Budget 2019: Full text of Nirmala Sitharaman's Budget speech (2025)

I rise to present the Budget for the year 2019-20.

PART A

2. The recent election which brought us to this august House today, was charged with brimming hope and desire for a bright and stable New IndiaIndia Bharat Varsha (Jambudvipa used in Mahavamsha) is the name of this land mass. The people of this land are Sanatan Dharmin and they always defeated invaders. Indra (10000 yrs) was the oldest deified King of this land. Manu's jurisprudence enlitened this land. Vedas have been the civilizational literature of this land. Guiding principles of this land are : सत्यं वद । धर्मं चर । स्वाध्यायान्मा प्रमदः । Read more. Like never before, India celebrated its democracyDemocracy It is commonly understood as being a political system of majority rule. The evolution of democratic tradition can be traced back to the Magna Carta (1215) and through the long struggle for Parliamentary supremacy which culminated in the English Bill of Rights of 1689, the emergence of representative political institutions in the colonial era, the development of responsible government in the 19th century. In institutional terms, democracy means that each of the provincial legislatures and the federal Parliament is elected by popular vote. These legislatures, are "at the core of the system of representative government". It is a 'power' word. Power rests with the ordinary Citizens. Only educated people understand power. A corrupt or controlled court system can cover failure of it. The religious concept is incompatible with it. Promise to spend more from the public treasury moves to Dictatorship. by coming out to vote in large numbers, like never before. Voter turnout was the highest at 67.9%. Every section – young, old, first timeTime χρόνος. Judicial: Where any expression of it occurs in any Rules, or any judgment, order or direction, and whenever the doing or not doing of anything at a certain time of the day or night or during a certain part of the day or night has an effect in law, that time is, unless it is otherwise specifically stated, held to be standard time as used in a particular country or state. (In Physics, time and Space never exist actually-“quantum entanglement”) यमः , पुं, (यमयति नियमयति जीवानां फलाफलमिति । यम् + अच् । विश्वे च कलयत्येव यः सर्व्वायुश्च सन्ततम् । अतीव दुर्निवार्य्यञ्च तं कालं प्रणमाम्यहम् ॥यमैश्च नियमैश्चैव यः करोत्यात्मसंयमम् । स चादृष्ट्वा तु मां याति परं ब्रह्म सनातनम् ॥ voters, voters since the first General Election, women – all turned up to stamp their approval of a performing Government. Through their unambiguous and firm mandate they have reaffirmed “putting the nationNation A collective consciousness, founded in ancient origin within a geographic area, with definite history and heritage, culture and way of life, language and literature, food and clothing, coupled with a deep understanding of war and peace is to be known as a nation. Rasra is the Vedic word for it. first”. The peopleMen Ανθρωποι (People), a woman (γυναίκα), Man (Ανδρας) > Adama, Manu > No proof to establish that due to mutation a monkey turned into a human being. of India have validated the two goals for our country’s future: that of national society and economic growth.
3. The first term of Hon’ble PM Narendra ModiNarendra Modi Born on the 17th of September 1950 (Gujarat’s Mehsana District from Damodardas Modi and Hiraba Modi). At the age of 17, he became RSS pracharak and on 26th May 2014, he became PM of India (BJP- MP of VARANASI constituency). He earns a salary of ₹24,00,000/- per year. Educational qualification: disputed. Marital status: deserted wife without divorce.-led-NDA-Government stood out as a performing Government, a Government whose signature was in the last mile delivery. Between 2014-19, we provided a rejuvenated Centre-State dynamic, cooperative federalism, GST Council, and a strident commitment to fiscal discipline. We had set the ball rolling for a New India, planned and assisted by the NITI Aayog, a broad based think tank. We have showed by our deeds that the principle “Reform, Perform, Transform” can succeed.
4. On many programmes and initiatives we had worked on unprecedented scale. Average amount spent on food security per year approximately doubled during 2014-19 compared to the preceding five years. NumberNumber Αριθμός of patentsPatents Like in the UK, patents for inventions can be protected for up to 20 years in India. All patent rights in India are subject to the payment of annual renewal fees after they’ve been granted. issued more than trebled in 2017-18 as against the number of patents issued in 2014. Our last mile delivery stood out and the unknown citizen in every nook and corner of our country felt the difference.
5. Mega programmes and services which we initiated and delivered during those 5 years will now be further accelerated. We shall further simplify procedures, incentivize performance, reduce red-tape and make the best use of technology just as we did earlier. I am confident we will achieve our goals. Chankaya Niti Sutra too says: “Karya purusha karena lakshyam sampadyate.” Meaning “with determined humanHuman Ο άνθρωπος (Humanum> Homo sapiens) मानव:. We have failed to consider the minimum need to be a 'human'. For Christians, human beings are sinful creatures, who need some saviour. For Evolution biology a man is still evolving, for what, we don´t know. For Buddhist Nagarjuna, the realisation of having a human body is a mere mental illusion. We are not ready to accept that a human is a computer made of meat. For a slave master, a human person is another animal, his sons and daughters are his personal property. efforts, the task will surely be completed.”

Vision for the decade

6. Our economy was at approximately US$ 1.85 trillion when we formed the Government in 2014. Within 5 years it has reached US$ 2.7 trillion. Hence, it is well within our capacity to reach the US$ 5 trillion in the next few years. In the interim Budget of 2019-20 presented in February 2019, we gave ourselves a Vision for the Decade. I flag here the ten points of our Vision laid before us:
   1. Building physical and social infrastructure;
   2. Digital India reaching every sector of the economy;
   3. Pollution free India with green Mother Earth and Blue Skies;
   4. Make in India with particular emphasis on MSMEs, Start-ups, defence manufacturing, automobiles, electronics, fabs and batteries, and medical devices;
   5. Water, water management, clean Rivers;
   6. Blue Economy;
   7. Space programmes, Gaganyan, Chandrayan and Satellite programmes;
   8. Self-sufficiency and exportExport How to export: Canada-India-USA of food-grains, pulses, oilseeds, fruits and vegetables;
   9. Healthy society – Ayushman Bharat, well-nourished women & children. Safety of citizens;
   10. Team India with Jan Bhagidari. Minimum Government Maximum Governance.
7. With this Vision set before us and with the mandate given by its people, we are determined to take India to that height that it richly deserves. I strongly believe that with the clear headed leadership of Hon’ble Prime Minister we can achieve our goalAim ambitionaspirationcoursedesideratumdesigndesiredirectionendintentintent/intentionintentionmarkobjectobjectiveplanpurposeschemetargetwhere one is headingwish.

