Can anyone share Budget 2020 Highlights?
Answer
Answer
Answer
The budget 2020 was woven around three themes, namely:
1. Aspirational India
2. Economic Development
3. Caring India
However, the budget hasn't covered much this time. The allocations under different sectors have not changed substantially, except for the transportation sector.
Important things announced for the finance sector are as follows:
1. The government has proposed to sell off its stake in IDBI Bank to the private investors.
2. The government has also proposed to increase the limits for FPIs in Corporate bonds from 9% to 15%.
3. The government also proposed to sell off it's holding in the LIC, through IPO.
4. Increased limit for the Deposit insurance and credit guarantee corp (DICGC), from Rs 1 lakh to Rs 5 lakh
The Finance Minister has announced the following changes in the Personal Income Tax:
1. Introduction of new tax regime, which would be optional for the taxpayers. However, if one chooses to be taxable under the new regime, he shall not be allowed any deduction, this means all the deduction stand withdrawn under the new regime. These are the tax slabs:
· 0-5 lakhs – No tax
· 5-7.5 lakhs – 10%
· 7.5-10 lakhs – 15%
· 10-12.5 lakhs – 20%
· 12.5- 15 lakhs – 25%
· Above 15 lakhs – 30%
2. The Dividend Distribution Tax has been completely abolished from the companies.
3. The government has announced an increase of 1 year for housing loans.
4. Tax holiday for Affordable Housing has been increased by 1 year
5. The FM emphasized the ‘Vivad se Vishwas’ scheme to reduce litigation in direct tax.
6. GST refund procedure shall be fully automated without any human intervention.
7. The FM also proposed for SMS based filing of NIL returns under GST.