Search your Topic HERE....

February 29, 2016

Highlights of Union Budget 2016 - Pdf Download

Leave a Comment

sponsored links

Finance Minister Arun Jaitley today (29th February 2016) presented the Union Budget for the year 2016-17. This is his 3rd Union Budget. ith an eye on supporting the small tax-payer and the small investor, the Minister announced a slew of schemes, and income tax exemptions. Here are the Highlights of Union Budget 2016. You can download the PDF File from below links. All the Best :)

Download Links 

Important Points to Note about Union Budget 2016-17


  • Growth of Economy accelerated to 7.6% in 2015-16.
  • India hailed as a ‘bright spot’ amidst a slowing global economy by IMF.  Robust growth achieved despite very unfavourable global conditions and two consecutive years shortfall in monsoon by 13%
  • Foreign exchange reserves touched highest ever level of about 350 billion US dollars.  Despite increased devolution to States by 55% as a result of the 14th Finance Commission award, plan expenditure increased at RE stage in 2015-16 – in contrast to earlier years.

Nine pillars of the Budget

  1. Governance, 
  2. Ease of doing business, 
  3. Fiscal discipline, 
  4. Tax reforms, 
  5. Agriculture and farmers welfare , 
  6. Rural sector with focus on employment , 
  7. Social sector with healthcare , 
  8. Educational skills and job creation , 
  9. Infrastrucuture and Investment and financial sector reforms are the nine pillars on which the budget has been prepared.


  • Risks of further global slowdown and turbulence.
  • Additional fiscal burden due to 7th Central Pay Commission recommendations and OROP.


  • 'Transform India' to have a significant impact on economy and lives of people.
  • Government to focus on –
    • ensuring macro-economic stability and prudent fiscal management.
    • boosting on domestic demand
    • continuing with the pace of economic reforms and policy initiatives to change the lives of our people for the better.
  • Focus on enhancing expenditure in priority areas of - farm and rural sector, social sector, infrastructure sector employment generation and recapitalisation of the banks.
  • Focus on Vulnerable sections through:
    • Pradhan Mantri Fasal Bima Yojana
    • New health insurance scheme to protect against hospitalisation expenditure
    • facility of cooking gas connection for BPL families
  • Continue with the ongoing reform programme and ensure passage of the Goods and Service Tax bill and Insolvency and Bankruptcy law
  • Undertake important reforms by:
    • giving a statutory backing to AADHAR platform to ensure benefits reach the deserving.
    • freeing the transport sector from constraints and restrictions
    • incentivising gas discovery and exploration by providing calibrated marketing freedom
    • enactment of a comprehensive law to deal with resolution of financial firms
    • provide legal framework for dispute resolution and re-negotiations in PPP projects and public utility contracts
    • undertake important banking sector reforms and public listing of general insurance companies undertake significant changes in FDI policy.

Sector-wise Highlights of Union Budget 2016

  • Tax

    • Infrastructure and agriculture cess to be levied.
    • Excise duty raised from 10 to 15 per cent on tobacco products other than beedis
    • 1 per cent service charge on purchase of luxury cars over Rs. 10 lakh and in-cash purchase of goods and services over Rs. 2 lakh.
    • SUVs, Luxury cars to be more expensive. 4% high capacity tax for SUVs.
    • Companies with revenue less than Rs 5 crore to be taxed at 29% plus surcharge
    • Limited tax compliance window from Jun 1 - Sep 30 for declaring undisclosed income at 45% incl. surcharge and penalties
    • Excise 1 per cent imposed on articles of jewellery, excluding silver.
    • 0.5 per cent Krishi Kalyan Cess to be levied on all services.
    • Pollution cess of 1 per cent on small petrol, LPG and CNG cars; 2.5 per cent on diesel cars of certain specifications; 4 per cent on higher-end models.
    • Dividend in excess of Rs. 10 lakh per annum to be taxed at additional 10 per cent.
  • Personal Finance

    • No changes have been made to existing income tax slabs
    • Rs 1,000 crore allocated for new EPF (Employees' Provident Fund) scheme
    • Govt. will pay EPF contribution of 8.33% for all new employees for first three years
    • Deduction for rent paid will be raised from Rs 20,000 to Rs 60,000 to benefit those living in rented houses.
    • Additional exemption of Rs. 50,000 for housing loans up to Rs. 35 lakh, provided cost of house is not above Rs. 50 lakh.
    • Service tax exempted for housing construction of houses less than 60 sq. m
    • 15 per cent surcharge on income above Rs. 1 crore
  • Social

