Here are some quick pointers from Budget 2019 Speech. More details analysis soon….
- Rebate under Section 87A changed from Rs 2,500 to Rs 12,500 or 100% of income tax (whichever is lower) for individuals with income below Rs 5 Lakhs (from Rs 3.5 Lakhs)
- Standard Deduction raised for Salaried & Pensioners from Rs 40,000 to Rs 50,000
- In case of 2 house, tax on notional rent not applicable on second house and can be shown as self-occupied
- TDS threshold for bank/post office/co-operative society deposits – raised to Rs. 40,000 per year from 10,000 per year.
- Sec 54 exemption allowed on long term capital gains selling of one residential property to buy 2 residential property once in lifetime. .
- TDS on rent : increased from 1,80,000 to 240,000! New Pension Scheme has been liberalised, 14% govt contribution
- EPFO Hiked death benefit to Rs 6 lakh in case of death for labour
- Gratuity limit increased from 10 lakh to 30 lakh rupees
- To turn tax dept to being tax payer friendly. 24 hour window to assess returns and instant refunds!
- Aim for no personal interface between tax payer and tax officer Even for scrutiny, no need to go to their office Anonymous process, both tax guy and payer will not know the other even in a scrutiny
Also Read: Budget 2019: Income Tax Slabs for FY 2019-20 (AY 2020-21)
- Processing of ITR within 24 hours and instant refund will be done:
- PM Kisan Income Scheme assured income of RS 6000/year for farmers with less than 2 hectares of land
- All farmers affected by severe natural calamities will get interest subvention for the full year
- Assured income support to small and marginal farmers. Kisan Samman Nidhi Vulnerable farmers with < 2 hectare, direct income support of Rs 6,000 per year directly into their banks in 3 installments. Central govt to pick up tab. 12 crore farmer to benefit.
- PM Shram Yogi Mandhan pension scheme for 10 crore workers which will provide assured pension of Rs 3,000 after they reach age of 60. 29 year old will have to contribute Rs 100 per month up to 60. 18 year old will have to contribute Rs 55. Govt will contribute a matching share in the worker’s pension a/c
- All unmanned crossings in railways have been eliminated – safest year in railways Vande Bharat express to give world class experience
- Opened up the airways and small airports Domestic air traffic has doubled (jobs follow) Fastest highway developer in the world Waterways, ports also area of focus
- Inland waterways – container cargos from Kolkata to Benaras
- Defense budget: 300,000 cr
- Allocation for North East region up 21% to Rs 58166 crore
- Government will set up a welfare development board to help implement development programmes for nomadic and semi-nomadic communities
- Ayushman Bharat to provide medical treatment to nearly 50 crore people
- Government earmarked Rs 1.7 lakh crore in 2018-19 to ensure food for all
- GST Compliant MSME : 2% Interest Subvention upto 1 cr loans
- 8 crore free LPG connections under the UjjwalaYojana
