiting the businesses.

Around 3 lakh crores have already been recovered or under process of recovery.

10% reservation for economic weaker sections in education and government jobs. Rs. 60,000 crores for MNREGA for 2019-20.

PM Gram Sadak Yojana expenditure has seen threefold increase to Rs. 19,000 crores.

1 crore 53 lakh houses were built under PM Awas Yojana. Sobhagya scheme has managed to provide free connection to all the left ones, target date March 2019.

World’s Largest healthcare program Aayushman Bharat for 50 cr people of the country, as of now 10 lakh beneficiaries have taken benefit of the scheme.

14 out of 21 AIMS were announced by the Modi Government and 22nd AIMS is coming up in Haryana.

Big Announcement for Farmers

MSP of 50% margin over cost was notified. Structural support to farmers, assured income to farmers, PM Kisaan Samman Nidhi, Small farmers having land upto 2 hectares will be given Rs. 6000 per year. This will be transferred directly to the farmers in three installments each by the government of India. Almost 12 crore farmer families will benefit from the program. The program will be applicable effective 01st December 2018. First installment to be credited soon. Total expenditure estimated Rs. 75,000 crore. Rs. 20,000 crores provided in revised estimate of F.Y. 2018-19.

Kisan credit card scheme was extended to animal husbandry farmers. Now interest subvention of 2% will also be provided to such farmers, timely repayers to get 3% more subvention, at par with all farmers.

All farmers affected by severe natural calamities will be provided interest subvention of 2% for the entire period of restructured loan and 3% subvention on timely repayment of restructured loan.

Employment Measures

PMRPY scheme has noted 1 crore new jobs in formal sector. Gratuity limit extended to Rs. 20 lakhs, Bonus doubled to Rs. 7000. Minimum Pension of Rs. 1,000. Rs. 6 lakhs compensation on Death during service by EPFO.

Employees of Unorganized sector will get pension under PM Shram Yogi Maan Dhan of Rs. 3,000 after age of 60 years. Worker will contribute Rs. 100 and government to match the contribution. Approximately 10 crore employees to benefit from the scheme. 500 crores allocated in current year itself.

8 crore free LPG connections under Ujjwala Yojana. Smoke free cooking experience for almost all households of the country.

15.53 crores loans distributed under Mudra Loan scheme. We are now the second largest hub for startups.

Empowering MSMEs and Traders

59 minutes loan scheme for MSMEs, with interest subvention to GST registered entities.

MSMEs can sell their products through GeM (Gov Marketplace). Transactions of Rs. 17,500 crore executed via GeM.

OROP was implemented in true spirit with disbursement of Rs. 35,000 crores by the government. Defense budget has now reached to Rs. 3 lakh crores.

No unmanned level crossing left in railways as on today. Vande Bharat express is a boost to Make in India project. Capital outlay for Railways for Rs. 64,700 crores.

Installed Solar power generation capacity has increased tenfold. Rs. 58166 crores for Infrastructural development of North eastern areas.

Under Make In India Mobile manufacturing companies have increased from 2 to 266 in past 4 years.

100000 digital villages in next 5 years.

To promote entertainment industry, ease of shooting films with single window clearance for all filmmakers.

Direct Tax System – Income Tax

Tax collection increased to Rs. 12 lakh crores in current year. Number of returns filed shows 80% growth in tax base.

99.54% of all returns filed last year accepted as is without scrutiny. All returns will be processed within 24 hours. Within the next two years, all verifications and assessments of returns will be done via e-office without any personal interference between taxpayer and officials.

Fiscal deficit target remains 3.4% for 2019-20. 13.3% estimated rise in government expenditure.

Income Tax Proposals

Reduction of Tax on Middle Class Taxpayers – Individual taxpayers having taxable income upto 5 lakhs will get full tax rebate. BIG BREAKING ANNOUNCEMENT

Rs. 5 lacs + 1.5 Lacs (80C) will make it to Rs. 6.5 Lakhs. 3 crore taxpayers to benefit from the measure.

For Salaried employees standard deduction to go up to Rs. 50,000 per annum.

Income Tax on notional rent to be exempt on second self occupied house. TDS threshold on interest on bank deposits and post office raised to Rs. 40,000 per annum. BIG Announcement for Pensioners/women. TDS threshold on rent to increase to Rs. 2,40,000 per annum (compared to earlier Rs. 1,80,000 earlier).

Benefit of roll over of capital gains under section 54 will be increased from investment in 1 residential house to two residential houses for taxpayers having capital gains upto Rs. 2 crores and can be availed once in lifetime.

Benefits under section 81IBA extended for 1 more year for all housing projects approved upto 31st March 2020.

Extension of period to two years for real estate on notional rent on unsold inventory.

Budget speech concludes as a mark the beginning of the Lok Sabha election 2019 with vision of New India 2030.