-
The new income tax
rates will be Rs 100000 NIL tax; Rs 1 to Rs 1.5 lakh 10% tax;
Rs 1.5 to Rs 2.5 lakh 20%; above Rs 2.5 lakh 30%
-
10 per cent service
charge will be applicable on income beyond Rs.10 lakh instead
of present Rs.8.5 lakh.
-
Conveyance and canteen
allowance to be outside the tax net but all other perks given
by employers to employees as a collective benefit will be taxed
at 30 per cent. This new tax will be called Fringe Benefit Tax
and will be levied on employers.
-
Six exemptions including
interest payments on housing loan on self-occupied and medical
insurance premium will be continued.
-
Corporate income
tax for domestic companies reduced to 30 per cent. The 10 per
cent surcharge continues.
-
Minimum Alternate
Tax will continue.
-
100 per cent tax
deduction for companies carrying out scientific research.
-
Exemption of withholding
tax on leasing of aircraft or aircraft engines from foreign
companies extended till September 30 this year, following request
from Air India and Indian Airlines.
-
Securities transaction
tax raised from 0.15 per cent to 0.2 per cent.
-
Mobile and telephone
to be removed as criteria for income tax return filing.
-
New criteria, electricity
bill above Rs 50,000 per annum; tax on withdrawal of Rs 10,000
in a day to be 0.01%.
-
Corporate tax cut
by 3% (repeat 3%): Domestic companies: 30%, 10% surcharge
-
Threshold level for
women Rs 1.25 lakh and for senior citizens Rs 1.5 lakh.
-
Standard reduction
on income tax removed.
-
Cess on petrol and
diesel has been raised by 50 paise which will be exclusively
earmarked for national highway development programme.
-
16% excise on iron
and steel
-
Zero per cent customs
and excise duties on LPG for domestic use and kerosene
-
Vanaspati: 1% surcharge
abolished.
-
Tax for SSI: cealing
SSI increased from Rs 3 crore to Rs 4 crore.
-
Tea: 1% surcharge
abolished.
-
Imitation jewellery:
Excise to be reduced to 8%. 2% tax to be levied on expensive
jewellery and branded jewellery. No extra tax on unbranded jewellery.
-
CENVAT on polyester
filament yarn, tyres and radiators to be reduced.
-
IT software will
be expemted from CVT
-
30% to 60 % duty
increased for cut flowers
-
Pharma & biotech:
Customs duty on 9 spec items reduced.
-
Printing presses:
Customs duty cut from 20% to 10%
-
Customs duties cut
from 20% to 10% on footwear
-
Customs duties cut
from 20% to 5% on lead
-
Customs duties cut
from 20% to 10% on refrigerated vans
-
Customs duties on
textile machinery cut to 10% from 20%
-
Customs duty structure:
Peak rate reduced to 15% from 20% on non-agri goods.
-
Twelfth Finance Commission's
recommendations would cost the exchequer Rs 26,000 crore in
2005-06. VAT to be implemented from April 1, 2005
-
Total revenue receipts
of the govt: Rs 35,120 crore
-
Non-Plan expenditure
at Rs 37,847 crore.
-
Fiscal correction:
Revenue deficit to be at 2.7% of the GDP at the end of the year
-
New AIIMS to be launched
-
Govt to raise plan
expenditure by 25.5% in FY 06
-
1 cr to be employed
in irrigation schemes
-
New schools for minority
areas
-
2000 Rajiv Gandhi
fellowships for SC/ST
-
Plan expenditure
to be by 25.5%
-
Rs 1000 cr for irrigation
-
Rs 60,000 lakh for
houses to poor
-
Telephone for 66,220
villages
-
Rs 30,000 cr for
Textile sector
-
Rs 50 crore for Agriculture
research
-
Life insurance scheme
to cover 20 lakh weavers in 2 yrs
-
Rs 150 cr R &
D corpus to be hiked
-
Sugar industries
: Interest rate to be lowered for outstanding loan
-
SME development bill
to be introduced
-
Public-pvt partnership
to develop skills of ITIs
-
NHDP hiked to Rs
9320 cr
-
Indira Awaas Yogana
- 15 lakh new houses to be built
-
Rs 1500 cr viability
gap funding for core sector
-
7 mega cities plan
outlay of Rs 5500 cr in FY 06
