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Highlights of Union Budget 2011-12



* Direct tax sops to result in Rs 11,500 cr net revenue loss

* Investment-linked deductions for fertilisers and developers of affordable housing

* Low withholding tax of 5% for notified infra funds

* Foreign dividend tax rate cut to 15% for Indian companies
* Total plan expenditure will go up 100% in nominal terms in the next year * Service tax unchanged at 10%

* Extension of investment on long-term infrastructure bonds by one more year

* Minimum alternate tax raised from 18% to 18.5% of book profits

* Rs. 20,000 exemption for investment in infra debt funds for another year

* Maintain standard rate of excise duty at 10 pct

* Threshold income tax limit raised from Rs 1.6 lakh to 1.8 lakh

* Financial Sector Legislative Reforms Commission, to be headed by former Supreme Court judge B Srikrishna, to complete its work in 24 months. * Propose to levy MAT on developers of SEZs

* New category for 80 yrs and above, limit is Rs 5 lakh

* MAT increased to 18.5 %

* In FY12 gross tax receipts at Rs 9.32 lakh crore: FM

* Relaxation in exit age for National Pension scheme

* Anganwadi workers' salary up from Rs 1500 to Rs 3,000/mnth; helpers to get Rs 1500

* State innovations council to be set up

* Scholarship for needy SC/ST students in class 9 and class 10

* Rs. 54 cr each to AMU Centres

* Budget allocation for Defence sector at more than 1.64 trln rupees

* Allocation of Rs. 52057cr for education sector, increase of 24%

* Health sector outlay at Rs. 26760cr, increase of 20%

* Expect 10 lakh numbers to be generated per day from 1st Oct 2011 under UID

* Propose 300 crore to modernise stamp and registration in states

* Rs. 9 lakh compensation to be given to men of Defence and Central paramilitary forces for permanent disability and discharged from service

* Budget allocation of Rs. 150 cr for Jammu for implementation of projects identified by taskforce

* Rs. 8000 cr assigned for J&K for development projects

* Funds of Rs. 25 cr and 30 cr for Naxal affected areas

* Some 20 lakh Adhaar numbers given

* To speed up justice, propose a fund of RS 1000 crore to build judicial infrastructure and develop project ethos

* Rs. 58000 cr allocation for Bharat Nirman schemes

* Increased outlay on social sector outlay

* 10 existing double taxation avoidance treaties revised

* 5-fold strategy on black money

* 15 mega food parks to be set up

* Jodhpur to be included for handicraft sector development

* Delhi metro phase 3 to be taken up

* Mortgage risk guarantee fund to be created for economically weaker sections

* Financial assistance to ongoing metro projects

* Rs. 3000 cr to NABARD for more credit flow

* Increase in target credit flow to farmers

* States must review APMC Act

* Banks have been asked to increase lending to farmers

* 40 lakh tonne storage capacity by FY12

* Infrastructure status to cold storage chains

* 24 new cold storage projects sanctioned

* Private investment in agro processing to be increased

* Discussions on to further liberalise FDI policy

* 1% interest subvention for home loans up to Rs 15 lakh

* 100 cr equity funds for micro finance companies

* Housing loan limit raised to 25 lakh for priority sector lending

* Bill to allow RBI to grant more banking licenses

* FII investment in corporate bonds hiked to 40 bn USD

* RBI guidelines for banking licenses by year-end

* Propose to form Women self help group development fund

* Economic growth rate expected at 8.75% to 9.25% in FY12

* Government to introduce GST bill amendments in this session

* Union Finance Minister aims for fiscal deficit of 3% by Financial Year 2014

* Will move to direct tax subsidy for fertiliser and kerosene

* Considering new fertilizer policy for urea

* Industrial growth seen at 8.1 percent, agriculture at 5.4 percent

* Financial Year 2012 disinvestment target is Rs 40,000 crore

* Direct transfer of kerosene, LPG subsidy to BPL people

* Showing the road to a simpler future

* Food inflation down, but still a matter of concern

* Rollout of DTC to be effective from April 1, 2002

* Finance Minister expects current account deficit to come down next year

* Shri Pranab Mukherjee expects RBI measures to moderate inflation

* Union Finance Minister Shri Pranab Mukherjee begins Budget speech in Parliament


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