India Budget 2020 Highlights: Future plan divestment Rs 2.10 lacs crore in next year- FM N Sitharaman India Budget 2020 Highlights_raise funds_Real Estate_Tax reduction FM N Sitharaman India Budget 2020 Highlights: Future plan divestment Rs 2.10 lacs crore in next year- FM N Sitharaman
Key Budget 2020:
– Govt to raise funds via listing of LIC
– Deposit insurance raised to Rs 5 lakh
– FY21 fiscal deficit target pegged at 3.5% of GDP
FM announces new income tax slabs, no exemptions if you want to avail new rates
-10 percent income tax between Rs 5-7.5 lakh
-15 percent income tax for income between Rs 7.5-10 lakh vs 20 percent earlier
-20 percent income tax for income between Rs 10-12.5 lakh vs 30 percent earlier
-Over 15 Lakh, continue to be 30 percent
Budget Updates for Fertiliser, Oil & Gas, Real Estate, Chemicals
Reduction in allocation in budget in FY21 by 11%
Budget Allocation for FY21 at 71,344cr
Budget Allocation for Fy20 at 80,034cr
Budget Allocation for FY21 at 218cr
Budget Allocation for Fy20 at 370cr
Anti dumping duty on PTA is abolished
Manufacturers: RIL, IOC
Users: Textile Companies
Oil and Gas
Budget Allocation for FY21 at 41470cr
Budget Allocation for Fy20 at 40027cr
Proposed to expand gas grid from 16200km to 27000km
Positive for GAIL, Petronet LNG, GSPL
IGL, MGL, Guj Gas
further reforms will be undertaken to facilitate transparent price discovery and ease of transactions.
Tax holiday for affordable housing increased by 1 year
Additional deduction of 1.5lk on affordable housing extended to loans availed before 31dst March 2021
(In July, it was increased from 2lk to 3.5lk for loans taken upto 31st march 2020)
Aiming to boost the affordable housing demand, Finance Minister Nirmala Sitharaman on February 1 proposed to extend the date of availing an additional Rs 1.5 lakh tax deduction on home loan interest by one more year till March 2021. The additional deduction of Rs 1.5 lakh over and above Rs 2 lakh was introduced in the last year’s budget. This was allowed for those buying homes for the first time and of up to Rs 45 lakh and made applicable for home loans sanctioned till March this year.
Automobile dealers body FADA on February 1 said the government’s focus on agriculture, irrigation and rural development in the Union Budget will have a rub-off effect on rural demand in the next 3-4 months if all the measures are implemented immediately. It will also give a fillip to rural auto demand, especially two-wheelers, tractors and small commercial vehicles, Federation of Automobile Dealers Association (FADA) President Ashish Harsharaj Kale said in a statement.
Agriculture Minister Narendra Singh Tomar on February 1 hailed the Budget 2020 saying adequate fund to the tune of Rs 1.60 lakh crore has been allocated for agriculture and its allied sector including irrigation for the next fiscal. A 16-point action plan has been chalked out for realising the target of doubling farmers’ income by 2022, he said, adding that several schemes like PM-Kisan are being implemented are benefitting the farming community.
Budget 2020: The Union Budget presented on February 1 estimated that more than 2.62 lakh jobs are likely to be created between March 2019 and March 2021 in various organisations. The strength of government establishments was 32,62,908 as on March 1, 2019, which will increase to 35,25,388 by the same date in 2021, an increase of 2,62,480. As many as 22,046 new jobs are likely to be created in the Defence Ministry (civil). Its strength was 70,978 in March 2019 and it will increase to 93,024 by the same month in 2021. The workforce of Home Ministry (excluding cabinet, police forces, union territories) is likely to be increased by 8,200 to take its strength to 26,564 by March 2021. As many as 3,886 jobs are estimated to be created in the Culture Ministry, 3,903 in Department of Space, 3,243 in the Department of Revenue, 2,581 in Ministry of Earth Sciences, 2,167 in External Affairs Ministry, 2,136 in Ministry of Environment, Forests and Climate Change and 1,347 in the Ministry of Electronics and Information Technology by that time. (PTI)