Sigh of relief for middle class! Tax exemption limit increases to Rs 5 Lakh

Giving a sigh of relief to the Indian middle Class, this Union Budget raised the income tax exemption limit to INR  5 lakhs, when the country is going through sluggish economic growth, difficult fiscal scenario and rising unemployment.

Saima Siddiqui
Published on: 5 July 2019 4:30 AM GMT
Sigh of relief for middle class! Tax exemption limit increases to Rs 5 Lakh
X
#Budget2019: PAN and Aadhaar to become interchangeable

New Delhi: India's first full-time female Finance Minister, Nirmala Sitharaman creates history on July 05 by presenting the first Union Budget of Modi government, after BJP made a come back to power with majority mandate in the Lok Sabha Elections 2019.

Giving a sigh of relief to the Indian middle Class, this Union Budget raised the income tax exemption limit to INR 5 lakhs, when the country is going through sluggish economic growth, difficult fiscal scenario and rising unemployment.

ALSO READ: Economic Survey pegs economic growth at 7 pc for FY20, Read highlights

Highlights from the Lok Sabha:

-Finance Minister concluded her approximately 2:10 hrs long budget speech in the Lok Sabha.

-Tax exemption limit increased to Rs 5 Lakh.

-PAN and Aadhaar to become interchangeable. Individual can use one in case of absence of other says FM Nirmala Sitharaman.

-Additional deduction of Rs 1.5 Lakh till March31, 2022, enhanced interested deduction up to Rs 3.5 lakh for loans taken to buy affordable house under Rs 45 Lakh: FM

-Direct tax collection increased by 78%; Tax collection rose from 6.38 lakh crore rupees in 2013-14 to 11.37 lakh crore rupees in 2018, says Finance Minister.

-Additional Rs 1.5 lakh deduction on interest paid for affordable housing loans till March 2020, says Sitharaman.

-GST rate on electric vehicles to be reduced to 5% from 12% . Rs 1.5 lakh tax subsidy to tax payers taking loans to buy electric vehicles: FM Nirmala.

-New Rs 1, 5, 10 & 20 coins to be available for public use soon: FM Nirmala Sitharaman

-Nearly 95% of all cities have declared themselves open-defecation free. More than 45,000 public toilets have been uploaded on google maps and nearly 1 crore citizens have downloaded the Swachhta app, she says.

-This year as we mark the 150 birth anniversary of Mahatma Gandhi. 'Gaon', 'Gareeb' aur 'Kissan' will remain at the centre of all our initiatives, she says. Two mega initiatives 'Ujjwala' and 'Saubhagya' have dramatically improved ease of living, easy access of clean cooking gas, and electricity supply to the needy, she says.

-It is estimated that railway infra will need investment of Rs 50 lakh crore between 2018 and 2030.

-It took us over 55 years to Indian economy to reach $1 trillion but the people's hearts filled with Vishwas and Akansha (hopes of the people of the country) has helped us achieve the next couple of trillions within a short span.

-In PPP terms we are the third largest economy already after China and US, FM says pointing out that India has already become a $3 billion economy.

-We are 3 trillion dollar economy in current year itself. It is sixth largest already. We will become 5 trillion economy, says FM Sitharaman.

-FM Nirmala Sitharaman quotes Chanakya neeti sutra, ‘Kaarya purusha kare na lakshyam sampa dayate (with determined human efforts, the task will surely be completed)’ and cited an Urdu couplet, “Yakeen ho to koi raasta niklata hai, hawa ki ot (protection) bhi le kar charagh jalta hai”.

-FM Nirmala Sitharaman during her budget speech said that the recent election was charged with brimming hope and desire for a bright and stable 'New India'. Voter turnout was highest; every section came to stamp their approval for performing Government.

-FM Sitharaman presents #UnionBudget2019 in the parliament.

-The Lok Sabha has convened.

-Cabinet give the Budget positive nod, a meeting soon to be held under PM Narendra Modi's chairmanship.

-FM Sitharaman parents reached Parliament to stand by their daughter on the crucial day of her career as the first full-time Finance Minister of India presenting Union Budget 2019.

[playlist type="video" ids="294637"]

-Budget Copies brought to the Parliament.

-FM Nirmala Sitharaman reaches the Parliament House.

-Sitharaman meets President Ram Nath Kovind.

-Finance Minister used a 'bahi khata' (ledger) to carry the Budget papers instead of the traditional briefcase today. talking about this move, Chief Economic Advisor (CEA) KV Subramanian said, “It is in Indian tradition. It symbolizes our departure from slavery of Western thought.”

-Anand Mahindra wishes luck to FM

--Congress leader Jyotiraditya Scindia on Budget

Meanwhile, the Economic Survey 2019 on Thursday pegged the growth rate for the current fiscal at 7 per cent, marginally up from the five-year low of 6.8 per cent recorded in the previous fiscal. It also said that India has now officially become a low-inflation economy and its GDP is reflecting a recovery in the economy after a deceleration in the growth momentum throughout 2018-19.

ALSO READ: Economic Survey guided by ‘blue sky thinking’: CEA Subramanian

Saima Siddiqui

Saima Siddiqui

Next Story