Second Finance Minister after Indira Gandhi, Nirmala Sitharaman, presented the Union Budget 2019 in the Indian Parliament on Friday. This is the first budget of Prime Minister Narendra Modi Government’s second tenue. Here you will find the key highlights of the Budget 2019/20:
Income tax slabs and rates have not been changed in the Budget 2019-20 presented by Nirmala Sitharaman but she gave some other incentives to tax payers. She enhanced interest deduction up to Rs 3.5 lakh for purchase of an affordable house.
Sitharaman brought 99.3 per cent companies under 25% (increased by applicable surcharge and cess) corporate tax slab in her first Budget.
The finance minister said the government intends to give greater push to digital payment.
$5 Trillion Economy:
To achieve the target of making Indian economy a $5 trillion economy, Sitharaman said the country needs to make structural reforms to achieve $5 trillion economy in the next few years.
Public-Private Partnership in Railways:
Sitharaman said railway infrastructure needs an investment of Rs 50 lakh crores by 2030 if it has to be effective.
Har Ghar Jal scheme:
In this budget, Sitharaman said the government will ensure “har ghar jal” (water to every household) by 2024.
Norms for foreign direct investment (FDI) has been relaxed in Budget 2019 for sectors such as aviation, media, insurance, and single brand retail with a view to attract more overseas investment.
Budget 2019 proposes to increase disinvestment target to Rs 1.05 lakh crore for the current financial year.
Sitharaman proposed steps to scale up infrastructure including augmenting 1.25 lakh km rural roads under the Pradhan Mantri Gram Sadak Yojana at a cost of Rs 80,250 crore and creating a national highways grid.
Petrol, diesel costlier:
The government has hiked tax on petrol and diesel and raised import duty on gold.