Highlights Of Interim Budget 2019-20

• · 12 crore small and marginal farmers to be provided with assured yearly income of Rs. 6000 per annum under PM-KISAN

              o Outlay of Rs. 75,000 crore for FY 2019-20 with additional Rs. 20,000 crore in RE 2018-19

•  Outlay for Rashtriya Gokul mission increased to Rs 750 crore

• · Rashtriya Kamdhenu Ayog to be setup for sustainable genetic up-gradation of the Cow resources

•  New separate Department of Fisheries for welfare of 1.5 crore fishermen

• · 2% interest subvention to Farmers for Animal husbandry and Fisheries activities; additional 3% in case of timely repayment.

•  Interest subvention of 2% during disaster will now be provided for the entire period of reschedulement of loan

•  Pradhan Mantri Shram Yogi Maandhan scheme to ensure fixed monthly pension to 10 crore unorganized sector workers

           o Rs 3000 per month after 60 years of age with an affordable contribution of only Rs 100/55                      per month

•  22nd AIIMS to be setup in Haryana

•  Rs. 60, 000 crore allocation for MGNREGA in BE 2019-20

•  Income upto Rs. 5 lakh exempted from Income Tax

•  More than Rs. 23,000 crore tax relief to 3 crore middle class taxpayers

• Standard Deduction to be raised to Rs. 50,000 from Rs. 40,000

•  TDS threshold to be raised from Rs. 10,000 to Rs. 40,000 on interest earned on bank/post office deposits

•  Existing rates of income tax to continue

•  Tax exempted on notional rent on a second self-occupied house

•  Housing and real estate sector to get boost-

•  Fiscal deficit pegged at 3.4% of GDP for 2019-20

•  Target of 3% of fiscal deficit to be achieved by 2020-21.

•  Fiscal deficit brought down to 3.4% in 2018-19 RE from almost 6% seven years ago

•  Total expenditure increased by over 13% to Rs.27,84,200 crore in 2019-20 BE

•  Capital Expenditure for 2019-20 BE estimated at Rs. 3,36,292 crore

•  Centrally Sponsored Schemes (CSS) allocation increased to Rs. 3,27,679 crore in BE 2019-20

•  National Education Mission allocation increased by about 20% to Rs. 38,572 crore in BE 2019-20

•  Allocation for Integrated Child Development Scheme (ICDS) increased by over 18% to Rs. 27,584 crore in BE 2019-20

•  Substantial increase in allocation for the Scheduled Castes and Scheduled Tribes –

•  Government confident of achieving the disinvestment target of 80,000 crore

• Focus now on debt consolidation along with fiscal deficit consolidation programme

Poor and Backward Classes

•  “First right on the resources of country is that of the poor”: FM
•  25% additional seats in educational institutions to meet the 10% reservation for the poor
•  Targeted expenditure to bridge urban-rural divide & to improve quality of life in villages
•  All willing households to be provided electricity connections by March 2019

•  Allocation to be increased by 21% to Rs. 58,166 crore in 2019-20 BE over 2018-19 BE
•  Arunachal Pradesh came on the air map recently
•  Meghalaya, Tripura and Mizoram came on India’s rail map for the first time
•  Container cargo movement through improved navigation capacity of the Brahmaputra

•  A new committee under NITI Ayog to identify all the remaining De-notified nomadic and semi-Nomadic tribes.
•  New Welfare development Board under Ministry of social justice and empowerment for development and welfare of De-notified nomadic and semi nomadic tribes

•  Defence budget to cross Rs 3,00,000 crore for the first time ever

•  Capital support of Rs.64,587 crore proposed in 2019-20 (BE) from the budgOverall capital expenditure programme to be of Rs. 1,58,658 crore
•  Operating Ratio expected to improve from 98.4% in 2017-18

•  Indian filmmakers to get access to Single window clearance as well for ease of shooting films
•  Regulatory provisions to rely more on self-declaration
•  To introduce anti-camcording provisions in the Cinematograph Act to control piracy

•  2% interest subvention on an incremental loan of Rs 1 crore for GST registered SMEs
•  Atleast 3% of the 25% sourcing for the Government undertakings will be from women owned SMEs
•  Renewed Focus on Internal trade ; DIPP renamed to Department for Promotion of Industries and Internal trade

•  The Government to make 1 lakh villages into Digital Villages over next five years

• New National Artificial Intelligence portal to support National Program on Artificial Intelligence

•  India universally recognized as a bright spot of the global economy during last five years
•  “Country witnessed its best phase of macro-economic stability during 2014-19”, says FM
•  India is now the 6th largest economy in the world from being the 11thlargest in 2013-14
•  Annual average GDP growth during 2014-19 higher than any government since 1991
•  Government has broken inflation’s back from backbreaking inflation during 2009-14: FM
• Average inflation down to 4.6%, lower than during any other Government
•  Inflation in December 2018 down to 2.19% only
•  Fiscal deficit down to 3.4% in 2018-19 RE from the high of almost 6% seven years ago
•  CAD likely to be only 2.5% of GDP this year against a high of 5.6% six years ago
•  India attracted massive amount of FDI, worth $239 billion, during the last 5 years
•  “India is solidly back on track and marching towards growth and prosperity”, says FM
•  India becomes the fastest growing major economy in the world
•  Double-digit inflation contained and fiscal balance restored
• Liberalization of FDI policy, allowing most FDI to come through the automatic route

