Synopsis: Union Budget 2018-2019

GENERAL:

Finance Minister says: (Partly in English and Hindi)

Indian economy is now 2.5 trillion dollar economy in the world and expected to become the fifth largest economy very soon.
We are not only focussing on 'Ease of Doing Business' but also 'Ease of Living'
Providing upto 5 lakh rupees per family per year for medical reimbursement, under National Health Protection Scheme. This will be world's largest health protection scheme
We have managed to get children to school but quality of education still a concern
Govt. to contribute 12% of EPF contribution for new employees in all sectors. Women contribution to EPF reduced to 8% for first 3 years of employment
The Minimum Support Price of all crops shall be increased to at least 1.5 times that of the production cost
Allocation for SC welfare - Rs. 56,619 cr and Rs. 39,135 cr for ST welfare
Government to take all steps to eliminate use of crypto currencies which are being used to fund illegitimate transactions
Aadhaar goes Corporate - Govt will evolve a scheme to assign a Unique ID for companies too
Revised emoluments for President - Rs. 5 lakh, Vice President - Rs. 4 lakh and Governor - Rs. 3.5 lakh
National Insurance Co, Oriental Insurance Co and United Assurance Co to be merged into one entity and subsequently listed

Education:

To improve quality of teachers, Govt to launch integrated B.Ed programme. The govt aims to move from black board to digital board in schools by 2022
Scheme for revitalizing school infrastructure, with an allocation of 1 lakh crore rupees over four years. Called RISE - Revitalizing Infrastructure in School Education
Govt will identify 1000 B-Tech students each year and provide them means to pursue PHDs in IITs and IISc
One Govt. medical college to be ensured for every 3 parliamentary constituencies by upgrading 24 district-level colleges
By 2022, every block with more than 50% ST population and at least 20,000 tribal people will have 'Ekalavya' school at par with Navodaya Vidyalas

RAILWAY:

No change in railway fares

DIRECT TAX:

Individuals:

Tax Slabs remain unchanged as below:

Income up to Rs 2.5 lakh: NIL tax
Income between Rs 2.5 - 5 lakh: Tax at 5%
Income between 5 - 10 lakh: Tax at 20%
Income above Rs 10 lakh: Tax at 30%

Standard deduction of Rs 40,000 for salaried employees in lieu of transport and medical expenses
Long-term capital gains exceeding Rs. 1 lakh to be taxed at the rate of 10%. Short term capital tax remains at 15%
For senior citizens, exemption of interest income on bank & post office deposits raised to Rs 50,000
Senior citizens to get Rs 50,000 per annum exemption for medical insurance under Sec 80D

Corporate:

25% tax rate for companies having reported turnover of upto Rs. 250 crores
100% tax deduction for the first five years to companies registered as farmer producer companies with a turnover of Rs. 100 crore and above

INDIRECT TAX: