Central Government’s Last Budget Showers Benefits To Tax Payers Aiming Upcoming Elections - (01 Feb 2019)

Civil

The Finance Minister Shri Piyush Goyal presented an interim budget in Parliament on Friday and announced numbers of benefits to the people. Aimed at upcoming Lok Sabha Elections in coming months, the Central Government has come up with the budget with populist flavour wherein almost all sections of the society has something to cheer. The budget was presented by Shri Piyush Goyal in place of Shri Arun Jaitley who is currently out of country for medical treatment. Since, it is an interim budget, a full fledged budget shall be presented after 2019 General election, when the house re-assembles.

The biggest announcement is with respect to farmers in the country under Pradhan Mantri Kisan Samman Nidhi wherein the farmers having upto 2 hectares of agricultural land will get a package of Rs.6,000 in a year in three equal instalment.. Further, Farmers affected by natural calamities to get 2% interest subvention and additional 3% interest subvention upon timely repayment.

The budget further provides 2% interest subvention to farmers who pursue animal husbandry, fisheries jobs through Kisaan credit cards. The budget also announced Kamdhenu scheme for animal husbandry and one lakh digital villages will be launched in upcoming time. The Budget also announced the Pradhan Mantri Shram Yogi Maandhan Yojana for unorganised sector workers with income up to Rs 15,000 per month wherein the workers will get Rs 3,000 per month pension with a contribution of Rs 100 per month after retirement. The Government allocates Rs 500 crore for the scheme.

Another major breakthrough for middle class in this year’s budget is that, no tax for earning upto Rs. 5 lacs. The standard deduction is increased from Rs. 40,000 to Rs. 50,000. TDS limit on interest earned from bank and post office deposits is increased from Rs.10,000 to Rs.40,000.

The tax deducted at source or TDS threshold for deduction of tax on rent has been proposed to increase from Rs 1,80,000 to Rs 2,40,000 for providing relief to small taxpayers. The budget also proposes IT processing of returns to be done within 24 hours and within the next 2 years, all verification of tax returns to be done electronically without any interface with the taxpayer.

The budget has proposed Fund allocation for the Northeast region increased to Rs. 58,166 crore, a 21% rise over last year for infrastructure development. The ESI cover limit is also increased to RS.21,000.

Tags : BUDGET BENEFIT TAX-PAYERS