Presented By :

devvrat tiwari
FINANCIAL BUDGET 2014 - 15
06- 09- 2014 1
CONTENT
FINANCIAL BUDGET (INTRO)

SAILENT FEATURES

BUDGET FINANCIALS

BUDGET PROPOSALS
DIRECT TAX
INDIRECT TAX
OTHER KEY POLICY INITIATIVES

RECENT POLICY CHANGES

ANALYSIS OF BUDGET

OUR PERCEPTION
06- 09- 2014 2
FINANCIAL BUDGET?
ANNUAL FINANCIAL STATEMENT

INTERIM BUDGET

PRESENTED BY
06- 09- 2014 3
SAILENT FEATURES
100 SMART CITY

IRRIGATION

EDUCATION
IIM
IIT
AIIMS
12 NEW GOVT MEDICAL COLLEGE

AIRPORT


06- 09- 2014 4
CONT
DIGITAL INDIA

SPORTS

CLEAN GANGA PROJECT

RAILWAYS


06- 09- 2014 5
BUDGET FINANCIALS

11%
20%
10%
12%
11%
18%
3%
15%
11%
Where the rupee goes to
Central plan
Interest payment
Defence
Subsidies
Other non plan
expenditure
States's share of
taxes and duties
Non plan assistance
to state and UT
Plan assistance to
state and UT
Governments
24%
21%
13%
9%
9%
10%
10%
3% 1%
Where the rupee comes from
Borrowings and other
liabilities
Corporation tax
Income tax
Customs
Union excise duties
Service tax and others
Non tax revenue
Non debt capital
receipts
Draw down of cash
balance
06- 09- 2014 6
CONT
RADIO STATIONS (100 Cr.)

KISAN TV (100 Cr.)

METRO PROJECT (100 Cr.)

MODERNIZATION OF MADARSAS (100 Cr.)
06- 09- 2014 7
CONT
AGRICULTURE RESEARCH INSTITUTE (100 Cr.)

AGRICULTURE CREDIT (8,00,000 Cr.)

WAREHOUSE INFRASTRUCTURE (5,000 Cr.)


06- 09- 2014 8
BUDGET PROPOSALS

Income ( Rs) Rate (%)
0 - 2,50,000 Nil
2,50,001 - 5,00,000 10%
5,00,001 - 10,00,000 20%
10,00,001 - above 30%
DIRECT TAX
INDIVIDUAL BELOW 60 INCLUDING WOMAN ASSESSEES
06- 09- 2014 9
SENIOR CITIZENS (60-80 YEARS OF AGE)

INCOME TAX RATE
Rs.3,00,000 NIL
Rs.3,00,001 Rs.5,00,000 10%
Rs.5,00,001 Rs.10,00,000 20%
ABOVE Rs.10,00,000 30%
06- 09- 2014 10
SUPER SENIOR CITIZEN (80 AND ABOVE)

INCOME TAX RATE
UPTO 5,00,000 NIL
5,00,001 10,00,000 20%
10,00,001 & ABOVE 1,00,000 + 30%
(EXCEEDING 10,00,000)
06- 09- 2014 11
INDIRECT TAX
CUSTOMS DUTY
STEEL INDUSTRY (5% TO 7.5%)
MACHINERY AND EQUIPMENT (5%)
METALLURGICAL COKE (NIL 2.5%)
BAUXITE (10% - 20%)
ELECTRONICS (LCD AND LED): 10% - NIL
FOOTWEAR (12% - 6%) (retail price exceeding 500/pair not exceeding
1000/pair)


06- 09- 2014 12
INDIRECT TAX
SERVICE TAX
AIRPORT : (13 more in respect of all export good)
SEA PORT : (14 more in respect of specified import and export good)
TAX PROPOSAL (estimated 7525 Rs )

06- 09- 2014 13
ECONOMIC INITIATIVES
FDI

BANK CAPITALIZATION (2,40,000 Cr)

PSU CAPITAL EXPENDDITURE (2,47,941 Cr)

SC/ST (50,548 Cr in SC plan and 32,387 Cr under TSP)

SENIOR CITIZEN (VARISHTHA PENSION BIMA YOJNA)
06- 09- 2014 14
CONT
WOMEN SAFTY IN LARGER CITY (150 Cr.)

SWACHH BHARAT ABHIYAN

PANDIT MADAN MOHAN MALVIYA NEW TEACHERS
TRAINING PROGRAMME (500 Cr)

SHORT TERM COOPERATIVE RURAL CREDIT (50,000 Cr)
06- 09- 2014 15
CONT
TEXTILE MEGA-CLUSTER

4PS (PPPP)

HARBOUR PROJECT

NHAI

ULTRA MEGA SOLAR POWER PROJECT


06- 09- 2014 16
CONT
NORTH EAST STATES
ORGANIC FARMING (100 Cr.)
RAIL CONNECTIVITY (1000 Cr.)

STATE POLICE FORCE (3000 Cr.)

BORDER INFRASTRUCTURE (2200 Cr.)

KASHMIR MIGRANTS REBUILDING (500 Cr.)
06- 09- 2014 17
PAST VS. PRESENT
GDP TRENDS AND FORCAST
SECTOR 2011-12 2012-13 2013-14 2014-15*
AGRICULTU
RE
5.0% 1.4% 4.7% 3.3%
INDUSTRIE
S
7.8% 1.0% 0.4% 3.3%
SERVICES 6.6% 7.0% 6.8% 7.0%
GDP TOTAL 6.7% 4.5% 4.7% 5.4% - 5.9%
06- 09- 2014 18
FISCAL DEFICIT
YEAR 2010-11 2011-12 2012-13 2013-14 2014-15
ESTIMATED
FISCAL
DEFICIT
4.9% 5.7% 4.9% 4.5% 4.1%
06- 09- 2014 19
DOMESTIC
COMPANY
TAXABLE INCOME TAX
RATE
SURCH
ARGE
EDU.
CESS
EFFECT
IVE
RATE
DOMESTIC
COMPANY
>THAN 1Crore AND
UPTO 10Crore
30 5 3 32.44
DOMESTIC
COMPANY
>THAN 10Crore 30 10 3 33.99
OTHER
THAN
DOMESTIC
COMPANY
>THAN 1Crore AND
UPTO 10Crore
40 2 3 42.02
06- 09- 2014 20
DOMESTIC
COMPANY
TAXABLE INCOME TAX
RATE
SURCH
ARGE
EDU.
CESS
EFFEC
TIVE
RATE
OTHER
THAN
DOMESTIC
COMPANY
>THAN 10Crore 40 5 3 43.26
MAT FOR
COMPANIES
ADJUSTED BOOK
PROFITS > THAN 1Crore
AND UPTO 10Crores
18.5 5 3 20.01
MAT FOR
COMPANIES
ADJUSTED BOOK
PROFITS > THAN 10Crores
18.5 10 3 20.96
06- 09- 2014 21
OUR PERCEPTION

06- 09- 2014 22
WHAT TO BUY AND WHAT TO AVOID !
06- 09- 2014 23