Union Budget-2014-2015

Highlights of Union Budget 2014-15

• Expenditure management commission has formed to oversee the management of expenses during the period.
  
• 49% FDI in Defence.
  
• Proposal for direct shareholding in banks by Indian citizen
  
• Proposed to relief in Direct Investment
  
• Proposal of 1000 cr. For Irrigation
  
• Proposal of 14000 cr. For Prime Minister Road Planning
  
• Proposal for developing 4 New AIIMS and contributing 400 cr. For it
  
• Limit of EPF increase to 15000
  
• Proposal for Uniform KYC scheme
  
• Proposal for Single DEMAT account scheme for all type of Investments
  
• Limit for PPF scheme increase from Rs.1 Lakh to Rs.1.5 Lakhs
  
• Proposal of 200 cr. For the improvement of electricity in Delhi
  
• No change in Tax Rates except tax slabs
  
• Tax exemption increase from 2 Lakhs to 2.5 Lakhs
  
• Tax exemption increase from 2.5 Lakhs to 3 Lakhs for senior citizen
  
• Exemption of 80C has increased from Rs.1 Lakh to Rs.1.5 Lakhs
  
• Increase in limit of 24(b) on interest on home loan on self occupied property has increased from 1.5 Lakhs to 2 Lakhs.
  
• Portfolio income of FIIs to be treated as capital gain
  
• 15% allowance for 3 yearson investment in P&M of more than 25 cr. For manufacturing companies
  
• 10 years tax holiday on investment in power sector
  
• Removal of dividend distribution tax in Mutual fund companies
  
• BCD has decreased on chemicals and petroleums
  
• BCD has decreased from 10% to NIL in LED, LCD below 19 inches
  
• BCD and SAD has decreased on spare parts and machineries used for Windmill Project
  
• Excise duty has reduced from 10% to 6% on food processing machinery
  
• Excise duty on footwear has reduced from 12% to 6%
  
• Custom duty reduced on certain type of coals
  
• Import duty on steel increased from 5% to 7.5%
  
• Cigarettes and other tobacco products become costlier due to higher excise duty
  
• Medicines will become cheaper
  
• Fees will reduce on smart cards
  
• Sugar carbonated drinks to get dearer
  
• Basic rates of custom duty@ 10%, excise duty@12% and service tax @12% remains intact

• Tax proposals on indirect tax front would yield Rs 7,525 crore.
  
• Indian Custom Single Window Project to be taken up for facilitating trade.
  
• Clean energy cess increased from Rs 50/tonne to Rs 100/tonne.
  
• To broaden tax base, negative list for service tax has been reviewed
  
• Excise duty raised on tobacco products and aerated water products with added sugar.
  
• Jaitley announces reduction in excise duty for specified food package industry from 10% to 6%.
  
• Excise duty raised on tobacco products and aerated water products with added sugar.
  
• Jaitley announces reduction in excise duty for specified food package industry from 10% to 6%.
  
• Excise duty on footwear reduced from 12% to 6%.
  
• Soaps and oil products to become cheaper.
  
• Basic custom duty on LED panel below 19 inch made nil
  
• Arun Jaitley raises PPF ceiling to Rs 1.5 lakh
  
• Personal computers, electronic goods to be cheaper. FM announces proposals to make CRT TVs cheaper.
  
• Rs 1,000 crore for 'one rank, one pension' scheme
  
• Net effect of direct tax proposals is revenue loss of Rs 22,200 crore
  
• Income tax department is expected to function not only as an enforcement dept but also as a facilitator: Arun Jaitley
  
• 60 more 'Ayakar Sewa Kendras' to be set up
  
• Housing loan rebate to raised from 1.5 lakh to 2 lakh
  
• Govt to provide investment allowance at 15% for 3 years to manufacturing company which invest more than Rs 25 crore in plant and machinery.
  
• Investment limit under 80C raised from Rs 1 lakh to Rs 1.5 lakh.
  
