HIGHLIGHTS OF INDIA UNION BUDGET - 2011
• Personal Income Tax exemption limit hiked from Rs 1,60,000 to Rs 180,000.
• For senior citizens, tax exemption limit increased to Rs 2,50,000.
• For senior citizens above 80, the tax exemption limit has been raised to Rs 500,000.
• Eligibility age for senior citizens is now 60 years against 65 years earlier
• Exemption limit for women remains the same at Rs 2,40,000.
• Services sector continues to grow in double digits.
• Black money: Task force will be formed to deal with black money.
• Govt will start campaign against illicit funds.
• GoM has been formed to tackle corruption
• Money laundering cases to be dealt effectively
• Gross domestic product rose by 8.2 per cent for the December, 2010, quarter as against 7.3 per cent in the corresponding period of the previous year.
• Taxes, tariff procedures will be simplified
• To reconcile environment concerns, growth needs, Budget will set the tone for a vibrant Indian economy.
• Food inflation at 20.2 per cent in February
• Development of external sector has been encouraging
• Cutting bureaucratic delays, improving response times is a priority
• Direct Taxes Code will moderate rates and ensure better compliance.
• Current account deficit poses a concern.
• 13th Finance Commission has worked out fiscal consolidation roadmap.
• Agriculture growth at 5.4 per cent, industry at 8.1 per cent in 2010-11.
• Expect the average inflation to be down next year
• The high gap between wholesale and retail prices is unacceptable.
• Work is underway for states' goods and services tax
• Pilot portal to be set up before the roll out of GST in the country
• Significant progress on the GST network has been made.
• Government's principle concern is high food prices; food prices were high for cereals, there was a spurt in prices of onions and milk
• In current year, overall economic growth is expected at 8.6 per cent, agriculture growth at 5.4 per cent, Industry at 8.1 per cent and services 9.3 per cent
• The economy has shown remarkable resilience
• To introduce Public Debt Management Bill in 2012.
• States to cut down fiscal deficit to 3 percent of Gross State GDP by 2014.
• Goods and services tax rounds with states making considerable progress.
• Availability of fertilizers has improved post new policy.
• Working on ensuring better delivery for urea, kerosene.
• Nutrient based fertilizer policy for urea under consideration.
• FIIs allowed investing in MF schemes.
• FII limit in corporate bonds has been raised by $20 billion.
• FY12 Divestment target at Rs 40,000 crores (Rs 400 billion).
• FDI regulations consolidated into one comprehensive document.
• States to cut down fiscal deficit to 3 per cent of Gross State GDP by 2014.
• Cash subsidy for urea, kerosene.
• Mulling nutrient based subsidy policy for urea.
• LPG, kerosene and fertilizers will be transferred directly to BPL beneficiaries.
• New companies bill to be introduced in this session.
• Earmarked Rs 2,000 crore (Rs 20 billion) each for warehousing and manufacturing.
• More banking licenses to be given.
• To allocate Rs 6,000 crore (Rs 60 billion) for some PSU banks to help them maintain Tier-I capital at 8 per cent.
• To prevent fraud in loan cases: The govt has set up Central electronic Registry.
• Rural housing fund increased by Rs 1,000 crore (Rs 10 billion) to Rs 3,000 crore (Rs 30 billion).
• Rs 3,000 crore (Rs 30 billion) earmarked to National Bank for Agricultural and Rural Development for Handloom weavers.
• Cap infusion of Rs 20,157 crore (Rs 201.57 billion) in PSU Banks.
• Self-help group fund to empower women.
• Task force working on oil subsidy plans.
• Rs 600 crore (6 billion) to public sector banks to maintain mandatory cash reserve ratio.
• Liberalisation of FDI policy.
• Govt committed to retain 51 per cent holding in PSUs.
• Portfolio investment would be permitted in Sebi registered mutual funds from foreign subscriptions
• Liberalisation of foreign direct investment policy.
• Govt committed to retaining 51 per cent holding in PSUs.
• The domestic prod of edible oil only meet 50 per cent demand.
• Interest subvention of 1per cent extended from Rs 5 lakh crore (Rs 5 trillion) to Rs 20 lakh crore (Rs 20 trillion).
• 1 per cent interest subvention on home loans up to Rs 15 lakhs (Rs 1.5 million).
• Removal of bottlenecks in the transportation of essential food items.
• New companies bill to be introduced in this session.
• Earmarks Rs 2,000 crore (Rs 20 billion) each for warehousing and manufacturing.
• More banking licenses to be given.
• To allocate Rs 6,000 crore (Rs 60 billion) for some PSU banks to help them maintain Tier-I capital at 8 Per cent.
• To prevent fraud in loan cases: govt has set up Central Electronic Registry.
• Rural housing fund increased by Rs 1,000 crore (Rs 10 billion) to Rs 3,000 crore (Rs 30 billion).
• Rs 3,000 crore earmarked to NABARD for handloom weavers.
• New companies bill to be introduced.
• Rs 100 crore (Rs 1 billion) equity fund for MFIs.
• To provide Rs 300 crore (Rs 3 billion) to improve production of pulses.
• Agricultural credit limit raised to Rs 475,000 crore (Rs 4,750 billion).
• To provide Rs 300 crore to improve production of pulses.
• Allocation for farm development increased to Rs 7,860 crore (Rs 78.6 billion).
• Rs 300 crore for the allocation of fodder.
• Subvention of 3per cent on farmers paying loans before time.
• Allocation for farm development increased to Rs 7,860 crore (Rs 78.6 billion)
• Short term interest to farmers will continue to be at 7 per cent.
• New companies bill to be introduced.
• Rs 100 crore (Rs 1 billion) equity fund for MFIs.
• Financial sector reforms to move forward; Insurance amendment bill, LIC bill and Pension Development authority Bill to be presented in the current session
• Boost to infra development: Tax free bonds of Rs 30,000 crore (Rs 300 billion) to be introduced.
• Allocation for farm development rose to Rs 7,860 crore (Rs 78.6 billion).
• Storage capacity has been fast racked.
• 15 mega food parks to be set up.