TaxTMI 
TaxTMI 
TaxTMI 
Union budget highlights:
- IMF estimates world GDP will grow by 3.4 per cent in 2017.
- Oil prices, rising dollar and volatile commodity prices seen as risks to Indian economy.
- India is seen as engine of global growth, have witnessed historic reform in last one year.
- Note ban is expected to have only a transient impact on economy.
- The pace of remonetisation has picked up.
- Effects of demonetisation not expected to spill over to next year.
- Budget preponement to February 1 will give sufficient time to departments to implement government schemes.
- Budget agenda is - transform, energise and clean India - TEC India.
- Approach in preparing the Budget is to spend more on rural areas, infrastructure and poverty alleviation with fiscal prudence.
- Agriculture sector is expected to grow at 4.6%, agriculture expenditure targeted at ₹ 10 lakh crore.
- 15. 36% increase in FDI flow; forex reserves at $361 billion in January, which is enough to cover 12 months needs.
- Allocation under MNREGA increased to 48,000 crore from ₹ 38,500 crore. This is highest ever allocation
- Total allocation for rural, agricultural and allied sectors for 2017-18 is ₹ 187223 crore, which is 24% higher than last year.
- One crore houses for poor by 2019.
- Safe drinking water to cover 28,000 arsenic and Fluoride-affected habitations in the next four years.
- 133-km road per day constructed under Pradhan Mantri Gram Sadak Yojana as against 73-km in 2011-14.
- For senior citizens, Aadhar cards giving their health condition will be introduced.
- Two new All India Institute of Medical Sciences(AIIMS) to be set up in Jharkhand and Gujarat.
- 3500km railway lines to be put up.
- Service charge on rail tickets booked through IRCTC to be withdrawn.
- Rail safety fund with corpus of ₹ 100,000 crore will be created over a period of five years.
- 500 rail stations to be made differently abled-friendly by providing lifts and escalators.
- A new metro rail policy will be announced, this will open up new jobs for our youth.
- Foreign investment promotion board (FIPB) to be abolished.
- Allocation for infrastructure stands at a record ₹ 3,96,135 crore.
- Government to set up strategic crude oil reserves in Odisha and Rajasthan.
- 1.25 crore people have already adopted Bhim App for digital payments.
- Aadhaar Pay- an app for merchants- to be launched' 20 lakh aadhaar-based POS by September 2017.
- Government is considering introduction of new law to confiscate assets of offenders who escape the country.
- Defence expenditure excluding pension at ₹ 2.74 lakh crore.
- Fiscal deficit for 2017-18 pegged at 3.2 percent of GDP.
- Fiscal deficit target for next three years pegged at 3 percent.
- India's tax-to GDP ratio is very low. We are largely a tax non compliance society, when too many people evade taxes burden falls on those who are honest.
- Out of 3.7 crore who filed tax returns in 2015-16, only 24 lakh persons showed income above ₹ 10 lakh.
- Of 76 lakh individuals who reported income of over ₹ 5 lakh, 56 lakh are salaried.
- Small firms with turnover up to ₹ 50 crore to pay 25% tax now, instead of 30%.
- Black money SIT has suggested no cash transaction above ₹ 3 lakh. The government has accepted this recommendation.
- Maximum cash donation any party can receive will be ₹ 2000 from one source.
- Political parties will be entitled to receive donations by cheques or digital modes.
- An amendment being proposed to RBI Act to enable the issuance of electoral bonds for political funding.
- Reduction of income tax rate from 10% to 5% for tax slab of ₹ 2,50,000 to ₹ 5,00,000.
- Surcharge of 10% for those whose annual income is ₹ 50 lakh to 1 crore. 47. 15% surcharge on incomes above ₹ 1 crore to continue.