Finance Minister Arun Jaitley presented a budget that sought to get India back on the growth track. Jaitley emphasised the importance of investment and the need to introduce benefits for the common man — both the poor as well as the middle class.
Among the FM’s biggest announcements were the reduction of corporate tax from 30% to 25%, the abolishment of the wealth tax (and additional 2% surcharge instead for the super-rich), and a income tax exemptions benefits of up to Rs 4,44,200 for tax payers.
The Finance Minister also increased Service Tax and Education Cess to 14%, up from 12.36%, while announcing a slew of new premier education institutes across the country, including an AIIMS in Jammu and Kashmir and a film production institute in Arunachal Pradesh.
On the agriculture front, Jaitley allotted Rs 300 crore to the Micro Irrigation Scheme, and targeted Rs 8.5 lakh crore in farmers’ credit.
Jaitley allocated Rs. 2,46,726 crore for Defence, with a focus on Make in India for quick manufacturing of defence equipment. For the infrastructure sector, the Finance Minister allocated Rs 70,000 crore, while proposing to set up five new ‘ultra mega’ power projects.
Jaitley perhaps saved the best for social welfare, announcing a host of measures — including a social service scheme — for the common man. He said 50,000 toilets will be constructed under the Swachh Bharat Abhiyaan. He also said the government would use Rs 9,000 crore in unclaimed PPF and EPF funds for the Senior Citizens’ Fund. Jaitley announced an additional allocation of Rs 5,000 crore for the MNREGA.
Read the highlights of the Union Budget 2015 here:
