Following are the highlights of the Union Budget 2015-16 presented by Finance Minister Arun Jaitley in Parliament today:
No change in personal Income Tax
Health Insurance Premium deduction hiked from Rs 15,000 to Rs 25,000; for senior citizens to Rs 30,000
Transport allowance exemption hiked to Rs 1,600, from Rs 800 per month
Additional 2% surcharge on people earning over Rs 1 cr; to fetch Rs 9,000 cr
Wealth tax abolished
Direct Taxes Code (DTC) dropped
Rs 50,000 deduction for contribution to New Pension Scheme
Read Full Report: Union Budget 2015
To lower Corporate Tax to 25% over next four years
GAAR implementation deferred by 2 years to April 2017
Service Tax rate hiked to 14%, from 12.36%
Tax free bonds for roads, railways, irrigation projects
2015-16 growth between 8-8.5%, double digit growth feasible
Retail inflation close to 5% by March, room for monetary policy easing
To achieve fiscal deficit of 3% of GDP by 2017-18
Fiscal Deficit target 3.9% in 2015-16, 3.5% in 2016-17
Revenue Deficit to be 2.8% in 2015-16
Current Account Deficit for 2014-15 to be below 1.3% of GDP
To introduce comprehensive law to deal with black money
Benami property transaction bill to tackle black money transaction in real estate soon
100% deduction for contribution to Swachh Bharat, Clean Ganga projects
GST to be put in place by April 1, 2016
Internationally competitive direct tax regime to be put in place to incentivise saving
Incentivise use of credit, debit cards; disincentivise cash transaction to curb black money
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