•  Assured MSP of minimum 50% to all 22 crops
•  Interest subvention doubled in last 5 years
•  Soil Health card, Neem coated Urea game changer in farm sector

•  Employment opportunities expanded ; EPFO membership increased by 2 crore
•  Minimum income for every category of workers increased by 42% in last 5 years

•  10% reservation for the poor in educational institutions and government jobs
•  Free electricity connection to every household under Saubhagya Yojana
• World’s largest healthcare programme, Ayushman Bharat, for nearly 50 crore people
•  Aspirational Districts Programme for development in 115 most backward districts
•  Rs. 1,70,000 crore spent during 2018-19 for cheaper food grains to poor and middle class
•  143 crore LED bulbs provided in mission mode with the cooperation of private secto
•  Poor & middle class are saving Rs. 50, 000 crore p.a. in electricity bills due to LED bulbs
•  10 lakh patients benefited from free treatment under Ayushman Bharat
•  Jan Aushadhi Kendras providing medicines at affordable prices to poor and middle class
•  14 out of 21 AIIIMS operating presently have been announced since 2014
•  Government tripled rural roads’ construction under the PMGSY
•  15.80 lakh habitations out of 17.84 lakh connected with pucca roads
•  Rs. 19,000 crore for PMGSY in BE 2019-20 against Rs. 15,500 crore in RE 2018-19
• 1.53 crore houses built under PM Awas Yojana during the 2014-18

•  6 crore free LPG gas connections provided under Ujjwala Yojna ; All 8 crore by next year
•  70% of MUDRA Loan availed by Women
• Maternity leave extended to 26 weeks
•  Financial support for pregnant women under Pradhan Mantri Matru Vandana

•  Over one crore youth trained under Pradhan Mantri Kaushal Vikash Yojana
•  Self-employment boost through MUDRA, STAND-UP and START-UP India

•  Up-to Rs 1 crore loans can be availed in less than an hour
•  25%-28% is the average savings due to GeM (Government e-Market place)

•  Tax collections nearly doubled in five years- from Rs. 6.38 Lakh crore in 2013-14 to almost Rs. 12 lakh crore this year
• 80% growth in tax base- from 3.79 crore to 6.85 crore in five years
•  Tax administration streamlined- Last year, 99.54% of the income-tax returns accepted as were filed
•  Technology intensive project approved to improve assessee friendliness –In two years, returns to be processed in 24 hours and refunds issued simultaneously
• Earlier benefits given to middle class-

•  Special benefits and incentives already given to small businesses and startups-

•  GST made India a common market
• GST led to increased tax base, higher collections and ease of trade
•  Inter-state movements now faster, more efficient, and hassle free
•  Responsive and sensitive reduction of tax rates – Most items of daily use now in the 0% or 5% tax slab
•  Relieving the businesses and service providers-

•  Encouraging GST revenue trends – The average monthly tax collection in the current year is Rs. 97,100 crore per month as compared to Rs. 89,700 crore per month in the first year

•  Civil Aviation – UDAN Scheme

•  Roads

•  Waterways

•  Railways

•  International Solar Alliance

•  More than 3 lakh Common Service Centres (CSCs) exist to deliver services to the citizens
•  India now leading the world in the consumption of mobile data
• Monthly consumption of mobile data increased by over 50 times in the last five years
•  Under Make in India, mobile and parts manufacturing companies increased from 2 to more than 268 providing huge job opportunities

•  In the last five years, nearly 34 crore Jan Dhan bank accounts opened
•  Aadhaar now near universally implemented
• Ensure the poor and middle class receive the benefits of Government schemes directly in their bank accounts by eliminating middlemen

•  Customs duties on 36 capital goods abolished
• Digitization of import and export transactions
• RFID technology to improve logistics

• Government walked the talk on corruption and ushered in a new era of transparency: FM
•  RERA and Benami Transaction (Prohibition) Act have brought transparency in real estate
•  The Fugitive Economic Offenders Act, 2018 to help confiscate economic offenders
•  Government conducted transparent auction of natural resources such as coal & spectrum

•  Undisclosed income of about Rs 1,30,000 crore brought under tax through initiatives like Black money Law, Fugitive Criminal offenders Act, Demonetisation etc.
•  Benami assets worth Rs 6,900 crore have been attached
•  18% growth in Direct tax

•  The IBC has institutionalized a resolution-friendly mechanism
• Government has stopped the culture of “phone banking”: FM
• Government adopted 4Rs approach of recognition, resolution, re-capitalization & reforms
•  Government has implemented measures to ensure ‘Clean Banking’
•  Government has already recovered Rs. 3 lakh crore in favor of banks and creditors
•  Government has invested Rs. 2.6 lakh crore for recapitalization of public sector banks

• Government launched Swachh Bharat Mission as a tribute to 150 years of Gandhi Ji
•  FM thanks 130 crore Indians for translating Swachh Bharat into a national revolution
•  India has achieved 98% rural sanitation coverage
• 5.45 lakh villages have been declared “Open Defecation Free”

•  OROP under implementation in full spirit with Rs 35,000 crore already disbursed
•  Military pay service hiked

•  Government put a stop to questionable practices of hiding high NPAs
•  Swachh Bharat Mission as the world’s largest behavioral change movement

•  Moving towards realizing a ‘New India’ by 2022 –

•  Foundation for India’s growth and development laid in the past 5 years
•  Poised to become a Five Trillion Dollar Economy in the next five years
• Aspire to become a Ten Trillion Dollar Economy in the next 8 years thereafter