Highlights of Interim Budget 2019-20

February 1, 2019 Government

The key highlights of the Interim Budget 2019-20 presented by the Union Minister for Finance, Piyush Goyal in Parliament.

Farmers

12 crore small and marginal farmers to be provided with assured yearly income of Rs. 6000 per annum under PM-KISAN.
Outlay of Rs. 75,000 crore for FY 2019-20 with additional Rs. 20,000 crore in RE 2018-19
Outlay for Rashtriya Gokul mission increased to Rs 750 crore
Rashtriya Kamdhenu Ayog to be setup for sustainable genetic up-gradation of the Cow resources
New separate Department of Fisheries for welfare of 1.5 crore fishermen
2% interest subvention to Farmers for Animal husbandry and Fisheries activities; additional 3% in case of timely repayment.
Interest subvention of 2% during disaster will now be provided for the entire period of reschedulement of loan

Labour

Pradhan Mantri Shram Yogi Maandhan scheme to ensure fixed monthly pension to 10 crore unorganized sector workers
Rs 3000 per month after 60 years of age with an affordable contribution of only Rs 100/55 per month

Health

MGNREGA

Direct Tax proposals

· Income upto Rs. 5 lakh exempted from Income Tax

· More than Rs. 23,000 crore tax relief to 3 crore middle class taxpayers

· Standard Deduction to be raised to Rs. 50,000 from Rs. 40,000

· TDS threshold to be raised from Rs. 10,000 to Rs. 40,000 on interest earned on bank/post office deposits

· Existing rates of income tax to continue

· Tax exempted on notional rent on a second self-occupied house

· Housing and real estate sector to get boost-

TDS threshold for deduction of tax on rent to be increased from Rs. 1,80,000 to Rs. 2,40,000
Benefit of rollover of capital gains increased from investment in one residential house to two residential houses for capital gains up to Rs. 2 crore.
Tax benefits for affordable housing extended till 31st March, 2020 under Section 80-IBA of Income Tax Act
Tax exemption period on notional rent, on unsold inventories, extended from one year to two years

Poor and Backward Classes

“First right on the resources of country is that of the poor”: FM
25% additional seats in educational institutions to meet the 10% reservation for the poor
Targeted expenditure to bridge urban-rural divide & to improve quality of life in villages
All willing households to be provided electricity connections by March 2019

Defence

Railways

Entertainment Industry

Indian filmmakers to get access to Single window clearance as well for ease of shooting films
Regulatory provisions to rely more on self-declaration
To introduce anti-camcording provisions in the Cinematograph Act to control piracy

MSME and Traders

2% interest subvention on an incremental loan of Rs 1 crore for GST registered SMEs
Atleast 3% of the 25% sourcing for the Government undertakings will be from women owned SMEs
Renewed Focus on Internal trade ; DIPP renamed to Department for Promotion of Industries and Internal trade

Digital Villages