Important Points on Union Budget 2017

On Demonstration

    • Demonetisation is expected to have a transient impact on economy.
    • We will have a great impact on the economy and lives of our people . The effects of Dem. are not expected to spill over next year.  
    • Demonetisation a bold and decisive measure and will lead to higher GDP growth.
    • The effects of demonetisation will not spill over to the next fiscal.

Agriculture

  • Sowing farmers should feel secure against natural calamities.
  • Rs. 10 lakh crore as credit to farmers with 60 days interest waiver says FM
  • NABARD fund to be increased to Rs. 40,000 crore
  • Govt will set up mini lab in Krishi Vigyan Kendras for soiling:
  • A dedicated micro irrigation fund will be set up for NABARD with Rs 5,000 cr initial corpus
  • Irrigation corpus increased from Rs 20,000 crores to Rs 40,000
  • Dairy processing infrastructure fund with be created initially with a corpus of Rs. 2000 cr
  • Issuance of Soil cards has gained momentum
  • A model law on contract farming will be prepared and shared with States

Rural sector

  • Government targets to bring 1 crore households out of poverty by 2019
  • During 2017-18, 5 lakh farm ponds to be taken up under MGNREGA
  • Over Rs 3 lakh cr spend for rural India. MGNREGA to double farmers income
  • Participation of women in mgnrega up to 55%
  • During 2017-18, 5 lakh farm ponds to be taken up under MGNREGA
  • Using space tech in a big way to plan MGNREGA works
  • We propose to complete 1 crore houses for those without homes
  • Allocating Rs. 19,000 cr for Pradhan Mantri Gram Sadak Yojana in 2017-18
  • We are well on our way of achieving 100% rural electrification by March 2018.
  • Swachh Bharat mission has made tremendous progress, sanitation coverage has gone up from 42% in Oct 13 to 60% now.  
  • Sanitation coverage in rural areas gone up from 42% in Oct 2014 to 60% now.

For youth

  • Introduction of a system of measuring annual learning outcomes, innovation fund for secondary education.
  • There will be a focus on 3,479 educationally-backward blocks
  • Colleges will be identified based on accreditation
  • Skill India mission was launched to maximise potential. 100 India International centres across country.
  • Courses on foreign languages to be introduced.
  • Skill India Mission was launched in 2015 to maximise the potential of our youth. 100 India International Skill centres will be established across the country.  
  • Steps to create 5000 PG seats per annum

For the poor; health care

  • Mahila Shakthi Kendras - Rs. 500 cr allocated.
  • Nationwide scheme for pregnant women - Rs. 6000 each will be transferred.
  • For women and Kids - Rs. 1,84,632 cr. allocation investment
  • Affordable housing to be given infrastructure status.
  • Surplus liquidity - banks have already started reducing lending rates for housing
  • Elimination of tuberculosis by 2025 targeted.
  • 1.5 lakh health sub centres to be transformed into health wellness centre.
  • Two new AIIMS in Jharkhand and Gujarat.
  • Structural transformation of regulator framework for medical education in India
  • Allocation for Scheduled Caste - Rs. 52,393 crore
  • Aadhaar-based smartcards for senior citizens to monitor health

Infrastructure; railways

  • A total allocation of Rs. 39,61,354 crore
  • Total allocation for Railways — Rs. 1,31,000 crore
  • No Service charge while booking tickets with IRCTC
  • Raksha coach with a corpus of Rs. 1 lakh cr fore five years (for passenger safety)
  • Unmanned level crossings eliminated by 2020
  • 3,500 km of railway lines to be commissioned this year up from 2,800 km last year.
  • SMS based clean my coach service started
  • Coach mitra facility - to register all coach related complaints
  • 2019 - bio toilets for all trains
  • 500 stations to be made differently-abled friendly
  • Railways to partner with logistics players for front end and back end solutions for select commodities.
  • Railways will offer competitive ticket booking facility
  • 2,000 km for coastal connectivity of roads –
  • Rs. 64,000 crore allocation for highways.
  • Allocation of high speed Internet 1,50,000 gram panchayats
  • New Metro rail policy to be announced with new modes of financing

