New tax regime will be optional for tax payer. Old regime will continue with deductions and exemptions

Direct Tax

Personal Income Tax

New simplified Income Tax Regime. introduced

10% tax rate for Rs.5L to Rs.7.5L

15% tax rate Rs.7.5L to Rs.10L

20% tax rate Rs.10 – Rs.12.5L

25% tax rate Rs.12.5L to Rs.15L

30% rate for above Rs.15L

No change in tax slabs

The revised rates is applicable on the new scheme. Most of the deductions will be available in the new sheme as FM said in here speech 70 exemptions/deductions were not applicable in this scheme. The assessee has the option to continue the new scheme.

We will update the details soon after looking into the Finance bill, 2020.

Tax payer Charter will be part of our statute. Tax harassment cannot be tolerated.

Criminal Libility for Civil liability – The same in compnay law will be removed. Other laws will also be looked into it.

National Recruitment Agency for recruitment for non-gazetted post for conducting exams and recruitment. The same will be setup in all districts.

India will host G-20 residency in 2022 during 75th year of India’s independence. During this event, India would be drive global economic advantage and an allocation of Rs 100 crore has been done for this purpose.

Financial Sector

Robus system to monitor all scheduled banks and all public depositor money is safe

Insurance cover increased to Rs.5 Lakhs from Rs.1 lakhs. Once implemented the deposit upto Rs.5 lakhs is safe

NBFC Eligibility for SARFAESI Act reduced to Rs 100 crore from Rs 500 crore AUM. 

MSME

ubordinate debt for entrepreneurs of MSMEs will be provided and will be treated as quasi-equity

Government has asked RBI to consider extending window of debt structuring by one year to March 2021

Financial Markets

A debt ETF consisting of government securities will be launched.

Disinvestment

LIC to be partially disinvested by way of IPO

Caring Economy

1. Rs.35600 crores for nutrition related programmes
2. Rs.28600 crores for programmes specific to women
3. Rs.85000 for Shedule Caste/OBC
4. Rs.53700 cores for Shedule Tribes
5. Rs.9500 cores for Senior Citizens
6. More than 6 lakh anganwadi workers are equipped to upload status of more than 10 crore households

Culture & Tourism

Five archaeological sites will be set up with museums on site in Rakhi Gadi in Haryana, Hastinapur in UP, Dholavira in Gujarat, Shivsagar in Assam and Adichanallur in Tamil Nadu.

A tribal museum will be set up in Ranchi, Jharkhand. Maritime site will be set up in Lothal.

Rs.3150 crores for Ministry of Culture

A total of Rs 2,500 crore will be allocated for tourism promotion in FY21. 

Climate Change

Rs.4400 crores allocated

Defense

Econimic Development

1. Enterpreneurship Development – Investment clearance Cell to be constituted- End of End solutions
2. Electronic Manufacturing Industry – Encourage manufacture of Mobile Phones, Medical Devices, Electronic Goods etc a scheme will be implemented soon
3. All Industrial dept to introduce Quality Standards
4. Refund of All duties will be implemented from current year for exports.
5. 27300 crotes for romotion of of Industry & Commerce
6. FM says National Infrastructure Pipeline involves 6,500 projects.
7. A total of 9,000 km of economic corridor will be set up
8. Chennai-Bengaluru expressway will also be started, says FM.
9. A total of 12 lots of highway bundles will be monetised by 2024
10. A new scheme of Electricity smart meters will be launched.  Pre-paid scheme will be introduced to buy electricity.
11. Rs.22,000 crores to power and renewable energy

NEw Economy

1. Policy to set-up data centre parks by private sector
2. All public instututions to be provided digital connectivity
3. 100000 grama panchayath to be connected through fibre optics
   4.Rs.6000/- core allocated
   5.Rs.8000/- crores for quantum technology for 5 years

Education & Skill – Third point in Aspiration India

Education & skill..main points

1. New Educational policy will be announced soon
2. ECB and FDI for Education
3. Urban Local bodies to provide internship for engineering students for one year
4. Degree level online educational programme
5. Study in India Programme – Exams for students from Africa
6. Shortage of Medical Doctors – Medical College to be attached to District Hospitals
7. Speical Bridge course for skill development
8. Allocation of Rs.99300crores for education and Rs.3000 for skill development

Health Carre

Wellness, Sanitation, safe water etc

Ayushman Bharath – More hospitals to be empanelled. 112 of aspirational district which didn’t have empanelled hospital will be encouraged

TB harega Desh Jitenga Scheme introduced

Rs.12300 crores for Swatch Bahrath

Aspirational India

1.Agriculture, Skills, Education

Agriculture..main points

Encourage those State Govt. who adopt three laws Agricultural Laws

Comprehensive Steps for 100 water stressed Districts

20 Lakhs farmers for settingup solar pumps.

Viability Funding for developing Warehouses

Encourage Barren land holders to generate solar power by setting up solar power generating units

Village Storage Scheme is proposed to supply seeds required by farmers by women Dhanya Lakshmi Schemen. Mudra Loan will be extended

Horticulture Sector exceeds the production of food grains. One product one district

Agricultural Credit availability will be Rs.15 Lakhs crores

Fund Allocation:

Agriculture & allied activities, Irrigarion & Rural Development 2.83 Lakhs Crore

Finance Minister Smt.Nirmala Sitaraman started presenting the Budget 2020-21..