Highlights of Union Budget 2009

The union budget is an important financial document for the next one year. The Union budget of India lays down guidelines and pronouncements on different types of taxes, financial allocations for various heads, and developmental plans for different sectors. Budget is also an important source of information on government finances i.e. which way that’s heading.

Every year before the budget is presented; there are expectations from people all over the country; industry and the masses alike.

Union Finance Minister Pranab Mukherjee presented Union Budget 2009 in Parliament on Today (06-July-2009). Following are the highlights of the union budget of India, 2009-2010.

Highlights of The Union Budget 2009

Excise duty on fibre for cheaper cloth reduced
Service tax to be levied on law firms
Excise duty on petrol-driven small trucks reduced to 10%
Exemption of duty on goods made at construction sites restored
Drugs for heart diseases to become cheaper
Customs duty on gold and silver import increased
Mobile phone accessories to become cheaper
Branded jewellery for women to become cheaper
Customs duty on bio-diesel reduced
Tax holiday extended for textile units
Small businesses exempt from advance tax
Custom duty on LCD panels halved
Set-top boxes to cost more
Anonymous funds to charitable bodies to get some tax relief
Commodities Transaction Tax to be scrapped
MAT hiked to 15% of book profit
Fringe Benefit Tax to be scrapped
Surcharge on personal Income tax slashed by 10%
Hike in IT exemption for women to Rs 1,90,000
Hike in IT exemption to Rs 2,40,000 for senior citizens
Sales Tax model will have a Central GST and State GST
GST to come into effect from April 01, 2010
Corporate tax unchanged
New tax code to be set up in 45 days
New tax code to be set up in 45 days
Goods and Services Tax to be introduced from April 1, 2010
Govt committed to tax reforms
budget expenditure for 2009-10 will Rs 10,28,032 cr
Plan expenditure, for both Centre and States, to go up by Rs 61,000 cr
Fiscal deficit in 2009-10 is proposed at 6.8 per cent of GDP
public investment in infrastructure
Defence outlay has gone up
Rs 1,000 cr for Aila rehabilitation to West Bengal
Rs 25 cr each for AMU campuses in Murshidabad and Mallapuram
Rs 2,113 cr for IITs and NITs
Funds for GSI to enhance exploration of minerals
New pension benefits for 12 lakh jawans and JCOs
Pension of non-commissioned officers to be hiked
Allocation for rehab of Lankan Tamils
One lakh dwelling units for paramilitary forces to be built
allocation hiked to Rs 3472 crore
Allocation of Rs 50 cr to Chandigarh University
Govt to hike allocation to National Ganga Project to Rs 562 cr
One rank, one pension for ex-servicemen from July 1
Allowances to para-military forces at par with defence forces
Unique Identification ID project to roll out in 12-18 months
Unique Identification ID project to tap private talent
Allocation for NRHM to be raised by Rs 257 cr
National action plan on climate change
Full interest subsidy for students in approved institutions
Modernisation of national employment exchanges
50% cent of rural women in self-help groups
Rural mega clusters in Bengal and Rajasthan
Interest subsidy for home loans up to Rs 1 lakh
Interest subsidy on education loans
Rashtriya Mahila Kosh corpus to be raised to Rs 500 crore
Rs 2,000 cr for rural housing fund under National Housing Bank
National Mission for female literacy
NREGA allocation up 144%
Work on National Food Security scheme for subsidised food
Rs 100 cr one-time grant to expand banks in unbanking areas
Indira Awaas Yojna hiked by 63% to Rs 8,883 cr
Allocation for PM Gram Sadak Yojna up by 59 per cent
Rs 39,100 crore allocation for NREGA
Allocation for PM Gram Sadak Yojna up by 59 per cent
Rs 39,100 crore allocation for NREGA
NREGA gave employment opportunities to more than 4.47 cr households
Aadmi is the focus of all UPA’s schemes
to shift to nutrient based fertiliser subsidy regime
Banking network to be expanded
One banking centre in every bloc
Banks, insurance to stay with Govt
threshold for non-promoter public listed companies
FM recalls Indira Gandhi’s bank nationalization
Move towards energy security via Integrated Energy Act
Saral-II forms to simplify taxation process
An expert panel will look into petroleum product pricing
Domestic oil prices must be in sync with global prices
Fertiliser subsidy to go directly to farmers
Export Credit Guarantee scheme extended till March 2010
Pranab Mukherjee quotes Kautilya in Budget speech
Incentives in interest rates to farmers to pay back
Print media stimulus package extended by six months
Target for agriculture credit raised to Rs 3,25,000 cr in 2009-10
FIIs have returned to India in last few months
Storm-water drainage project fund hiked to Rs 500 cr
Blueprint for national gas grid
budget allocation to farmers
of Rashtriya Krishi Vikas Yojna stepped up by 30%
Total fiscal stimulus during ‘08-09 is Rs 1,86,000 cr
in allocation for Mumbai flood management
allocation hiked under Rajiv Awaas Yojana
Fund allocation for urban poor accommodation is 3,973,000 cr
JNNURM allocation hiked by 87 per cent
allocation up by 23 per cent
infrastructure investment to over 9% of GDP by 2014
will refinance 60% of commercial bank loans in PPP
will look at new projects
will also look at incremental lending by banks
New company IIFCL to look at infrastructure needs
Two worst quarters since September slowdown behind us
Signs of revival in the domestic industry
Fiscal stimulus gave economy a boost
Govt took 3 stimulus packages to fight slowdown
took 3 stimulus packages to fight slowdown
growth is a synergy of states and Centre
of Indian economy with rest of the world
hike in foreign capital
in goods and services doubled in 2008
economy changed in the past decade
Challenge before UPA to return to 9% growth
-energise government and reinstitutionalise development
Budget can’t solve all issues
rule of law for all citizens
for inclusive growth
the delivery mechanism for healthcare
investment in infrastructure
am deeply aware of the youth’s challenges
am conscious of people’s faith in UPA
Pranab Mukherjee begins his Budget speech

The aforementioned are primary Highlights of Union Budget 2009 presented by Finance Minister Pranab Mukherjee.

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Highlights of Union Budget 2009

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