Energy sector

  • A strategic policy for crude reserves will be set up
  • Rs. 1.26,000 cr for energy production-based investments received
  • Trade infra export scheme will be launched 2017-18

Financial sector

  • FDI policy reforms - more than 90% of FDI inflows are now automated.
  • Shares of Railway PSE like IRCTC would be listed on stock exchanges.
  • Bill on resolution of financial firms to be introduced in this session of parliament.
  • Decided to abolish FIPB in 2017-18.
  • Foreign Investment Promotion Board to be abolished.
  • Revised mechanism to ensure time bound listing of CPSEs
  • Computer emergency response team for financial sector to be formed.
  • Pradhan Mantri Mudra Yojana lending target at Rs 2.44 lakh crore for 2017-18
  • Digital India - Bhim app will unleash mobile phone revolution - two new schemes to promote the app.
  • Govt to introduce two new schemes to promote BHIM App - referral bonus for users and cash back for traders: FM.  
  • Negotiable Instruments Act might be amended.
  • DBT to LPG consumers , Chandigarh is kerosene free, 84 govt schemes are on the DBT platform.
  • Head post office as the central office for rendering passport services
  • Easy online booking system for Army, defence personnel
  • For big-time offences - including economic offenders fleeing India, the govt. will introduce a legislative change or new law to confiscate the assets of these people within the country

Fiscal situation

  • Total expenditure - Rs. 21, 47,000 crore
  • Abolition on plan, non-plan expenditure, focus on capital expenditure ( Capital expenditure will be 25.4 per cent)
  • Rs. 3,000 crore under Dept of Economic Affairs for implementing Budget announcements.
  • Defence expenditure, excluding pension, at Rs 2,74,114 crore
  • Expenditure in science and technology — Rs. 37,435 crore
  • Total resources transferred to States and UTs is Rs 4.11 lakh crore
  • Recommended 3% fiscal deficit for three years with deviation of 0.5% of GDP.
  • Revenue deficit - 1.9 %
  • Pegged fiscal deficit of 2017-18 at 3.2% of GDP and remain committed to achieving 3% in the next year

On funding of political parties

  • Maximum amount of cash donation for political parties will be Rs 2,000 from any one source from Rs 20,000
  • Political parties will be entitled to receive donations by cheque or digital mode from donors.
  • Amendment is being proposed to RBI Act to enable issuance of electoral bonds that government will scheme. Donor can purchase these bonds from banks or post office via cheque or digital transactions. They can be redeemed only by registered political parties

Tax proposals

  • India’s tax to GDP ratio is not favourable.
  • Out of 13.14 lakh registered companies, only 5.97 lakh companies have filed returns for 2016-17.
  • Proportion of direct tax to indirect tax is not optimal.
  • 1.95 crore individuals showed income between Rs 2.5 lakh to Rs 5 lakh.
  • Out of 76 lakh individual assessees declaring income more than Rs 5 lakh, 56 lakh are salaried.
  • Only 1.72 lakh people showed income of more than Rs 50 lakh a year.
  • Between Nov 8 to Dec 30: Deposits between Rs 2 lakh and Rs 80 lakh was made in 1.09 crore accounts.
  • Net tax revenue of 2013-14 was Rs 11.38 lakh crore.
  • Out of 76 lakh individual assessees declaring income more than Rs 5 lakh, 56 lakh are salaried.
  • 1.95 crore individuals showed income between Rs 2.5 lakh to Rs 5 lakh.
  • Rate of growth of advance tax in Personal I-T is 34.8% in last three quarters of this financial year.
  • Holding period for long term capital gain lowered to 2 years
  • Propose to have carry-forward of MAT for 15 years.
  • Capital gains tax to be exempted for persons holding land from which land was pooled for creation of state capital of Telangana.  
  • Corporate tax: In order to make MSME companies more viable, propose to reduce tax for small companies of  turnover of up to Rs 50 crore to 25%. About 67 lakh companies fall in this category. 96% of companies to get this benefit.  
  • Propose to reduce basic customs duty for LNG to 2.5% from 5%
  • SIT on black money suggested no cash transactions of more than Rs 3 lakh. Govt has accepted this proposal.
  • Income Tax Act to be amended. No transaction above Rs 3 lakh to be permitted in cash.
  • Limit of cash donation by charitable trust reduced to Rs 2,000 from Rs 10,000.
  • Net revenue loss in direct tax could be Rs. 20,000 crore