5 Trillion Dollar Economy

8. The Indian economy will grow to become a 3 trillion dollar economyin the current year. It is now the sixth largest in the worldWorld Κόσμος. Five years ago, it was at the 11th position. In Purchasing PowerPower The amount of energy transferred or converted per unit of time. In the International System of Units, the unit of it is the watt, equal to one joule per second. The capacity of energy infrastructure is rated using watts, which indicate its potential to supply or consume energy in a given period of time. A Power-plant rated at 100 MW has the potential to produce 100 MWh if it operates for one hour. Parity terms, we are in factFact Something तथ्य (In-formation) that truly exists or happens or some-thing that has actual existence. Circumstances: a fact or event that makes a situation the way it is. Indian Evidence Act:It means and includes— (i) anything, state of things, or relation of things, capable of being perceived by the senses;(ii) any mental condition of which any person is conscious. “facts in issue” means and includes any fact from which, either by itself or in connection with other facts, the existence, non-existence, nature or extent of any right, liability or disability, asserted or denied in any suit or proceeding, necessarily follows., the 3rd largest economy already, only next to China and the USA.
9. To attain this and more we need to continue undertaking many structural reforms. In the last five years, we saw many big reforms in particular, in indirect taxation, bankruptcy and real estate. While these reforms were happening here in the Parliament, the common man’s life was being changed through MUDRA loans to help him do his business, and through several programmes it was being ensured that his/her kitchen had become smokeless, his/her house got electricityElectricity A means of transferring energy from one place to another, generally in a form that is more useful for converting energy into services such as lighting, heating or transport. The means of moving electricity is usually an electric circuit in which an electric charge is made to flow along a closed path, for example within a cable. Use of electricity by consumers to provide energy services does not create greenhouse gas emissions or air pollution at the point of use, although the generation of the electricity may do so. connection and women’s dignityDignity αξιοπρέπεια > The basic dignity of a human has been protected by the Constitution and other Human rights Laws. If a man fails to provide it to another man, then he disrespects his existence and standing. was respected with the provision of toilets in homes. The common man was served even as major transformational reforms were being rolled out. And for this to continue we need to invest heavily in infrastructure, in digital economy and on job creation in small and medium firms.
10. Respected Speaker Sir, it took over 55 years for the Indian economy to reach 1 trillion dollar but when the country and her people’s hearts are filled with aasha, vishwas and aakansha that is, when hearts are filled with hope, trustTrust It originated and was reduced to practice under the jurisdiction of courts by the civil law, was expanded and developed in the courts of chancery, and has been employed in nearly every field of human activity. The fundamental nature of a trust is the division of title, with the trustee being the holder of legal title and the beneficiary that of equitable title. By definition, the creation of a trust must involve a conveyance of property. > Trust Deed ∫ Having trust/faith/confidence in something and aspirations, we, in 5 years, added 1 trillion dollar. Today we are nearing a 3 trillion dollar level. So when we aspire to reach a 5 trillion dollar level, many wonder if it is possible. If we can appreciate our citizens’ “purusharth” or their “goals of human pursuit” filled with their inherent desire to progress led by the dedicated leadership present in this House, the target is eminently achievable.
11. All of India’s private sectorPrivate Sector The term means all persons or entities in the United States, including individuals, partnerships, associations, corporations, and educational and nonprofit institutions, but shall not include State, local, or tribal governments. [CONGRESSIONAL BUDGET ACT OF 1974] industriesIndustries A group of productive organizations or companies, participate in economic activities, and GDP >High-technology,Petroleum,Steel,Motor vehicles,Aerospace,Telecommunications,Chemicals,Electronics,Agribusiness,Food processing,Information technology,Artificial intelligence,Consumer goods,Lumber,Retail,Healthcare,Financial services,Mining,Renewable energy,Quantum computing,Space technology,Defence,Biotechnology,Pharmaceutical, – small, medium or large – have played a substantial role in growing our economy. I recall the words of an eminent industryIndustries A group of productive organizations or companies, participate in economic activities, and GDP >High-technology,Petroleum,Steel,Motor vehicles,Aerospace,Telecommunications,Chemicals,Electronics,Agribusiness,Food processing,Information technology,Artificial intelligence,Consumer goods,Lumber,Retail,Healthcare,Financial services,Mining,Renewable energy,Quantum computing,Space technology,Defence,Biotechnology,Pharmaceutical, leader, who said that his company’s growth has always aligned itself with India’s growth, before and post-independence. So if before-independence, India Inc. understood ‘Swadeshi’,today they understand ‘Make in India’. We do not look down upon legitimate profit-earning. Gone are the days of policy paralysis and license-quota-control regimes. India Inc. are India’s job-creators. They are the nation’s wealth-creators. Together, with mutual trust, we can gain, catalyze fast and attain sustained national growth. I wish to propose a number of initiatives as part of a framework for kick-starting the virtuous cycle of domestic and foreign investments.
12. Connectivity is the lifeblood of an economy. The Government has given a massive push to all forms of physical connectivity through Pradhan Mantri Gram Sadak Yojana, industrial corridors, dedicated freight corridors, Bhartamala and Sagarmala projects, Jal Marg Vikas and UDAN Schemes. While the industrial corridors would improve infrastructure availability for greater industrial investment in the catchment regions, the dedicated freight corridors would mitigate the congestion of our railway network benefitting the common man. The ambitious programme of Bharatmala would help develop national road corridors and highways, while Sagarmala would enhance port connectivity, modernization and port-linked industrialization. If Sagarmala is aimed at improving the infrastructure for external trade, equally it is the poor man’s transport too. Waterways are proven as a cheap mode of transport. The Jal Marg Vikas project for capacity augmentation of navigation on National Waterways is aimed at smoothening internal trade carried through inland water transport. These initiatives will improve logistics tremendously, reducing the cost of transportation and increasing the competitiveness of domestically produced goods.
13. The UDAN Scheme is providing air connectivity to smaller cities and enabling the common citizens of our country to avail air travel. All these programmes are also helping bridge the rural-urban divide.
14. As the world’s third largest domestic aviation market, the time is ripe for India to enter into aircraft financing and leasing activities from Indian shores. This is critical to the developmentDevelopment ανάπτυξη of a self-reliant aviation industry, creating aspirational jobs in aviation finance, besides leveraging the business opportunities available in India’s financial Special Economic Zones (SEZs), namely, International Financial Services Centre (IFSC). Government will implement the essential elements of the regulatory roadmap for making India a hub for such activities.
15. For providing an enabling ecosystem for growth in India of Maintenance, Repair and Overhaul (MRO) industry, it is proposed to leverage India’s engineering advantage and potential to achieve self-reliance in this vital aviation segment. Government will adopt suitable policy interventions to create a congenial atmosphere for the development of MRO in the country.
16. The New Metro Rail Projects for a total route length of 300 kilometers have been approved during 2018-19. Also, during 2019, about 210 kms metro lines have been operationalized. With this, 657 kms of Metro Rail network has become operational across the country.
17. India’s first indigenously developed payment ecosystem for transport, based on National Common Mobility Card (NCMC) standards, was launched by Hon’ble Prime Minister in March, 2019. This will enable people to pay multiple kinds of transport charges, including metro services and toll tax, across the country. This inter-operable transport card runs on RuPay card and would allow the holders to pay for their bus travel, toll taxes, parking charges, retail shopping and even withdraw moneyMoney Χρήματα, νόμισμα (currency), Old French monoie, Pecunia, Money supply, Reserve money, Monetary System, Money-laundering, Electronic Money, Money Transfer, Promissory notes. Coin of Alexander (330 B.C.E). Dematerialized form is Paper Currency( In USA 1600 CE and in 1861 in India). Money makes men. Balance of Payments, Net borrowing. Euro, Dollar, INR..
18. Phase-II of FAME Scheme, following approval of the Cabinet with an outlay of `10,000 croreCrore एक करोड़: It denotes ten million (₹ 10,000,000) and is equal to 100 lakh in the Indian numbering system. 100 crores = 1 billion (1000 million) for a period of 3 years, has commenced from 1st April, 2019. The main objective of the Scheme is to encourage faster adoption of Electric vehicles by way of offering upfront incentive on purchase of Electric vehicles and also by establishing the necessary charging infrastructure for electric vehicles. Only advanced battery and registered e-vehicles will be incentivized under the Scheme with greater emphasis on providing affordable & environment friendly public transportation options for the common man.
19. The Government will carry out a comprehensive restructuring of National Highway Programme to ensure that the National Highway Grid of desirable length and capacity is created using financeable model. After completing the Phase 1 of Bharatmala, in the second Phase, States will be helped to develop State road networks.
20. We need to develop our inland waterways to shift a significant portion of inland cargo movement from road and rail. This Government envisions using the rivers for cargo transportation, which will also help to decongest roads and railways. As part of the Jal Marg Vikas Project for enhancing the navigational capacity of Ganga, a multi modal terminal at Varanasi has become functional in November 2018 and two more such terminals at Sahibganj and Haldia and a navigational lock at Farakka would be completed in 2019-20. The movement of cargo volume on Ganga is estimated to increase by nearly four times in the next four years. This will make movement of freight, passenger cheaper and reduce our import bill.
21. It is estimated that Railway Infrastructure would need an investment of ` 50 lakh crores between 2018-2030. Given that the capital expenditureCapital expenditure Cost of developing and constructing a fixed asset such as a power plant or grid infrastructure. Typically incurred before the asset enters operation. Includes the purchase cost of hardware and land, plus the project costs of delivery, installation, logistics and regulatory expenses, such as permitting. Excludes the cost of capital. outlays of Railways are around 1.5 to 1.6 lakh crores per annum, completing even all sanctioned projects would take decades. It is therefore proposed to use Public-Private Partnership to unleash faster development and completion of tracks, rolling stock manufacturing and delivery of passenger freight services.
22. To take connectivity infrastructure to the next level, we will build on the successful model in ensuring power connectivity – One Nation, One Grid – that has ensured power availability to states at affordable rates. I propose to make available a blueprint this year for developing gasWind Ανεμος . वायुः पुं > Similar श्वसनः स्पर्शनः मातरिश्वा सदागतिः पृषदश्वः गन्धवहः गन्धवाहः अनिलः आशुगः समीरः मारुतः मरुत् जगत्प्राणः समीरणः नभस्वान् वातः पवनः पवमानः प्रभञ्जनः अजगत्प्राणः खश्वासः वाहः धूलिध्वजः फणिप्रियः वातिः नभःप्राणः भोगिकान्तः स्वकम्पनः अक्षतिः कम्पलक्ष्मा शसीनिः आवकः हरिः वासः सुखाशः मृगवाहनः सारः चञ्चलः विहगः प्रकम्पनः नभःस्वरः निश्वासकः स्तनूनः पृषतांपतिः । Vedic Deity. Solar wind is a stream of charged particles, consists mostly of electrons and protons with energies (1 keV). Pranayama= controlling breathe. grids, water grids, i-ways, and regional airports.
23. The recommendations of the High Level Empowered Committee (HLEC) on retirement of old & inefficient plants, and addressing low utilisation of Gas plant capacity due to paucity of Natural Gas, will also be taken up for implementation now.
24. Our Government launched Ujjwal DISCOM Assurance Yojana (UDAY) in 2015 aimed at financial and operational turnaround of DISCOMs. Government is examining the performance of the Scheme and it will be further improved. We will work with the State Governments to remove barriers like cross subsidy surcharges, undesirable duties on open access sales or captive generation for Industrial and other bulk power consumers. Besides these structural reforms, considerable reforms are needed in tariff policy. A package of power sector tariff and structural reforms would soon be announced.
25. It is proposed that several reform measures would be taken up to promote rental housing. Current Rental Laws are archaic as they do not address the relationship between the Lessor and the Lessee realistically and fairly. A Model Tenancy LawLaw νόμος: Positive command of sovereign or divine. One can be ruled either by a Statute, a Statue, or a Statement. Legislation is the rule-making process by a political or religious organisation. Physics governs natural law. Logical thinking is a sign of a healthy brain function. Dharma is eternal for Sanatanis. Judiciary > Show me the face, and I will show you the law. Some people know how to bend the law rather than break it. will also be finalized and circulated to the States.
26. Large public infrastructure can be built on land parcels held by Central Ministries and Central Public Sector Enterprises all across the country. Through innovative instruments such as joint development and concession, public infrastructure and affordable housing will be taken up.
27. For ease of access to credit for MSMEs, Government has introduced providing of loans upto `1 crore for MSMEs within 59 minutes through a dedicated online portal. Under the Interest Subvention Scheme for MSMEs, ` 350 crore has been allocated for FY 2019-20 for 2% interest subvention for all GST registered MSMEs, on fresh or incremental loans.
28. Government payments to suppliers and contractors are a major source of cashMoney Χρήματα, νόμισμα (currency), Old French monoie, Pecunia, Money supply, Reserve money, Monetary System, Money-laundering, Electronic Money, Money Transfer, Promissory notes. Coin of Alexander (330 B.C.E). Dematerialized form is Paper Currency( In USA 1600 CE and in 1861 in India). Money makes men. Balance of Payments, Net borrowing. Euro, Dollar, INR. flow, especially to SMEs and MSMEs. Investment in MSMEs will receive a big boost if these delays in payment are eliminated. Government will create a payment platform for MSMEs to enable filing of bills and payment thereof on the platform itself.
29. Encouraged by the overwhelming response, the Government of India has decided to extend the pension benefit to about three crore retail traders & small shopkeepers whose annual turnover is less than `1.5 crore under a new Scheme namely Pradhan Mantri Karam Yogi Maandhan Scheme. Enrolment into the Scheme will be kept simple requiring only AadhaarAadhaar A 12 digit individual identification number issued by the Unique Identification Authority of India on behalf of the Government of India. Aadhaar Enabled Services is services provided by an Authentication User Agency to Aadhaar Holder, using the Aadhaar Authentication Services of UIDAI. Aadhaar Seeding means linking Aadhaar holder’s Unique 12 digit AADHAAR number with their Personal Identification Documents or Benefit Cards. and a bank account and rest will be on self-declaration.
30. We recognize that investment-driven growth requires access to low cost capitalMoney Χρήματα, νόμισμα (currency), Old French monoie, Pecunia, Money supply, Reserve money, Monetary System, Money-laundering, Electronic Money, Money Transfer, Promissory notes. Coin of Alexander (330 B.C.E). Dematerialized form is Paper Currency( In USA 1600 CE and in 1861 in India). Money makes men. Balance of Payments, Net borrowing. Euro, Dollar, INR.. It is estimated that India requires investments averaging ` 20 lakh crores every year (USD 300 billion a year). A number of measures are proposed to enhance the sources of capital for infrastructure financing:

