India Union Budget

2009 – 2010 - HIGHLIGHTS

 Presented by

Akash Saxena
Pranab Kumar Mukherjee
The Current Finance Minister of India.

Finance Minister since Jan 24, 2009

Born on December 11, 1935

A prominent State Leader of Indian National

Congress and

The leader of the house in the Lok Sabha

06 July 2009

Recently, Mr.Mukherjee
announced Union Budget
2009-10 in Lok Sabha.
 The Budget Highlights

Ø India targets return to 9% growth

Ø
Ø 12 million new jobs each year and reduce
poverty by half by 2014.
Ø
Ø Will create close to 12 million jobs
Ø
Ø Allocation of railways increased to 15,800cr
-
 The Budget Highlights

Ø Fiscal stimulus of 1,86,000cr provided

Ø
Ø LNG infrastructure in the country being expanded
Ø
Ø Rs 3937cr for improvement of urban poor
Ø
Ø Funding to NHAI stepped up by 23%
 The Budget Highlights

Ø Allocation for Jawaharlal Nehru Urban Renewal

Mission raised by 87% to Rs.12,887 crore
Ø
Ø Tax department to work on early introduction of
Saral 2 forms
Ø
Ø Stimulus for print media extended from June 13 to
Dec 31
Ø
Ø Rs.1,000 crore to accelerate irrigation projects
 The Budget Highlights

Ø Agriculture development fund increased from

Rs.2.87 lakh crore to Rs.3.25 lakh crore
Ø
Ø Market development assistance scheme for
exporters increased by 148 percent to Rs.124 crore
Ø
Ø Pre-shipment interest subvention set at 2% for
textile exporters
Ø
Ø Will make sufficient funds for infrastructure
development
 The Budget Highlights

Ø Allocation for urban poor schemes to be raised to

Rs.39,730 crore in 2009-10
Ø
Ø Rs 2,000 crore for rural housing fund under
National Housing Bank
Ø
Ø For Indira Awas Yojana, allocation to be increased
by 63 per cent in 2009-10 to touch Rs 8,800 crore.
Ø
Ø Allocation for flagship Bharat Nirman progamme
is being raised by 45 per cent.
 The Budget Highlights

Ø NREGA coverage increased from 3.39 crore

households in 2007-08 to 4.74 crore households in
2008-09
Ø
Ø Rashtriya Mahila Kosh corpus to be raised from Rs
100 crore to Rs 500 crore
Ø
Ø National Mission for Female Literacy with
emphasis on minorities, Scheduled Castes and Scheduled
Tribes to be launched

Ø 50% of all rural women to be brought into self-

help group programmes
 The Budget Highlights

Ø Full interest subsidy for students taking courses in

approved institutions. Five lakh students to benefit.
Ø
Ø Modernisation of national employment exchanges
to be carried out.
Ø
Ø Action initiated to provide social security to
unorganised sector workers.
Ø
Ø First Unique Identification Card to citizens to roll
out in 12-18 months. Pranab proposes provision of Rs 120
crore for the project.
 The Budget Highlights

Ø Under National Action Plan on climate change,

eight national missions are being launched. For one of the
missions, National Ganga Project, Government proposes
to increase allocation to Rs 562 crore.
Ø
Ø Allocation for National Rural Health Mission to be
raised by Rs 257 crore over and above the outlay in the
interim budget.
Ø
Ø Commonwealth allocation hiked to Rs 16,300 cr
Ø
Ø Rs 2,113 cr for IITs and NITs
 The Budget Highlights

Ø Pension of non-commissioned officers to be hiked

Ø
Ø Commonwealth allocation hiked to Rs 16,300 cr
Ø
Ø Allocation of Rs 50 cr to Chandigrah University
Ø
Ø Rs 500 crore for rehabilitation of internally
displaced Tamils in Sri Lanka
 The Budget Highlights

Ø Rs 25 cr each for AMU campuses in

Murshidabad and Mallapuram
Ø
Ø Rs 2,113 cr for IITs and NITs
Ø
Ø Pension of non-commissioned officers to be hiked
Ø
Ø Rs 1,000 cr for Aila rehabilitation programme to
West Bengal
 The Budget Highlights

Ø One rank, one pension scheme for ex-

servicemen approved
Ø
Ø Goods and Services Tax to be introduced from
April 1, 2010
Ø
Ø Govt committed to tax reforms
Ø
Ø Total budget expenditure for 2009-10 will Rs
10,28,032 cr
 The Budget Highlights

Ø Plan expenditure, for both Centre and States, to go

up by Rs 61,000 cr
Ø
Ø Fiscal deficit in 2009-10 is proposed at 6.8 per
cent of GDP
Ø
Ø Higher public investment in infrastructure
Ø
Ø Defense outlay has gone up
 The Budget Highlights

Ø Direct Tax code to be released in 45 days along

with discussion paper
Ø
Ø Share of direct taxes has increased to 56 per
cent in 2008-09 over 41 per cent in 2007-08
Ø
Ø Personal income tax exemption limit for senior
citizens raised by Rs 15,000.
Ø
Ø No change in corporate tax
 The Budget Highlights

Ø Effort is to improve tax collection by eliminating

distortions in tax system and expanding the base
Ø
Ø IT exemption limit raised; Rs 50,000 for Sr.
Citizens
Ø
Ø Limit raised by Rs 10,000 for tax payers,
including women
Ø
Ø 10% surcharge on personal income tax scrapped
 The Budget Highlights

Ø Fringe Benefit Tax abolished

Ø
Ø Minimum Alternate Tax on book profits increased
to 15 per cent from 10%.
Ø
Ø Commodities Transaction Tax abolished
Ø
Ø New pension system trust exempted from
security transaction tax and dividend distribution tax
 The Budget Highlights

Ø Income tax incentives on education loans

expanded to cover vocational studies after schooling
Ø
Ø Customs duty of 5 per cent being levied on import
of set-top boxes used under Conditional Access
System
Ø
Ø Presumptive Taxation of 8 per cent on
businesses of turnover of up to Rs 40 lakh
Ø
Ø Small businesses up to Rs 40 lakh turnover
exempted from filing advance tax returns
Pranab Mukherjee, the 73
year old politician, said there
would be significant foreign
capital inflow increase and
also said that…..

“I am conscious of people's
faith in UPA."
His promises are certainly for the betterment of the
nation.

With the upcoming

budget, let’s hope to
see India growing
and reaching new
heights.