Personal Income Tax

    • Existing rate of tax for individuals between Rs. 2.5- Rs 5 lakh reduced to 5% from 10%
    • All other categories of tax payers in subsequent brackets will get benefit of Rs 12,500.
    • Simple one page return for people with annual income of Rs. 5 lakh other than business income.
    • People filing I-T returns for the first time will not come under govt. scrutiny.
    • 10% surcharge on individual income above Rs. 50 lakh and up to Rs 1 crore to make up for Rs 15,000 crore loss due to cut in personal I-T rate. 15 surcharge on individual income above Rs. 1 crore to remain.
 
Sec. 143(3) : Scrutiny Assessments by Income Tax Department
“Penalties” Under Income Tax Act. 1956
How is a Search Operation Conducted by Income Tax Department ?
Surveys for Checking Ostentatious Expenditure
Surveys for Enforcing Compliance with Provisions of TDS
“Summon” U/s 131 of Income Tax Act.
Investigation by Income Tax Department:
Appellate Authorities of Income Tax Department
Power to Call for Information U/s Sec. 133(6) of Income Tax Act.
Specific Surveys U/s 133A(1) of Income Tax Act.
Types Of Income Subject To TDS [Deduction Of Tax At Source]
Pre-Requisite For Claiming Income Tax Refund
Benefits of Filing Income Tax Returnsn
Section-139(9): Defective Tax Return
 
Get Updated ...
Tax Tutorials
E-Payment Of Direct Taxes
Filing Of Return Of Income
Interest for Delay in Filing the Return of Income [Section 234 A]
Interest for default in Payment of Advance Tax [Section 234B]
Provisions Of 'Income-Tax Law' Useful For Non-Residents
MAT (Minimum Alternate Tax)
AMT ( Alternative Minimum Tax)
Tax On Long-Term Capital Gains (LTCG)
Tax On Short-Term Capital Gains (STCG)
Exemption[ Section-54] For Capital Gains Arising On Transfer Of Residential House Property
Tax Treatment Of Gifts Received By An Individual Or HUF
Set Off And Carry Forward Of Loss Under The Income-Tax Act
Interest For Delay In Payment of TDS/TCS And For Non-Payment Of Tax Demanded
Tax Deduction/Collection Account Number (TAN)
How to apply for PAN ?
Refund Of Excess Tax Paid By The Taxpayer (Sections - 237 to 245 )
Presumptive Taxation Scheme of Section 44AD
Presumptive Taxation Scheme of Section 44ADA
Presumptive Taxation Scheme of Section 44AE
Deduction in respect of Life Insurance Premium, PPF, NSC, etc. [Section 80C]
Deduction in respect of Medical Insurance Premium [Section 80D]
Tax Deducted at Source (TDS) from Interest, other than Interest on Securities (Section-194A)
Tax Deducted at Source (TDS) from Interest on Securities (Section 193)
Late Filing Fees And Penalty For Failure To Furnish/Delay In Furnishing The TDS/TCS Statements
LIBRARY @ Tax Management
TAX & INVESTMENT GUIDE FOR "NRI"- Non-Resident Indians !
GUIDE & FAQ @ TAX
GRAPHICAL PRESENTATION @ TAX
TIPS & TRICKS @ TAX
MANAGERIAL & FINANCIAL DECISIONS @ TAX
5 GOLDEN RULES OF TAX PLANNING
FAMILY TAX PLANNING
DEDUCTIONS FROM YOUR INCOME
EXEMPTED INCOMES
HUF - FORMATION, MANAGEMENT & TAX PLANNING
COMPUTATION OF GROSS TOAL INCOME
INCOME TAX @ GLANCE
MULTIPLE KNOWLEDGEBASE ON TAX
51 TIPS ON TAX PLANNING
APPEALS UNDER INCOME TAX
ASSESSMENTS
PENALTIES UNDER IT DEPATMENTS
TAX SAVING SCHEMES
TAX READY RECKONER
TAX RATES
PROSECUTIONS UNDER INCOME TAX DEPARTMENT
TAXATION SYSTEM IN INDIA
CHARITABLE & RELIGIOUS TRUST - TAXATION
PRESCRIBED FORMS WITH with Section / Rules
KNOWLEDGE BASE !
New Topics @ Tax KnowledgeBase...
 
