LATEST BUDGET UPDATES 28th feb

While presenting his 6th budget in the Parliament today, Finance Minister Mr Pranab Mukherjee said that the Indian economy is back on the pre-crisis growth trajectory. Admitting that high inflation is still a stumbling block for the Indian economy, the FM introduced a number of social reforms, and also liberalised the FDI policy. And there were the expected income tax breaks.Here are a few live updates from the Union Budget 2011:-

1. The personal income tax exemption limit has been hiked from Rs. 1,60,000 to Rs. 1,80,000 for men.

2. The exemption limit for women stays at Rs. 2,40,000.

3. The tax exemption limit for senior citizens has been increased to Rs, 2,50,000.

4. The tax exemption limit for senior citizens above 80 has been increased to Rs, 2,50,000.

5. The minimum age to qualify for being a senior citizen is now 60 years, as against 65 years earlier.

6. Government to introduce GST (Goods and Service Tax Bill) in the current Parliamentary session.

7. GTC To roll out from 1st April, 2012.

8. Introduction of GTC, GST to improve compliance.

9. Economic growth of 8.75%-9.25% expected in 2011-12.

10. Fiscal deficit to be at 3% of state deficit by FY14.

11. New nutrient-based fertilizer policy on urea being considered.

12. Government to move to direct tax subsidy for kerosene and fertilizer.

13. The divestment target for FY12 is Rs. 40,000 crores.

14. The GDP growth has been pegged at 8.6%, the agricultural growth at 5.4%, industrial growth at 8.1 %, and services growth at 9.6%.

15. The food inflation which was at 0.2% last year, was at 9.3% in January this year, but is still an area of concern, says the FM Pranab Mukherjee.

16. Housing loan limit raised to 25lacs for priority sector lending.

17. 1% interest subvention on home loans upto 15 lacs.

18. Government is also mooting liberalizing the FDI policy in the country.

19. FIIs will now be allowed to invest in mutual funds schemes.

20. FII investment limit in corporate bonds hiked to $ 40 billions.

UNION BUDGET 2011-12; Count down begins

The most awaited UNION BUDGET 2011,finance minister Mr.Pranab Mukherjee  announcing in loksabha today on 28th feb.Mukherjee has the difficult task of putting the economy back on track as well as keep the masses or the aam aadmi happy.

Prime Minister Manmohan Singh's government is under pressure over high prices and its handling of a string of corruption scandals as his Congress party faces elections in five states this year, making it unlikely that it will unveil any sensitive reforms in the budget for the fiscal year starting in April.

Here are some key points to focus by Mr Mukherjee in his 6th union budget-

Inflation has remained stubbornly high throughout the year. Rising inflation has reduced purchasing power and also offset the hike in the tax exemption limit announced in the last Budget. we expect another tax exemption hike this year, which is likely to be in line with the Direct Taxes Code.

To compensate for the shortfall in revenue through direct tax, the Finance Minister may hike the service tax by 2 per cent.

Subsidies are likely to touch

s.

 1 lakh crore this fiscal. Rising crude has meant an inflated subsidy bill for the government.

The Finance Minister is likely to increase the allocation for social schemes like the Mahatma Gandhi National Rural Employment Guarantee (MGNREGA)

These are top 10 expectations by AAM AADMI from Mr.Mukherjee :-

1) Indian Railways – The Bleeding Tooth

2) Inflation – The Burning Reality!

3) Income Tax Exemption – Yeh Dil Maange More!

4) Fuel price Deregulation – Slow and Steady wins the Race!

5) Social sector Spending – Amount B/f from Disinvestment A/c

6) Retail FDI – Time to tighten Supply Chain!

7) Excise and Service Tax Cut – Status quo Requested!

8) Infrastructure – Work in Progress!

9) Delay in GST Implementation – No Consensus Yet!

10) Education – Learning is the way to Growth!