• A Credit Guarantee Enhancement CorporationCorporation A legally established entity that can enter into contracts, own assets and incur debt, as well as sue and be sued—all separately from its owner(s). The term covers both for-profit and nonprofit corporations and includes nonstock corporations, incorporated membership organizations, incorporated cooperatives, incorporated trade associations, professional corporations and, under certain circumstances, limited liability companies. for which regulations have been notified by the RBI, will be set up in 2019-20.
• An action plan to deepen the market for long term bonds including for deepening markets for corporate bond repos, credit default swaps etc., with specific focus on infrastructure sector, will be put in place.
• It is proposed to permit investments made by FIIs/FPIs in debt securities issued by Infrastructure Debt FundFund The term refers to assets of every kind, whether corporeal or incorporeal, tangible or intangible, movable or immovable, however acquired, and legal documents or instruments in any form, including electronic or digital, evidencing title to, or interest in, such assets. – Non-Bank Finance Companies (IDF-NBFCs) to be transferred/sold to any domestic investor within the specified lock-in period.

31. Corporate Debt markets are crucial for the infrastructure sector. Given the need to further deepen bond markets, a number of measures are proposed to be taken up:-

• To deepen the Corporate tri-party repo market in Corporate Debt securities, Government will work with regulators RBI/SEBI to enable stock exchanges to allow AA rated bonds as collaterals.
• User-friendliness of trading platforms for corporate bonds will be reviewed, including issues arising out of capping of International Securities Identification Number (ISIN).

