Information Madness

So the India Budget 2009 is out. Finance Minister Mr. Pranab Mukherjee presented Union Budget 2009-10 in Lok Sabha. What it means for common man in India? Well here is some points that you will find it helpful.

The basic exemption limit now increased to INR 160,000 from INR 150,000 for all taxpayers (other than women below the age of sixty-five, in which case, the basic exemption limit increased at INR 190,000).

Basic threshold limit for senior citizens has been increased to INR 240,000.

There won't be any 10% surcharge for individual tax payers which was applicable on individuals having taxable income over INR 1 million.

There has been no increase in the amount of permissible deduction which remains pegged at INR 100,000.  People earning income other than salary, the requirement to pay advance tax now arises at INR 10,000 instead of the earlier limit of INR 5,000.

 

 

Limit for wealth tax is now increased to INR 3 million from INR 1.5 million.

Stock options would now get taxed as a ‘perquisite’ on the date of exercise.

There will be no Fringe Benefit Tax (FBT) so if your company gives you car and/or driver, you will be paying taxes on that from your pocket and not your company.

Tax deduction on medical treatment and maintenance of disabled has been increased from INR 75,000 to INR 100,000. This deduction is available only in case of severe disability though.

- Agriculture debt waiver extended by six months

- Allocation for Bharat Nirman scheme increased by 45 percent

- Rs.20,000 crore for rural housing

- Rural electrification scheme to get Rs.7,000 crore more

- Agriculture development fund increased from Rs.2.87 lakh crore to Rs.3.25 lakh crore

- Allocation for urban poor schemes to be raised to Rs.39,730 crore

- Duties on life saving drugs reduced - Banking services in under-banked areas to be increased, scheme allocated Rs.100 crore

Keep checking for up to date information on India Budget 2009 for common man..