Professional Documents
Culture Documents
Social welfare
o 1 lakh villages to be made digital villages in the next five years (will be
achieved by expanding Common Service Centres - CSCs)
o Women led development
6 Cr LPG connections
More than 70% of the beneficiaries under MUDRA Yojana are women
o 22nd AIIMS would be set up in Haryana
o Pradhan Mantri Shram Yogi Mandhan
It is a pension scheme for workers in unorganised sector
Workers earning up to ₹ 15000 per month shall receive a monthly
pension of ₹ 3000 after the age of 60
Worker at the age of 18 has to contribute ₹ 55 a month and that
above age of 29 has to contribute ₹ 100 per month
The government will match the contributions
₹ 500 Cr has been allocated in this fiscal
Tax changes
o Because of the reforms under taxation
Collections have increased from ₹ 6.3 lakh Cr (FY14) to ₹ 12 lakh Cr
this year
Number of returns filed have increased from 3.79 Cr to 6.85 Cr (i.e.
tax base has grown by 80%)
More than 1 Cr people are filing tax returns for the first time in FY18
mainly because of demonetization
o In the next two years, all the verifications and assessment of returns would
be done electronically with anonymised back office i.e. there will be personal
interface between the taxpayer and tax officer
o Individual taxpayers having annual taxable income of up to ₹ 5 lakh will be
getting a full tax rebate
By providing rebate, the tax base will be maintained
Only the middle income individuals will get the tax benefit
With additional deductions such as on home loans, persons with even
higher income will not have to pay tax. Total tax benefit of ₹ 18,500
crore to an estimated 3 Cr taxpayers.
o For salaried persons, standard deduction raised from ₹ 40,000 to ₹ 50,000
per annum (was abolished under Finance Act 2005 and reintroduced in the
Finance Act of 2018; and the amount that was allowed to deducted was ₹
40000 per annum. Earlier there was a deduction of 19200 and 15000 allowed
Financials
o Disinvestment
The government has set a target of ₹ 90000 Cr for FY20 (for FY19 the
target was ₹ 80000 Cr)
Of the targeted ₹ 80000 Cr for this fiscal, the government has been
able to raise only ₹ 36000 Cr so far
o Fiscal Deficit
The borrowings have been revised for the present fiscal to ₹ 6.34 lakh
Cr. for the next year this has been increased to ₹ ₹ 7.6 lakh Cr
FD has been brought down from 4.4% in FY15 to 3.4% in FY19. the
medium term objective of achieving the FD of 3% has been deferred
to FY21
For FY19, it has been revised to 3.4% (BE - Budgeted Estimate was
3.3%)
For FY20, the target has been set at 3.4%
This is the second year in a row that the government has missed the
FD target (for FY18, the target was 3.2%, which was revised to 3.5%)
Rating agencies such as Fitch and Moody’s has already raised
concerns related to fiscal slippages that the government would incur
in election year. This would also delay the plans to reduce the high
general government FD and debt burden