32. It is right time to consider increasing minimum public shareholding in the listed companies. I have asked SEBI to consider raising the current threshold of 25% to 35%.
33. As a key source of capital to the Indian economy, it is important to ensure a harmonized and hassle free investment experienceExperience εμπειρία for Foreign Portfolio Investors. Hence, it is proposed to rationalize and streamline the existing KnowKnowledge Knowledge is derived from the process of an informed person integrating data from sense organs or intuition into their psyche. This concept is explored in the Vedic Nasadiya Sukta, which questions the possibility of ultimate truth or knowledge. In different languages, such as Greek, Latin, Sanskrit, and Chinese, knowledge is expressed as "η γνώση," "Scientia," "ज्ञानम्‌ ," and "知识 Zhīshì," respectively. Your Customer (KYC) norms for FPIs to make it more investor friendly without compromising the integrity of cross-border capital flows.
34. It is time to take our capital markets closer to the masses and meet various social welfare objectives related to inclusive growth and financial inclusion. I propose to initiate steps towards creating an electronic fund raising platform – a social stock exchange – under the regulatory ambit of Securities and Exchange Board of India (SEBI) for listing social enterprises and voluntary organizations working for the realization of a social welfare objective so that they can raise capital as equity, debt or as units like a mutual fund.
35. It is important to get retail investors to invest in treasury bills and securities issued by the Government. Efforts made by the Reserve Bank will need to be supplemented with further institutional development using stock exchanges. For this purpose, inter-operability of RBI depositories and SEBI depositories would be necessary to bring about seamless transfer of treasury bills and government securities between RBI and Depository ledgers and for enabling this. The Government will take up necessary measures in this regard in consultation with RBI and SEBI.
36. FDI inflows into India have remained robust despite global headwinds. Global Foreign Direct Investment (FDI) flows slid by 13% in 2018, to US$ 1.3 trillion from US$ 1.5 trillion the previous year – the third consecutive annual decline, according to UNCTAD’s World Investment Report 2019. India’s FDI inflows in 2018-19 remained strong at US$ 64.375 billion marking a 6% growth over the previous year. I propose to further consolidate the gains in order to make India a more attractive FDI destination:
    1. The Government will examine suggestions of further opening up of FDI in aviation, media (animation, AVGC) and insurance sectors in consultation with all stakeholders.
    2. 100% Foreign Direct Investment (FDI) will be permitted for insurance intermediaries.
    3. Local sourcing norms will be eased for FDI in Single Brand Retail sector.
37. It is high time India not only gets integrated into global value chain of production of goods and services, but also become part of the global financial system to mobilise global savings, mostly institutionalized in pension, insurance and sovereign wealth fundsFund The term refers to assets of every kind, whether corporeal or incorporeal, tangible or intangible, movable or immovable, however acquired, and legal documents or instruments in any form, including electronic or digital, evidencing title to, or interest in, such assets.. The Government is contemplating organizing an annual Global Investors Meet in India, using National Infrastructure Investment Fund (NIIF) as the anchor, to get all three sets of global players-top industrialists/corporate honchos, top pension/insurance/sovereignwealth funds and top digital technology/venture funds.
38. An important determinant of attracting cross-border investments is availability of investible stock to the Foreign Portfolio Investors (FPIs). This issue assumes greater significance in view of the gradual shift, from stock targeted investments, towards passive investment whereby funds track global indices composition of which depends upon available floating stock. Accordingly, I propose to increase the statutory limit for FPI investment in a company from 24% to sectoral foreign investment limit with option given to the concerned corporates to limit it to a lower threshold. FPIs will be permitted to subscribe to listed debt securities issued by ReITs and InvITs.
39. Even though India is the world’s top remittance recipient, NRI investment in Indian capital markets is comparatively less. With a view to provide NRIs with seamless access to Indian equities, I propose to merge the NRI-Portfolio Investment Scheme Route with the Foreign Portfolio Investment Route.
40. New and innovative financial instruments have been launched in the last five years like Infrastructure Investment Trusts (InvITs), Real Estate Investment Trusts (REITs) as well as models like Toll-Operate-Transfer (ToT) as part of the brownfield asset modernization strategy for augmenting infrastructure investment. India has had a reasonable success in brownfield asset monetization and several InvITs and one REIT transaction have already been completed. Additionally, NHAI carried out one ToT transaction as well. The cumulative resources garnered through these instruments and model exceed ` 24,000 crore.
41. India has emerged as a major space power with the technology and ability to launch satellites and other space products at globally low cost. Time has come to harness this ability commercially. A Public Sector Enterprise viz. New Space India Limited (NSIL) has been incorporated as a new commercial arm of Department of Space to tap the benefits of the Research & Development carried out by ISRO. The Company will spearhead commercialization of various space products including production of launch vehicles, transfer to technologies and marketing of space products.

Grameen Bharat/Rural India

42. Mahatma Gandhi said, “The soulSoul Abraham, having wept a short time over his wife’s body, soon rose up from the corpse; thinking, as it should seem, that to mourn any longer would be inconsistent with that wisdom by which he had been taught that he was not to look upon death as the extinction of the soul, but rather as a separation and disjunction of it from the body, returning back to the region from whence it came; and it came, from God. (Philo) न जायते म्रियते वा कदाचिन्-नायं भूत्वा भविता वा न भूयः-अजो नित्यः शाश्वतोयं पुराणो-न हन्यते हन्यमाने शरीरे (Gita 2.20 ) of India lives in its villages”. This year even as we are marking the 150^thbirth anniversary of Mahatma Gandhi, I submit that our Government keeps Antyodaya at the core of all its efforts. At the Centre of everything that we do, we keep “gaon, garib, aur kisan”.
43. Hon’ble Prime Minister’s two mega initiatives ofUjjwala Yojana and Saubhagya Yojana– have transformed the lives of every rural family, dramatically improving ease of their living. Household access to clean cooking gas has seen an unprecedented expansion, through provision of more than 7 crore LPG connections. All villages, and almost 100% households across the country have been provided with electricity. A combination of efficient implementation and enthusiastic adoption has significantly improved access to energy for rural households. By 20222022 Important Events:, the 75^thyear of India’s independence, I would like to assure the nation that every single rural family, except those who are unwilling to take the connection will have an electricity and a clean cooking facility.
44. Pradhan Mantri Awas Yojana – Gramin (PMAY-G) aims to achieve the objective of “Housing for All” by 2022. A total of 1.54 crore rural homes have been completed in the last five years. In the second phase of PMAY-G, during 2019-20 to 2021-22, 1.95 crore houses are proposed to be provided to the eligible beneficiaries. These houses are also being provided with amenities like toilets, electricity and LPG connections. With the use of technology, the DBT platform and technology inputs, average number of days for completion of houses has reduced from 314 days in 2015-16 to 114 days in 2017-18.
45. Fishing and fishermen communities are closely aligned with farming and are crucial to rural India. Through a focused Scheme – thePradhan Mantri Matsya Sampada Yojana (PMMSY) –the Department of Fisheries will establish a robust fisheries management framework. This will address critical gaps in the value chain, including infrastructure, modernization, traceability, production, productivity, post-harvest management, and quality control.
46. Pradhan Mantri Gram Sadak Yojana (PMGSY) has brought many socio economic gains in the rural areas. To accelerate the speed of achieving universal connectivity of eligible habitations, the target of connecting the eligible and feasible habitations was advanced from 2022 to 2019. I am happyHappyness ευτυχία : State of emotional exuberance caused by secretion of sedative chemicals in the brain even in a bad circumstance. to inform that all weather connectivity has now been provided to over 97% of such habitations. This has been possible by maintaining a high pace of road construction of 130 to 135 km per day in the last 1,000 days. Committed to the agenda of sustainable development, 30,000 kms of PMGSY roads have been built using Green Technology, Waste Plastic and Cold Mix Technology, thereby reducing carbon footprint. With the changing economic scenario, it is important to upgrade roads connecting villages to rural markets. For this PMGSY-III is envisaged to upgrade 1,25,000kms of road length over the next five years, with an estimated cost of ` 80,250 crore.
47. Considering the fact that majority of people still live in villages and depend on agriculture and traditional industries, the ‘Scheme of Fund for Upgradation and Regeneration of Traditional Industries’ (SFURTI) aims to set up more Common Facility Centres (CFCs) to facilitate cluster based development to make the traditional industries more productive, profitable and capable for generating sustained employment opportunities. The focused sectors are Bamboo, Honey and Khadi clusters. The SFURTI envisions setting up 100 new clusters during 2019-20 which should enable 50,000 artisans to join the economic value chain. Further, to improve the technology of such industries, the Scheme for Promotion of Innovation, Rural Industry and Entrepreneurship’ (ASPIRE) has been consolidated for setting up of Livelihood Business Incubators (LBIs) and Technology Business Incubators (TBIs). The Scheme contemplates to set up 80 Livelihood Business Incubators (LBIs) and 20 Technology Business Incubators (TBIs) in 2019-20 to develop 75,000 skilled entrepreneurs in agro-rural industry sectors.
48. We will invest widely in agricultural infrastructure. We will support private entrepreneurships in driving value-addition to farmers’ produce from the field and for those from allied activities, like Bamboo and timber from the hedges and for generating renewable energyRenewable energy Includes modern bioenergy, geothermal, hydropower, solar photovoltaics, concentrating solar power, wind, marine (tide and wave) energy, and renewable waste.. Annadata can also be Urjadata. Dairying through cooperatives shall also be encouraged by creating infrastructure for cattle feed manufacturing, milk procurement, processing & marketing. I place my appreciation for our farmers who have made India self-sufficient in pulses. I am sure they will repeat such a success even in the production of oilseeds. Our import bill shall be reduced by their Seva.
49. We also hope to form 10,000 new Farmer Producer Organizations, to ensure economies of scale for farmers over the next five years.
50. This Government will work with State Governments to allow farmers to benefit from e-NAM. The Agriculture Produce Marketing Cooperatives (APMC) ActAct Greek πράξη should not hamper farmers from getting a fair price for their produce. Ease of doing business and ease of living both should apply to farmers too. We shall go back to basics on one count: ZeroZero It is a whole number. According to Benson (1999), "The choice whether to define 00is based on convenience, not on correctness. If we refrain from defining00, then certain assertions become unnecessarily awkward. ... The consensus is to use the definition00= 1, although there are textbooks that refrain from defining00." Budget Farming. We need to replicate this innovative model through which in a few States farmers are already being trained in this practice. Steps such as this can help in doubling our farmers’ income in time for our 75^thyear of Independence.
51. Ensuring India’s water security and providing access to safe and adequate drinking water to all Indians is a priority of the Government. A major step in this direction has been the constitutionConstitution The Constitution encompasses the global system of rules governing constitutional authority. Simply reading selected provisions of the written text may be misleading. Understanding the underlying principles, such as federalism, democracy, constitutionalism, the rule of law, and respect for minorities, is crucial. Democratic institutions must allow for ongoing discussion and evolution, reflected in the right of participants to initiate constitutional change. This right entails a reciprocal duty to engage in discussions. Democracy involves more than majority rule, existing within the context of other constitutional values. Therefore, a profound understanding of these principles informs our appreciation of constitutional rights and obligations. Read more of the Jal Shakti Mantralaya, integrating the Ministry of Water Resources, River Development and Ganga Rejuvenation and Ministry of Drinking Water and Sanitation. This new Mantralaya will look at the management of our water resources and water supply in an integrated and holistic manner, and will work with States to ensure Har Ghar Jal (piped water supply) to all rural households by 2024 under the Jal Jeevan Mission. This Mission, under the Department of Drinking Water and Sanitation, will focus on integrated demandDemand In economics, the amount of a good or service that consumers are willing to buy at a particular price. and supply side management of water at the local level, including creation of local infrastructure for source sustainability like rainwater harvesting, groundwater recharge and management of household wastewater for reuse in agriculture. The Jal Jeevan Mission will converge with other Central and State Government Schemes to achieve its objectives of sustainable water supply management across the country.
52. The Government has identified 1592 Blocks which are critical and over exploited, spread across 256 District for the Jal Shakti Abhiyan. Besides using funds available under various Schemes, the Government will also explore possibility of using additional funds available under the Compensatory Afforestation Fund Management and Planning Authority (CAMPA) for this purpose.
53. Swachh Bharat Abhiyan has touched the very conscience of the nation besides bringing enormous health and environmental benefits. This noble Scheme, initiated in 2014, has achieved a resounding success. 9.6 crore toilets have been constructed since Oct 2, 2014. More than 5.6 lakh villages have become Open Defecation Free (ODF). We have to build on this success. We must not only sustain the behavioural change seen in people but also harness the latest technologies available to transform waste into energy. I now propose to expand the Swachh Bharat Mission to undertake sustainable solid waste management in every village.
54. Under the Pradhan Mantri Gramin Digital Saksharta Abhiyan, over two crore rural Indians have so far been made digitally literate. To bridge rural-urban digital divide, Bharat-Net is targeting internet connectivity in local bodies in every Panchayat in the country. This will be speeded up with assistance from Universal Service Obligation Fund and under a Public Private Partnership arrangement.