    • Rs. 38,500 crore for Mahtma Gandhi MGNREGA for 2016-17
    • Swacch Bharat Abhiyan allocated Rs.9,500 crores.
    • Hub to support SC/ST entrpreneurs
    • Government is launching a new initiative to provide cooking gas to BPL families with state support.
    • LPG connections to be provided under the name of women members of family: Rs 2000 crore allocated for 5 years for BPL families.
    • 2.87 lakh crore grants to gram panchayats and municipalities - a quantum jump of 228%.
    • 300 urban clusters to be set up under Shyama Prasad Mukherji Rurban Mission
    • Four schemes for animal welfare.
  • Health

    • 2.2 lakh renal patients added every year in India. Basic dialysis equipment gets some relief.
    • A new health protection scheme for health cover upto 1 lakh per family.
    • National Dialysis Service Prog with funds thru PPP mode to provide dialysis at all district hospitals.
    • Senior citizens will get additional healthcare cover of Rs 30,000 under the new scheme
    • PM Jan Aushadhi Yojana to be strengthened, 300 generic drug store to be opened
  • Education

    • Scheme to get Rs.500 cr for promoting entrepreneurship among SC/ST
    • 10 public and 10 private educational institutions to be made world-class.
    • Digital repository for all school leaving certificates and diplomas. Rs. 1,000 crore for higher education financing.
    • Rs. 1,700 crore for 1500 multi-skill development centres.
    • 62 new navodaya vidyalayas to provide quality education
    • Digital literacy scheme to be launched to cover 6 crore additional rural households
    • Entrepreneurship training to be provided across schools, colleges and massive online courses.
    • Objective to skill 1 crore youth in the next 3 years under the PM Kaushal Vikas Yojna-FM Jaitley
    • National Skill Development Mission has imparted training to 76 lakh youth. 1500 Multi-skill training institutes to be set up.
  • Energy

    • Rs. 3000 crore earmarked for nuclear power generation
    • Govt drawing comprehensive plan to be implemented in next 15-20 years for exploiting nuclear energy
    • Govt to provide incentive for deepwater gas exploration
    • Deepwater gas new disc to get calibrated market freedom, pre-determined ceiling price based on landed price of alternate fuels.
  • Investments and infrastructure

    • Rs. 27,000 crore to be spent on roadways
    • 65 eligible habitats to be connected via 2.23 lakh kms of road. Current construction pace is 100 kms/day
    • Shops to be given option to remain open all seven days in a week across markets.
    • Rs. 55,000 crore for roads and highways. Total allocation for road construction, including PMGSY, - Rs 97,000 crore
    • India's highest-ever production of motor vehicles was recorded in 2015
    • Total outlay for infrastructure in Budget 2016 now stands at Rs. 2,21,246 crore
    • New greenfield ports to be developed on east and west coasts
    • Revival of underserved airports. Centre to Partner with States to revive small airports for regional connectivity
    • 100 per cent FDI in marketing of food products produced and marketed in India
    • Dept. of Disinvestment to be renamed as Dept. of Investment and Public Asset Management
    • Govt will amend Motor Vehicle Act in passenger vehicle segment to allow innovation.
    • MAT will be applicable for startups that qualify for 100 per cent tax exemption
    • Direct tax proposals result in revenue loss of Rs.1060 crore, indirect tax proposals result in gain of Rs.20,670 crore
  • Agriculture

    • Total allocation for agriculture and farmer welfare at Rs 35984 crores
    • 28.5 lakh heactares of land wil be brought under irrigation.
    • 5 lakh acres to be brought under organic farming over a three year period
    • Rs 60,000 crore for recharging of ground water recharging as there is urgent need to focus on drought hit areas cluster development for water conservation.
    • Dedicated irrigation fund in NABARD of Rs.20.000 cr
    • Nominal premium and highest ever compensation in case of crop loss under the PM Fasal Bima Yojna.
  • Banking

    • Banks get a big boost: Rs 25,000 crore towards recapitalisation of public sector banks. Jaitley says: Banking Board Bureau will be operationalised, we stand solidly behind public sector banks.
    • Target of disbursement under MUDRA increased to 1,80,000 crore
    • Process of transfer of government stake in IDBI Bank below 50% started
    • General Insurance companies will be listed in the stock exchange
    • Govt to increase ATMs, micro-ATMs in post offices in next three years

Note : Download the PDF Version of Union Budget 2016 Highlights from here

sponsored links

0 Responses:

Post a Comment

Related Posts Plugin for WordPress, Blogger...