Before we go deep into the 2019 budget summary, let’s have a look at the expectations we had from this budget in order to find out how much the government has really succeeded in fulfilling them.
- The Modi government may woo the middle class and salaried persons with tax concessions.
- The proposal for hiking savings limits could also be expected in the budget 2019.
- Good news may come for those holding house loans. The central government may bring down the interest rates on housing loans.
- Pensioners are also likely to be benefitted in terms of income tax.
- The discussions are also on over likely changes in basic customs duties.
Now let’s have a brief look at what we got from the union budget 2019.
- Within 2 years, Tax assessment will be done electronically
- IT returns processing in just 24 hours
- Minimum 14% revenue of GST to states by Central Govt.
- Custom duty has abolished from 36 Capital Goods
- Recommendations to GST council for reducing GST rates for home buyers
- Full Tax rebate upto 5 lakh annual income after all deductions.
- Standard deduction has increase from 40000 to 50000
- Exempt on tax on second self-occupied house
- Ceiling Limit of TDS u/s 194A has increased from 10000 to 40000
- Ceiling Limit of TDS u/s 194I has increased from 180000 to 240000
- Capital tax Benefit u/s 54 has increased from investment in one residential house to two residential houses.
- Benefit u/s 80IB has increased to one more year i.e. 2020
- Benefit has given to unsold inventory has increased to one year to two years.
In other areas, the budget 2019 is promising
- State share has increased to 42%
- PCA restriction has abolished from 3 major banks
- 2 lakhs seats will increase for the reservation of 10%
- 60000 crores for manrega
- 1.7 Lakh crore to ensure food for all
- 22nd AIIMS has to be opened in Haryana
- Approval has to be given to PM Kisan Yojana
- Rs. 6000 per annum has to be given to every farmer having upto 2 hectare land. Applicable from Sept 2018. Amount will be transferred in 3 installments
- National kamdhenu ayog for cows. Rs. 750 crores for National Gokul Mission
- 2% interest subvention for farmers pursuing animal husbandry and also create separate department for fisheries.
- 2% interest subvention for farmers affected by natural calamities and additional 3% interest subvention for timely payment.
- Tax free Gratuity limit increase to 20 Lakhs from 10 Lakhs
- Bonus will be applicable for workers earning 21000 monthly
- The scheme, called Pradhan Mantri Shram Yogi Mandhan, will provide assured monthly pension of Rs. 3,000 with contribution of Rs. 100 per month for workers in unorganized sector after 60 years of age.
- Our government delivered 6 crores free LPG connections under Ujjawala scheme
- 2% interest relief for MSME GST registered person
- 26 weeks of Maternity Leaves to empower the women
- More than 3 Lakhs crores for defence
- One lakh digital villages in next 5 years.
So it’s pretty much clear how much the budget 2019 has satisfied our expectation. However, addressing a number of issues through the new budget doesn’t necessarily mean all of them will be implemented. We’ll have to wait and watch to find out how much of the new steps taken in this budget 2019 get transformation in reality.