Shahree Bharat/Urban India

55. This Government sees the rapid urbanization of India as an opportunity rather than a challenge. We have to make both our cities and villages better using technology. This way we can help people live closer to their homeHome Αρχική >, stop migration into cities, provide essential services to all.
56. Under Pradhan Mantri Awas Yojana – Urban (PMAY-Urban), over 81 lakh houses with an investment of about `4.83 lakh crores have been sanctioned of which construction has started in about 47 lakh houses. Over 26 lakh houses have been completed of which nearly 24 lakh houses have been delivered to the beneficiaries. There is large scale adoption of new technologies for construction of these houses. Over 13 lakh houses have so far been constructed using these new technologies.
57. More than 95% of cities also have been declared ODF. More than 45,000 public and community toilets across 1700 cities have been uploaded on Google maps, covering more than 53% of India’s urban population. Almost 1 crore citizens have downloaded Swachhata App.
58. The 150th birth anniversary of Mahatma Gandhi is an apt occasion for us to re-dedicate ourselves to the ideals of Mahatma Gandhi. Hon’ble Prime Minister took the Sankalp of achieving Gandhiji’s resolve of Swachh Bharat to make India Open Defecation Free by 2nd October 2019. I am very satisfied and happy to report that this would be achieved by the 2nd October. To mark this occasion, the Rashtriya Swachhta Kendra will be inaugurated at Gandhi Darshan, Rajghat on 2nd October, 2019. A Gandhipedia is also being developed by National Council for ScienceScience επιστήμη Museums to sensitize youth and society at large about positive Gandhian values.
59. Indian Railways suburban and long-distance services do a phenomenal task in cities like Mumbai and smaller cities. Railways will be encouraged to invest more in suburban railways through Special Purpose Vehicle (SPV) structures like Rapid Regional Transport System (RRTS) proposed on the Delhi-Meerut route. I propose to enhance the metro-railway initiatives by encouraging more PPP initiatives and ensuring completion of sanctioned works, while supporting Transit Oriented Development (TOD) to ensure commercial activity around transit hubs. We are in the process of completing the dedicated freight corridor project that will free up some of the existing railway network for passenger trains.

