New Delhi: Finance Minister Arun Jaitley on Monday didn’t give relief to everyone and as it’s said you can’t make everyone happy – Jaitley couldn’t put a smile on everyone’s face.
Some are happy with his Budget 2016 speech and some are sad.
(Also read: Arun Jaitley’s top quotes from Budget 2016 speech )
Let’s take a look who is satisfied and who is unhappy with Jaitley’s Budget 2016 speech that he gave on Monday in Lok Sabha early in the morning.
Happy Ones Vs Unhappy Ones
Jaitley gave relief to small tax payers, nudged the affluent to shell out more while focusing on the rural economy with much higher fiscal outlays.
People living in rented houses will be eligible for deductions of up to Rs.60,000 now — up from Rs.24,000. The ceiling of tax rebate for people with an income up to Rs.500,000 per annum was raised to Rs.5,000 from the present Rs.2,000.
Jaitley also assured that the government intended to double the income of farmers in five years, besides allotting Rs.35,984 crore towards the welfare of farmers.
The proposals also included universal coverage of cooking gas in the country, with a massive mission towards this aimed at the poor people.
In this regard, he said, the government appreciated the 75 lakh middle class and lower middle class families for willingly giving up cooking gas subsidy.
In the health sector, a new scheme will provide medical cover up to Rs.1 lakh per family, Jaitley said.
The unhappy ones are the large tax payers who couldn’t escape Jaitley’s financial eye.
The income tax surcharge of 12% at present was hiked to 15% for incomes exceeding Rs.1 crore per annum. Jaitley didn’t leave the highest tax payers with only red faces. To give them a bit of relief, he assured that suitable changes would also be made in the customs and excise duty rates to push the “Make in India” programme.
“Tax evasion will be countered strongly,” he warned.
But in a major departure from the past, where government expenditure could be demarcated between productive and administrative expenses, the finance minister said the classification of plan and non-plan will be done away with from 2017-18.