Union Budget 2012-13: Highlights
The Finance Minister of India, on 16th March announced the Union-Budget 2012-13 in Lok-Sabha. For the financial year 2012, the union budget made almost everyone unhappy but for education sector, infrastructure sector and for capital markets it showed a positive aspect. The income tax burden for individuals came down but not for corporates.
The following are some of the major key highlights of the Budget 2012-13:
- Income tax exemption limit raised from Rs. 1,80,000 to Rs. 2,00,000
- 10 % tax on individuals for 2-5 lakh income
- 20 % tax on individuals for 5-10 lakh income
- 30 % tax on individuals beyond Rs.10 lakh income
- Savings bank account interest up to Rs.10,000 exempted from tax
- No change in corporate tax
- White paper on black money to be tabled
- Standard excise duty and service tax raised from 10 % to 12 %
- Tax free bonds of to fetch Rs.60,000 crore for infrastructure projects
- Rs.15,888 crore to be provided for capitalisation of PSUs and RRBs
- Launched Rajiv Gandhi Equity Savings scheme to allow tax deduction to investors in stocks
- Securities transaction tax on cash delivery lowered by 25% to 0.1%
- Govt. to raise Rs.30,000 crore from disinvestment of stake in PSUs
- Seven medical colleges to be upgraded to All India Institutes
- School education exempted from service tax
- Allocation of Rs.25,555 crore to Education sector
- Allocation of Rs.10000 crores to NABARD to fund RRBs
- Allocation of Rs.200 crore for research rewards for agriculture researchers
- Allocation Rs.24,000 crore for rural road plan
- Allocation of Rs. 193,407 crore for defence services
- Allocation of Rs.3915 crore for National Rural Livelihood mission
- Allocation of Rs.200 crore for research on climate change
- Allocation of Rs.20,000 crore for rural infrastructure developments
- Raise in custom duty on cycle parts
- No custom duty on import of tyres and aircrafts
- Hike in excise duty of cigarettes, bidis and large cars
- Excise duty on big cars raised to 12%
- TV sets and Mobile phones to get cheaper
- Branded silver to cost less