Youth

60. The Government will bring in a New National Education Policy to transform India’s higher education system to one of the global best education systems. The new Policy proposes major changes in both school and higher education among others, better Governance systems and brings greater focus on research and innovation.
61. We propose to establish a National Research Foundation (NRF) to fund, coordinate and promote research in the country. NRF will assimilate the research grants being given by various Ministries independent of each other. NRF will ensure that the overall research eco-system in the country is strengthened with focus on identified thrust areas relevant to our national priorities and towards basic science without duplication of effort and expenditure. We would work out a very progressive and research oriented structure for NRF. The funds available with all Ministries will be integrated in NRF. This would be adequately supplemented with additional funds.
62. Massive online open courses through the SWAYAM initiative have helped bridge the digital divide for disadvantaged section of the student community. To up-grade the quality of teaching, the Global Initiative of Academic Networks (GIAN) programme in higher education was started, aimed at tapping the global pool of scientists and researchers. The IMPRINT or IMPacting Research INnovation and Technologyscheme began as a Pan-IIT and IISc joint initiative to develop aroadmap for researchto solve major engineering and technology challenges in selected domains needed by the country. Higher educational institutions are becoming the centres of innovation.
63. These initiatives have up-graded the quality of education. There was not a single Indian institution in the top 200 in the world university rankings five years back. Due to concerted efforts by our institutions to boost their standards and also project their credentials better, we have three institutions now – two IITs and IISc Bangalore – in the top 200 bracket. This window is open now thanks to our efforts. We will continue making concerted efforts to improve. An amount of ` 400 crore has been provided under the head, “World Class Institutions”, for FY 2019-20, more than three times the revised estimates for the previous year. India has the potential to become a hub of higher education. I, therefore, propose to start a programme, ‘Study in India’, that will focus on bringing foreign students to study in our higher educational institutions.
64. The regulatory systems of higher education would be reformed comprehensively to promote greater autonomy and focus on better academic outcomes. A draft legislation for setting up Higher Education Commission of India (HECI), would be presented in the year ahead.
65. Khelo India Scheme, launched in October, 2017, has created awareness of sports as an integral part of wellness throughout the country. The Government is committed to expand Khelo India Scheme and to provide all necessary financial support. To popularize sports at all levels, a National Sports Education Board for Development of Sportspersons would be set up under Khelo India Scheme.
66. This Government recognizes and follows the teachings of LordLord Adoni in Hebrew (אָדוֹן) and dominions in Larin. άρχοντας / κύριος in NT Basveshwara, in particular the principles of Kayaka and Dasoha. Implementing ‘Kayakave Kailasa’, the Government enables about 10 million youth to take up industry-relevant skill training through the Pradhan Mantri Kaushal Vikas Yojana (PMKVY). This is helping to create a large pool of skilled manpower with speed and high standards. Demographic trends worldwide show that major economies will face severe labour shortages in the future. To prepare our youth to also take up jobs overseas, we will increase focus on skill sets needed abroad including language training. We will also lay focus on new-age skills like Artificial IntelligenceArtificial Intelligence AI is the simulation of human-like intelligence in machines, programmed to perform tasks that would otherwise require human assistance. Python languages for AI. AI models TensorFlow, Keras, and PyTorch. Machine learning is the process of making systems that learn and improve by themselves, by being specifically programmed. (AI), Internet of Things, Big Data, 3D Printing, Virtual Reality and Robotics, which are valued highly both within and outside the country, and offer much higher remuneration.
67. Drawing again on Lord Basveshwara, his principle of Dasoha underlines most things this Government does. ‘Give It Up’ for giving up LPG subsidy or the various pension schemes are on the principle of sharing through distribution, for the wellness of the society.
68. The Government is proposing to streamline multiple labour laws into a set of four labour codes. This will ensure that process of registration and filing of returns will get standardized and streamlined. With various labour related definitions getting standardized, it is expected that there shall be less disputes.
69. We propose to start a television programme within the DD bouquet of channels exclusively for start-ups. This shall serve as a platform for promoting start-ups, discussing issues affecting their growth, matchmaking with venture capitalists and for funding and tax planning. This channel shall be designed and executed by start-ups themselves. Later in this speech, I shall deal with taxation matters of the start-ups.
70. Stand-Up India Scheme has delivered enormous benefits. The country is witnessing emergence of thousands of entrepreneurs from women and also from the Scheduled Castes and Scheduled Tribes, most of them assisted to set up their businesses and industry with capital provided under the Stand-Up India Scheme. Considering the beneficial results of the Scheme and strong demand for its continuance by the SC and ST communities, the Scheme would be continued for the entire period coinciding with the 15th Finance Commission period of 2020-25. The Banks will provide financial assistance for demand based businesses, including for example for acquisition of scavenging machines and robots.
71. The Stand Up India Scheme has made human dignity and self-esteem go up. “Kayakave Kailasa”. The Ministry of Petroleum & Natural Gas has enabled SC/ST entrepreneurs in providing Bulk LPG Transportation. In a matter of two years over 300 entrepreneurs have emerged. Machines and robots have been deployed to do scavenging which also saved the manual scavengers their dignity. The synthesis between stand up and start up with commercial banks playing the catalyst has brought this transformational change.

Ease of Living

72. This Government aims to bring greater ease of living in the lives of its citizens. Digital payments are gaining acceptance everywhere including by the Government. Use of technology is an effective way to ensure this.
73. Pradhan Mantri Shram Yogi Maandhan was launched on 5^thMarch, 2019 by Hon’ble PM at Ahmedabad. The Scheme aims at providing `3,000 per month as pension on attaining the age of 60 to crores of workers in unorganized and informal sectors. About 30 lakh workers have joined the Scheme.
74. For good quality of life and ease of living, maintaining a cleaner environment and ensuring sustainable energy use is vital. A programme of mass scaling up of LED bulbs for widespread distribution at household level was taken up resulting into massive replacement of incandescent bulbs and CFLs in the country. Approximately 35 crore LED bulbs have been distributed under UJALA Yojana leading to cost saving of ` 18,341 crores annually. India is going to be free of incandescent bulbs and CFL use has already become miniscule. We will use the approach of mission LED bulb method to promote the use of solar stoves and battery chargers in the country.
75. To make railway travel a pleasant and satisfying experience for the common citizen, we will launch a massive programme of railway station modernization this year.

Naari Tu Narayani/Women

76. Swami Vivekananda in a letter to Swami Ramakrishnanda had said: “There is no chance for the welfare of the world unless the condition of women is improved. It is not possible for a bird to fly on one wing”. This Government believes that we can make progress with greater women’s participation.
77. In India’s growth story, particularly in the rural economy, “grameen arth vyavastha” the role of women is a very sweet story. This Government wishes to encourage and facilitate this role of women.
78. Gender analysis of the budget aimed at examining the budgetary allocation through a gender lens has been in place for over a decade. I propose to form a broad-based Committee with Government and private stakeholders to evaluate and suggest action for moving forward.
79. There is no segment of human life where the contribution of women is not significant. This Government firmly believes that the socio-economic transformation that is taking place particularly in the last decade, Indian women’s role and leadership is distinct. The recent elections have shown record turnout of women voters at par with men. We also have a record 78 women MPs here. This reinforces our approach of going beyond just women-centric-policy making to building women-led initiatives and movements.
80. This Government has supported and encouraged women entrepreneurship through various schemes such as MUDRA, Stand UP India and the Self Help Group (SHG) movement. In order to further encourage women enterprise, I propose to expand the Women SHG interest subvention programme to all districts. Furthermore, for every verified women SHG member having a Jan Dhan Bank Account, an overdraft of `5,000 shall be allowed. One womanMen Ανθρωποι (People), a woman (γυναίκα), Man (Ανδρας) > Adama, Manu > No proof to establish that due to mutation a monkey turned into a human being. in every SHG will also be made eligible for a loan up to ` 1 lakh under the MUDRA Scheme.

India’s Soft Power

81. India’s soft power is appreciated in so many different ways. Some simple examples: In the last three years on International YogaYoga An ancient Indian system (Codified by Patanjali ) of practices used to balance the mind and body through exercise, meditation (focusing thoughts), and control of breathing and emotions. Yoga (योगश् चित्तवृत्तिनिरोधः) is being studied as a way to relieve stress and treat sleep problems in cancer patients. "हिरण्यगर्भो योगस्य वक्ता नान्यः पुरातनः" Day, Yoga has been practiced in large numbers in 192 countries around the world Yoga has been practiced in large numbers. Mahatma Gandhi’s favourite bhajan “Vaishnav Jana To Tene Kahiye” was sung by the respective lead artists in 40 countries. The annual “Bharat Ko Jaano” quiz competition is sought after as an event to participate by not only NRIs but also several foreigners.
82. I propose to consider issuing Aadhaar Card for Non-Resident Indians with Indian Passports after their arrival in India without waiting for 180 days.
83. I propose to launch a Mission which will integrate our traditional artisans and their creative products with global markets. Wherever necessary we shall obtain patents and geographical indicators for them. With this aim, for the first time in this August House, I declare that we will launch a mission of linking creative industry with the economy and wherever it requires protecting Intellectual Property rights taking it to the National and International Market front.
84. To give further impetus to India’s growing influence and leadership in the international community, Government decided to open Indian Embassies and High Commissions abroad in countries where India does not have a Resident Diplomatic Mission as yet. Accordingly, in March 2018, Government approved opening of 18 new Indian Diplomatic Missions in AfricaAfrica Eastern AfricaBurundiComorosDjiboutiEritreaEthiopiaKenyaMadagascarMalawiMauritiusMayotteMozambiqueRéunionRwandaSeychellesSomaliaSouth SudanTanzaniaUgandaZambiaZimbabweMiddle AfricaAngolaCameroonCentral African RepublicChadCongoDemocratic Republic of the CongoEquatorial GuineaGabonSão Tomé e PríncipeNorthern AfricaAlgeriaEgyptLibyaMoroccoSudanTunisiaWestern SaharaSouthern AfricaBotswanaEswatiniLesothoNamibiaSouth AfricaWestern AfricaBeninBurkina FasoCape Verde IslandsCôte d’IvoireGambiaGhanaGuineaGuinea-BissauLiberiaMaliMauritaniaNigerNigeriaSaint HelenaSenegalSierra LeoneTogo. Five Embassies have already been opened in Rwanda, Djibouti, Equatorial Guinea, RepublicRepublic Res publica> Δημοκρατίας. Having a head of the state. Pope is the head of the Vatican City state. The people execute their power through an Elected (direct/indirect) President. Political parties sponsored their presidential candidates. Indian president is a constitutional puppet under the ruling Cabinet. In the case of the appointment of Indian judges, presidential power is a vanishing point. of Guinea, and Burkina Faso in the year 2018-19. Government intends to open another four new Embassies in the year 2019-20. This will not only increase the footprint of India’s overseas presence, but also enable us to provide better and more accessible public services, especially to the local Indian community in these countries.
85. In line with our ancient wisdom, India has always pursued a policy of economic cooperation with countries through bilateral and regional coordination. Indian Development Assistance Scheme (IDEAS) provides concessional financing for projects and contributes to infrastructure development and capacity building in the recipient developing countries. Mindful of our position as the sixth largest economy, we will look at alternative development models which include private sector equity, multilateral financing, contributions from corporates, non-residents etc.I propose to revamp the IDEAS scheme during the current financial year.

