India New Budget 2009 online information.









The Union Budget of India, also called the General Budget, is the budget of the Republic of India, presented each year on the last working day of February. In the year 2009, the
New Indian Budget was presented by the Finance Minister of India in Parliament on 16th February, 2009. Budget is most economic event in the country which outlines all the economic planning of the Government of India for the next year. It is not only important for corporate but for individuals from all sections of the society.

History of Indian Budget

The first Indian Budget was presented by the India's first Finance Minister Sir R.K. Shanmugham Chetty on November 26, 1947. Since then, 28 Union Finance Ministers have been presenting the Indian Budget every year. Initially, much attention was given to the agricultural sector but as later on, the focus shifted to the other sectors including the industrial, financial and other sectors.


Highlights of Indian Budget 2009 - 2010


Finance Minister Pranab Mukherjee presentating Indian Budget 2009 - 10 in Lok Sabha. The budget speech highlights are as below:

         

  • Customs duty of 5% being levied on import of set-top boxes
  • Customs duty on gold and silver import increased
  • 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
  • Commodities Transaction Tax to be rolled back
  • Exemption of duty on goods made at construction sites restored
  • Small businesses exempt from advance tax
  • Custom duty on LCD panels halved
  • Customs duty on bio-diesel reduced
  • Tax holiday extended for textile units 
  • Mobile phone accessories to become cheaper
  • New direct tax code in 45 days
  • Set-top boxes to cost more
  • Anonymous funds to charitable bodies to get some tax relief
  • Higher public investment in infrastructure
  • One lakh dwelling units for paramilitary forces to be built
  • Total budget expenditure for 2009-10 will Rs 10,28,032 cr
  • Allocation for rehab of Lankan Tamils
  • GST to come into effect from April 01, 2010
  • Corporate tax unchanged
  • New tax code to be set up in 45 days
  • New pension benefits for 12 lakh jawans and JCOs
  • Pension of non-commissioned officers to be hiked
  • Defence outlay has gone up
  • Fringe Benefit Tax to be scrapped
  • Eliminate the surcharge on personal Income tax by 10%
  • General Sales Tax model will have a Central GST and State GST
  • Hike in IT exemption for women to Rs 1,90,000
  • Hike in IT exemption to Rs 2,40,000 for senior citizens
  • Interest subsidy on students' loans in higher education
  • Rs 25 cr each for AMU campuses in Murshidabad and Mallapuram
  • Rs 2,113 cr for IITs and NITs
  • Interest subsidy on students' loans in higher education
  • Rs 1,000 cr for Aila rehabilitation programme to West Bengal
  • Rs 1,000 cr for Aila rehabilitation programme to West Bengal
  • Govt to hike allocation to National Ganga Project to Rs 562 cr
  • Rs 7000 cr for rural electrification
  • Government to spend Rs.12K cr on rural roads in FY'10
  • Pension of non-commissioned officers to be hiked
  • Commonwealth allocation hiked to Rs 16,300 cr
  • Allowances to para-military forces at par with defence forces
  • Rice, wheat at Rs 3 per kg to the poor
  • One rank, one pension for ex-servicemen from July 1
  • 50% cent of rural women in self-help groups
  • Real wage of Rs.100/day provided under NREGA
  • NREGA gave jobs to more than 4.479 cr households
  • Unique Identification ID project to tap private talent
  • National action plan on climate change
  • Full interest subsidy for students in approved institutions
  • Modernisation of national employment exchanges
  • Allocation of Rs 50 cr to Chandigrah University
  • Rs 100 cr one-time grant to expand banks in unbanking areas
  • Allocation for PM Gram Sadak Yojna up by 59 per cent
  • Work on National Food Security scheme for subsidised food
  • Rs 100 cr one-time grant to expand banks in unbanking areas
  • Government to shift to nutrient based fertiliser subsidy regime
  • Government to introduce food security bill
  • Scheduled commercial bks can set up offsite ATM
  • Will create close to 12 million jobs
  • Institutional refo reform measures to stabilise BOP
  • Aiming for direct transfer of subsidy to farmers
  • Rs 4000cr fund to incentivise banks & SFCs to lend
  • To provide all possible relief to exporters
  • Banking network to be expanded
  • Rural mega clusters in Bengal and Rajasthan
  • Interest subsidy on education loans
  • National Mission for female literacy
  • Rural mega clusters in Bengal and Rajasthan
  • Interest subsidy for home loans up to Rs 1 lakh
  • LNG infrastructure in the country being expanded
  • One banking centre in every bloc
  • Rs 31,100 crore allocation for NREGA
  • NREGA gave employment opportunities to more than 4.479 cr households
  • Banks, insurance to stay with Government
  • Raise threshold for non-promoter public listed companies
  • Indira Awaas Yojna hiked by 63% to Rs 8,883 cr
  • Hike in allocation for Mumbai flood management
  • LNG infrastructure in the country being expanded
  • Total fiscal stimulus during '08-09 is Rs 1,86,000 cr
  • Set up a task force for farmer lending
  • Allocation of Rashtriya Krishi Vikas Yojna stepped up by 30%
  • Additional budget allocation to farmers
  • Will ensure farm sector growth at 4%
  • Need to strengthen improve regulatory framework
  • Private investment has been the key growth driver
  • FIIs have returned to India in last few months
  • Print media stimulus package extended by six months
  • Target for agriculture credit raised to Rs 3,25,000 cr in 2009-10
  • Export Credit Guarantee scheme extended till March 2010
  • Incentives in interest rates to farmers to pay back
  • Agriculture loans in time
  • Storm-water drainage project fund hiked to Rs 500 cr
  • Blueprint for national gas grid
  • IIFCL will refinance 60% of commercial bank loans in PPP
  • IIFCL will look at new projects
  • IIFCL will also look at incremental lending by banks
  • JNNURM allocation hiked by 87 per cent
  • 1% int subvention to farmers making timely payment
  • Allocation to NHAI increased by 23%
  • An expert group will look into petroleum product pricing
  • GDP grew at 6.7% in 2008-09
  • Move towards energy security via Integrated Energy Act
  • Saral-II forms to simplify taxation process    
  • Domestic oil prices must be in sync with global prices
  • Raise threshold for non-promoter public listed companies
  •  Hike infrastructure investment to over 9% of GDP by 2014
  • Fund alloction for urban poor accommodation is 3,973,000 cr
  • Housing allocation hiked under Rajiv Gandhi Rozgar Yojana
  • Trade in goods and services doubled in 2008
  • Significant hike in foreign capital
  • Need to reduce population below poverty line
  • New company IIFCL to look at infrastructure needs
  • Signs of revival in the domestic industry
  • Fiscal stimulus gave economy a boost
  • Govt took 3 stimulus packages to fight slowdown

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