A brief on India Union Budget-2018
February 1, 2018 9:52am CST
Now, this discussion is not a full-fledged article or a Blogjob or Literacybase style lengthy post which I used to do on Indian Annual Union Budget. However, briefly: 1)The Budget talks about more support to farmers in India, many of them not in good living condition, in terms of minimum support price, more funds, more credit. 2)Incentives for education- special schools, more spend on Infrastructure- which will draw in more Foreign Direct Investment(FDI) in Infra projects. 3)Additional Medical premium and other tax rebates for senior citizens, as well as additional medical premium allowed for all citizens for tax rebates. 4)Corporate tax reduction for corporate earnings up to Rs. 250 crores. 5)Exploring Blockchain for Government Financial dealings. 6)Long Term Capital Gains tax is back- not a good news for many, though it will be above an earning of Rs. 1 Lakh- which not many make. 7)Prices of Deodorants, Imported Mobiles, Laptops, Imported Bikes, Perfumes, and cooking oil(yeah, feel bad about this) to go up due to increased customs duty. There are more things, but essentially the budget focuses more on farmers and poor people, though some announcements seem too ambitious to be achieved. Any comments? Link: Times of India website
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You missed few more points Medical Insurance of INR 5 Lacs for 10 Crore Family covering 50 Crore people. Setup of Direct Point of sale of crops so that farmers do not die in middleman corruption. A minimum amount be set after discussion with farmers and they get that much in all circumstances. Boost to Bamboo sector which can create new jobs and improve trade. Implementation of Trade Receivables Discounting System to Support MSME. Income Tax changed with Medical / Conveyance being withdrawn and Standard Deduction is implemented. If you dont have invoice justifying medical expenses / conveyance then for you income upto INR 2.9 Lacs is tax free as Standard Deduction of INR 40,000 require no bill and is applicable to all. Even if you had bill to support 15000 Medical expenses and 19200 Conveyance, you will still save some tax. Government to contribute to new opened EPF Accounts for 3 years.
@the_thinker rightly said, but what about rich farmers who are not taxed even if they earn more than 1 crore per year? And I have suspicions that many of the declared measures for the farming community are gobbled up them. One more thing: Yes many in the middle class are greedy and pay two hoots for others' welfare, but some like me do care for things like sanitation, clean water, education and some donate or otherwise contribute to NGOs, as well as applaud steps for Rural development.
@gautaam while I didn't had much expectations, and some announcements on Farming sector, Education and Infrastructure are good, extra education cess in income tax, zero increase in exemption limit and making many imported items costlier are not good. Now, Government says about doing away with protectionist measures at Davos and practices radically different steps at home. But then with next year belonging to General Elections we rather accept that each Government or political party caters to its vote base the most!
Not really. It is required to listen exact statement rather than what media said. He said that transactions will be blockchain based. Blockchain will need digital currencies. Even the Prime Minister wanted more digital money and less cash so that printing costs & logistics could be controlled. So, India will likely have its own cryptocurrencies. These are hidden implications. Though existing cryptocurrencies are banned, this is required till black money problem is solved for the country. That is exactly where the strategy lies.