86. The Government is developing 17 iconic Tourism Sites into world class tourist destinations and to serve as a model for other tourism sites. The Iconic Tourism Sites would enhance visitor experience which would lead to increase visits of both domestic and international tourists at these destinations.
87. With the objective of preserving rich tribal cultural heritageHeritage Parampara: Shastra (One have to understand it), Tantra (Technique, one have to learn it), Vidya (Specific Knowledge system come down through family Line) and Kala (Unique contemplation of the above three), a digital repository is developed where documentsDocument It means any matter expressed or described or otherwise recorded upon any substance by means of letters, figures or marks or any other means or by more than one of those means, intended to be used, or which may be used, for the purpose of recording that matter and includes electronic and digital records. (Bharatiya Sakshya Adhiniyam 2023), folk songs, photos & videos regarding their evolution, place of origin, lifestyle, architecture, education level, traditional art, folk dances and other anthropological details of the tribes in India are stored. The repository will further be enriched and strengthened.

Banking and Financial Sector

88. Financial gains from cleaning of the banking system are now amply visible. NPAs of commercial banks have reduced by over ` 1 lakh crore over the last year, record recovery of over ` 4 lakh crore due to IBC and other measures has been effected over the last four years, provision coverage ratio is now at its highest in seven years, and domestic credit growth has risen to 13.8%. Government has smoothly carried out consolidation, reducing the number of Public Sector Banks by eight. At the same time, as many as six Public Sector Banks have been enabled to come out of Prompt Corrective Action framework.
89. Having addressed legacy issues, Public Sector Banks are now proposed to be further provided ` 70,000 crore capital to boost credit for a strong impetus to the economy. To further improve ease of living, they will leverage technology, offering online personal loans and doorstep banking, and enabling customers of one Public Sector Bank to access services across all Public Sector Banks. In addition, Government will initiate steps to empower accountholders to remedy the current situation in which they do not have control over deposit of cash by others in their accounts. Reforms will also be undertaken to strengthen governance in Public Sector Banks.
90. Non-Banking Financial Companies (NBFCs) are playing an extremely important role in sustaining consumption demand as well as capital formation in small and medium industrial segment. NBFCs that are fundamentally sound should continue to get funding from banks and mutual funds without being unduly risk averse. For purchase of high-rated pooled assets of financially sound NBFCs, amounting to a total of Rupees one lakh crore during the current financial year, Government will provide one time six months’ partial credit guarantee to Public Sector Banks for first loss of up to 10%. Further, Reserve Bank of India (RBI) is the regulator for NBFCs. However, RBI has limited regulatory authority over NBFCs. Appropriate proposals for strengthening the regulatory authority of RBI over NBFCs are being placed in the Finance Bill.
91. NBFCs which do public placement of debt have to maintain a Debenture Redemption Reserve (DRR) and in addition, a special reserve as required by RBI, has also to be maintained. To allow NBFCs to raise funds in public issues, the requirement of creating a DRR, which is currently applicable for only public issues as private placements are exempt, will be done away with.
92. To bring more participants, especially NBFCs, not registered as NBFCs-Factor, on the TReDS platform, amendment in the Factoring Regulation Act, 2011 is necessary and steps will be taken to allow all NBFCs to directly participate on the TReDS platform.
93. Efficient and conducive regulation of the housing sector is extremely important in our context. The National Housing Bank (NHB), besides being the refinancer and lender, is also regulator of the housing finance sector. This gives a somewhat conflicting and difficult mandate to NHB. I am proposing to return the regulation authority over the housing finance sector from NHB to RBI. Necessary proposals have been placed in the Finance Bill.
94. Government has announced its intentionIntention This means to “have in mind.” A plant to do a thing (Planning: premeditation is evident through evidence of active preparation, e.g., hoarding pills, purchase of weapon). It refers to the aim, purpose, or goal of the behavior, e.g., to seek an end to/solution. A consciousmental processto move precedes the brain’s preparation for movement. to invest ` 100 lakh crore in infrastructure over the next five years. To this end, it is proposed to set up an expert committee to study the current situation relating to long-term finance and our past experience with development finance institutions, and recommend the structure and required flow of funds through development finance institutions.
95. Pension Fund Regulatory and Development Authority (PFRDA) implements and regulates the National Pension System (NPS) and Atal Pension Yojana through various intermediaries including,inter-alia, the NPS Trust. Keeping in view the wider interest of the subscribers and to maintain arm’s length relationship of the NPS Trust with PFRDA, steps will be taken to separate the NPS Trust from PFRDA with appropriate organizational structure.
96. To facilitate on-shoring of international insurance transactions and to enable opening of branches by foreign reinsurers in the International Financial Services Centre, it is proposed to reduce Net Owned Fund requirement from ` 5,000 crore to ` 1,000 crore.
97. Government has been following the policy of disinvestment in non-financial public sector undertakings maintaining Government stake not to go below 51%. Government is considering, in case where the Undertaking is still to be retained in Government control, to go below 51% to an appropriate level on case to case basis. Government has also decided to modify present policy of retaining 51% Government stake to retaining 51% stake inclusive of the stake of Government controlled institutions.
98. In order to improve the capital flows into the Indian economy, it is important to align domestic corporate systems and practices with global ones. It is also appreciated that global finance movement in equity uses certain parameters to evaluate the stocks in which they choose to invest. Government intends to further encourage retail participation in CPSEs which, of late has shown very encouraging upward trend. In order to provide additional investment space, the Government would realign its holding in CPSEs, including Banks to permit greater availability of its shares and to improve depth of its market.
99. Strategic disinvestment of select CPSEs would continue to remain a priority of this Government. In view of current macro-economic parameters, Government would not only reinitiate the process of strategic disinvestment of AirWind Ανεμος . वायुः पुं > Similar श्वसनः स्पर्शनः मातरिश्वा सदागतिः पृषदश्वः गन्धवहः गन्धवाहः अनिलः आशुगः समीरः मारुतः मरुत् जगत्प्राणः समीरणः नभस्वान् वातः पवनः पवमानः प्रभञ्जनः अजगत्प्राणः खश्वासः वाहः धूलिध्वजः फणिप्रियः वातिः नभःप्राणः भोगिकान्तः स्वकम्पनः अक्षतिः कम्पलक्ष्मा शसीनिः आवकः हरिः वासः सुखाशः मृगवाहनः सारः चञ्चलः विहगः प्रकम्पनः नभःस्वरः निश्वासकः स्तनूनः पृषतांपतिः । Vedic Deity. Solar wind is a stream of charged particles, consists mostly of electrons and protons with energies (1 keV). Pranayama= controlling breathe. India, but would offer more CPSEs for strategic participation by the private sector.
100. Government is setting an enhanced target of `1,05,000 crore of disinvestment receipts for the financial year 2019-20. The Government will undertake strategic sale of PSUs. The Government will also continue to do consolidation of PSUs in the non-financial space as well.
101. ETFs have provedProved A fact is said to be proved when, after considering the matters before it, the Court either believes it to exist, or considers its existence so probable that a prudent man ought, under the circumstances of the particular case, to act upon the supposition that it exists; to be an important investment opportunity for retail investors and has turned out to be a good instrument for Government of India’s divestment programme. To expand this further, Government will offer an investment option in ETFs on the lines of Equity Linked Savings Scheme (ELSS). This would also encourage long term investment in CPSEs.
102. For bringing better public ownership of the PSUs and also bring greater commercial and market orientation of the listed PSUs, the Government will take all necessary steps to meet public shareholding norms of 25% for all listed PSUs and raise the foreign shareholding limits to maximum permissible sector limits for all PSU companies which are part of Emerging Market Index.
103. India’s sovereign external debt to GDPGDP Gross domestic product is the measure of the size of a country’s economy and is used to indicate the health of that economy.If it is growing fast that means resources available to people in the country – goods and services, wages and profits – are increasing. is among the lowest globally at less than 5%. The Government would start raising a part of its gross borrowing programme in external markets in external currencies. This will also have beneficial impact on demand situation for the government securities in domestic market.
104. New series of coins of One Rupee, Two Rupees, Five Rupees, Ten Rupees and Twenty Rupees, easily identifiable to the visually impaired, were released by the Hon’ble Prime Minister on 7th March, 2019. These new coins will be made available for public use shortly.
105. In the first 50 years after Independence we emphasized on Rights. Marking 75 years of our Independence, we should place emphasis on our Duty towards India, without undermining Rights. Thinkers, all over the world, have supported the argumentArguments It is not quarreling. It can be divided into Deductive, inductive, and conductive > Functional includes include: “because”, “since”, “for”, and “as”; typical conclusion indicators include “therefore”, “thus”, “hence”, and “so”. पंच अवयव तर्कः प्रतिज्ञा हेतू उदाहरणम् निगमनम् अवयवाः > premises to conclusion or conclusion to premises to Proof something. Proof is a derivation of a conclusion from premises through a valid argument. that in performing one’s duty protection of one’s rights is inherent. For the bright future of India, when again in 2022, we will remember our freedom fighters, we should dedicate ourselves to serve our nation.