 

Most Popular Topics :

Corporate Tax ( Taxation in Companies)
FAQ on TDS on Salaries
FAQ on Taxable Income
FAQ on Filing of Income Tax Return
Graphical Chat Presentation of Provision of Motor Car / Other Vehicles [Rule 3(2)(A)&(B)]
'Appeals' Under Income Tax Act. 1961.
'Assessments' Under Income Tax Act. 1961.
List of Exempted Incomes (Tax-Free) Under Section-10
Income Under the Head ' Business and Professions' [Section 28 to 44]
Income Under the Head ' Capital Gain'
Income Under the Head ' House Property '[Section- 22 - 25 ]
Income Under the Head "Salary"
[Section 15-17]
Income Tax on 'Partnership Firms'
PENALTIES Under Income Tax Act. 1961.
Tax Saving Schemes for Individual -Instant Guide
New Tax Rates For FY 2017-18 & AY 2018-19
"Exempted Incomes" under Income Tax Act.
Charitable & Religious Trust :Formation, Registration, & Taxation
Hindu Undivided Family [HUF] - Formation, Management and Taxation
 

Most Popular Links :

Clubing of Income Deduction U/s 80C
Allowances Us-17(3) Exemption-Salary
Tax Amendment-2015 Taxable Income
Clubing of Income Tax Deductions
HUF Deduction HUF Investment
Gift by HUF HUF Tax Planning Tips
Tax Saving Schemes Tax Planning Tips
Refund of Tax Fringe Benefit Tax-FBT
Return Filing Assessment / Scrutiny
Notice from I.T. Dept. Incomes Types @ TDS
Exemptions-Tax Returns “Summon” U/s 131
'Black Money' @ I.Tax Big Gifts To Be Taxed
'Appeals' under I.Tax Assessment @ I.Tax
Exempted Incomes Capital Gain
Business & Professions House Property
Salaries @ I.Tax Partnership Firm
'Penalty' under I.Tax Act. Tax Ready Reckoner
Charitable Trust Useful Links @ I.Tax
 
Guide & FAQ on Tax Knowledgebase @ Taxation Income Tax @ Glance HUF - Formation, Planning & Taxation
Charitable & Religious TRUST NRI (Tax Planning,Saving,Investemnt) Budget 2017-2018 GST (FAQ, Law, Act. Rules, Schedule, Enrollment)
FAQs - Income Tax India Tax Tutorials    
______________________________________________________________________________________________________________________________________________________

Disclaimer:
All efforts are made to keep the content of this site correct and up-to-date. But, this site does not make any claim regarding the information provided on its pages as correct and up-to-date. The contents of this site cannot be treated or interpreted as a statement of law. In case, any loss or damage is caused to any person due to his/her treating or interpreting the contents of this site or any part thereof as correct, complete and up-to-date statement of law out of ignorance or otherwise, this site will not be liable in any manner whatsoever for such loss or damage.

The visitors may click here to visit the web site of Income Tax Department for resolving their doubts or for clarifications