• Tax exemption limit for small and marginal, and senior tax payers changed from Rs 2 lakh to Rs 2.5 lakh.
  
• FDI in insurance to be hiked to 49 per cent
  
• Personal income tax limit increased by Rs 50,000 for people below 60 years.
  
• No major changes in income tax rates
  
• No changes in tax rates for individuals.
  
• Arun Jaitley is now on to tax proposals.
  
• Arun Jaitley announces 'Arun Prabha' channel for northeast region, will be 24/7 channel.
  
• I propose Rs 200 crore for power reforms, and Rs 500 crore for water reforms in Delhi: Arun Jaitley
  
• National Centre for Himalayan Studies to be set up.
  
• Rs 100 crore for training of sportspersons for upcoming Asian Games.
  
• Biotech clusters to be set up in Bangalore and Faridabad.
  
• Sports university to be set up in Manipur, Rs 100 crore to be provided for this.
  
• Young Leaders Programme to be set up with Rs 100 crore.
  
• Rs 100 crore for training of sportspersons for upcoming Asian Games.
  
• Sports university to be set up in Manipur, Rs 100 to be provided for this.
  
• Biotech clusters to be set up in Bangalore and Faridabad.
  
• Meanwhile, Sensex has declined over 300 points in late morning trade.
• An NRI fund for conservation of river Ganga to be set up.
  
• World class convention facilities to be developed through PPP mode.
  
• FM announces 'Namami Ganga', an integrated Ganga Development Project; Rs 2037 crore set aside for this.
  
• Annual PPF ceiling to be raised to Rs 1.5 lakh, from Rs 1 lakh.
  
• Hope to implement Goods and Service Tax this year
  
• Rs 2.29 lakh crore allocated for defence sector.
  
• Rs 1,000 crore for 'one rank, one pension' scheme.
  
• War memorial to be set up along with a war museum; Rs 100 crore set aside for this.
  
• A War Memorial to be constucted in Princess Park
  
• To allocate Rs 150 crore to boost women's safety
  
• RBI will create framework for licences of small banks
  
• There should be at least 2 bank accounts in each household
  
• Govt to provide all households with banking facilities to empower the weaker sections.
  
• Govt to provide all households with banking facilities to empower the weaker sections.
  
• Bank to be encouraged to give long term funds and loans to infrastructure sector.
  
• Financial sector is at the heart of the growth engine, Jaitley says.
  
• Uniform KYC across the finance sector.
• Revision of rate of royalty on minerals to be taken up on request from the states.
  
• Ultra modern solar power plants to be set up.
  
• In order to complete gas grid, 15000km of additional pipeline to be developed through PPP mode.
  
• New and renewable energy deserves high priority; ultra modern power projects to be taken up in Rajasthan, Tamil Nadu, Ladakh with Rs 500 crore.
• Impasse in coal sector will be resolved
  
• 16 new ports to be set up. Rs 11,000 crore to be allocated for this.
  
• New airports to be developed through PPP mode in tier-II and tier-III cities.
  
• Rs 4200 crore set aside for 'Jal Marg Vikas' project on river Ganga connecting Allahabad to Haldia, over a distance of 1620km.
• Rs 200 crore allocated for 6 more textile clusters in Rae Bareily, Lucknow, Surat and Bhagalpur.
  
• Slum development to be included in Corporate Social Responsibility activities.
  
• Trade facilitation centre to promote handloom work in Varanasi.
  
• India has emerged as the largest PPP market in the world.
  
• 6 more textile clusters to be set up
  
• Govt to take effective steps to revive SEZs
  
• Govt to set up Industrial Smart Cities in 7 cities.
  
• Rs 100 crore set aside for Kisan Television to provide real time information on various farming and agriculture issues.
• Govt will initiate scheme to provide a soil health card; Rs 100 cr set aside for this. Rs 56 crore for soil testing labs across the country.
  
• Govt to provide finance to 5 lakh landless farmers through NABARD
  
• Development of Metro rails in PPP mode; Rs 100 crore set aside for Metro scheme in Ahmedabad and Lucknow.
  
• Rs 100 crore for modernisation of madrasas
• Rs 100 crore for Metro in Lucknow and Ahmedabad.
  
• FTII Pune, SRFTI Kolkata will be accorded the status of institute of national importance, says Jaitley.
• Lok Nayak National Centre for higher education
  
• Madam Mohan Malviya scheme for teacher training
  
• Rs 500 crore for digital India programme to ensure broadband connectivity at village level, transparency in governance.
  
• Govt proposes to set up 5 new IIMs and 5 new IITs
  
• The four new AIIMS will be in AP, West Bengal, Vidarbha and Purvanchal
  
• 12 more medical colleges with dental facilities as well
  
• Govt to set up 4 more AIIMS
  
• Rs 3600 crore set aside for National Rural Drinking Water
  
• Govt to set up 4 more AIIMS
  
• Crisis Management Centre for women at Delhi, money to be provided from Nirbhaya fund
  
• Jaitley announces 'Beti padhao, beti badhao yojana', sets aside Rs 100 crore for this.
  
• Announces schemes for disabled persons in the country.
  
• EPFO will launch a unified account scheme for portability of Provident Fund accounts
  
• A large number of money lying unused in postal schemes etc. Propose to set up a committee to examine how this can be utilised: Jaitley
  
• 15 new Brail presses to be established and revival of 10 existing announced.
  
• The govt is notifying Rs 1000 pension per subscriber of EP scheme. Rs 50 crores being set aside for this
  
• Rs 200 crore set aside to support Gujarat govt in the Sardar Patel statue installtion
  
• Making swift speech, Jaitley moves on to other other announcments: allocated Rs 7,060 crore for smart cities, allocated Rs 1,000 crore for irrigation scheme, to examine proposal to consider greater autonomy for public sector banks, tax pass-through status for real estate investment trusts.
• Rs 500 crore for Deen Dayal Upadhyay rural electrification programme
  
• Government intends to cover every household in the country by 2019
  
• Total sanitation goals to be achieved by 2019
  
• Govt committed to providing 24/7 power supply to all homes
  
• Meanwhile, Nifty is unchanged, trading 0.2% higher
  
• Pradhan Mantri Krishi Sichayin Yojana to be started for irrigation
  
• I propose Rs 7060 crores for the development of 100 smart cities
  
• Skill India programme to provide training and support for employment to be introduced
  
• We look forward to lower inflation
  
• Tourism is an important area of revenues. I propose to introduce e-visas, which will be allowed in 9 airports."
  
  
• We look forward to lower inflation
  
• There are green shoots of recovery in the global economy
  
• We have to ensure that anti-poverty measures are well-targeted
  
• Should we be victims of populism?
  
• We need to introduce fiscal prudence
  
• The task before me today is very challenging; need to revive growth in manufacturing sector
• Target of 4.1% fiscal burden is daunting
  
• Govt to form an expenditure management commission
• We have no option but to take some bold steps to spurt economy; these are only the first steps and are directional
  
• Assures that Union govt will be fair in dealing with states
• No changes in taxes retrospectively
  
• Aim to achieve 7-8% economic growth rate in next 3-4 years
  
• We wish to provide an investment friendly taxation system
• Goods and Services tax wait should come to end
  
• I propose to strengthen authority for advance ruling in tax
  
• India needs a boost for job creation
• India is an extensive buyer of defence equipment
  
• FM announces FDI in defence up from 26 to 49 % with Indian managemnet and control
  
• Jaitley proposes measures to encourage development of smart cities
• PSUs to play their role constructively
  
• propose to strengthen authority for advance ruling in tax: Jaitley.
  
• We are committed to providing stable tax regime which is investor friendly
  
• I am hoping we can bring a solution to the issue of GST this year
  
• We will overhaul subsidy regime, formulate a new urea policy and constitute an Expenditure Management Commission.
  
• We will examine proposal to give additional autonomy to banks and make them more responsible
  
• e-Visas to be introduced in 9 cities