PART B

106.Mr. Speaker, Sir, I begin by thanking our taxpayers who, as responsible citizens, perform their duty by paying their taxes. It is because of their valuable contribution that our Government is able to work for our collective dream of inclusive and all round development of our nation. At this juncture, I find wisdom in a line from Pura Nanooru, a Tamil Sangam Era work by Pisirandaiyaar. The verse ,” Yannai pugundha nilam” was sung as an advice to the King Pandian Arivudai Nambi :“காய் நெல் அறுத்துக் கவளங் கொளினே,… … …… … …… … …அறிவுடை வேந்தன் நெறியறிந்துகொளினே,பரிவுதப எடுக்கும் பிண்டம் நச்சின்,… … …… … …… … …யானை புக்க புலம் போல,தானும் உண்ணான், உலகமும் கெடுமே.”Meaning, a few mounds of rice from paddy that is harvested from a small piece of land would suffice for an elephant. But what if the elephant itself enters the field and starts eating? What it eats would be far lesser than what it would trample over !Direct Tax 107.Mr. Speaker, Sir, due to slew of efforts taken by our Government, the direct tax revenue has significantly increased over the past couple of years. It has increased by over 78% from ` 6.38 lakh crore in Financial Year 2013-14 to around ` 11.37 lakh crore in Financial Year 2018-19. It is now growing at double digit rate every year.108. Let me recall and reiterate this Government’s effort over the past five years to alleviate the tax burden on small and medium income-earners. This includes self-employed as well as small traders, salary earners, and senior citizens. Only when their annual taxable income exceeds ` 5 lakh, they are required to pay any income tax. The details of our efforts and achievements on this front during the past few years are given in the Annexure.109.Mr Speaker, Sir, my tax proposals will aim to stimulate growth, incentivise affordable housing, and encourage start-ups by releasing entrepreneurial spirits. It will also be geared towards promoting digital economy. I aim to simplify tax administration and bring greater transparency.110. So far as corporate tax is concerned, we continue with phased reduction in rates. Currently, the lower rate of 25 % is only applicable to companies having annual turnover up to ` 250 Crore. I propose to widen this to include all companies having annual turnover up to ` 400 crore. This will cover 99.3% of the companies. Now only 0.7% of companies will remain outside this rate.Mega Investment in Sunrise and Advanced Technology Areas111. In order to boost economic growth and Make in India, the government willlaunch a scheme to invite global companies through a transparent competitive bidding to set upmega-manufacturing plants in sunrise and advanced technology areas such as Semi-conductor Fabrication (FAB), Solar Photo Voltaic cells, Lithium storage batteries, Solar electric charging infrastructure, Computer Servers, Laptops, etc. and provide them investment linked income tax exemptions under section 35 AD of the Income Tax Act, and other indirect tax benefits.Electric Vehicles112. Considering our large consumer base, we aim to leapfrog and envision India as a global hub of manufacturing of Electric Vehicles. Inclusion of Solar storage batteries and charging infrastructure in the above scheme will boost our efforts. Government has already moved GST council to lower the GST rate on electric vehicles from 12% to 5%. Also to make electric vehicleElectric vehicle Electric vehicles comprise of battery electric vehicles (BEVs) and plugin hybrid electric vehicles (PHEVs). affordable to consumers, our government will provide additional income tax deduction of `1.5 lakh on the interest paid on loans taken to purchase electric vehicles. This amounts to a benefit of around `2.5 lakh over the loan period to the taxpayers who take loans to purchase electric vehicle.Start-ups113.Start-ups in India are taking firm roots and their continued growth needs to be encouraged. To resolve the so-called ‘angel tax’ issue, the start-ups and their investors who file requisite declarations and provide information in their returns will not be subjected to any kind of scrutiny in respect of valuations of share premiums. The issue of establishing identity of the investor and source of his funds will be resolved by putting in place a mechanism of e-verification. With this, funds raised by start-ups will not require any kind of scrutiny from the Income Tax Department.114. In addition, special administrative arrangements shall be made by Central Board of Direct Taxes (CBDT) for pending assessments of start-ups and redressal of their grievances. It will be ensured that no inquiry or verification in such cases can be carried out by the Assessing Officer without obtaining approval of his supervisory officer.115. At present, start-ups are not required to justify fair market value of their shares issued to certain investors including Category-I Alternative Investment Funds (AIF). I propose to extend this benefit to Category-II Alternative Investment Funds also. Therefore, valuation of shares issued to these funds shall be beyond the scope of income tax scrutiny.116.I also propose to relax some of the conditions for carry forward and set off of losses in the case of start-ups. I also propose to extend the period of exemption of capital gains arising from sale of residential house for investment in start-ups up to 31.3.2021 and relax certain conditions of this exemption.Affordable housing117.For realisation of the goal of ‘Housing for All’ and affordable housing, a tax holiday has already been provided on the profits earned by developers of affordable housing. Also, interest paid on housing loans is allowed as a deduction to the extent of ` 2 lakh in respect of self-occupied property. In order to provide a further impetus, I propose to allow an additional deduction of up to ` 1,50,000/- for interest paid on loans borrowed up to 31<sup>st</sup>March, 2020 for purchase of an affordable house valued up to ` 45 lakh. Therefore, a person purchasing an affordable house will now get an enhanced interest deduction up to ` 3.5 lakh. This will translate into a benefit of around ` 7 lakh to the middle class home-buyers overtheir loan period of 15 years.NBFCs118. Non-banking financial companies play an increasingly important role in India’s financial system. With the enhanced levels of regulation they are subjected to by the Reserve Bank of India, there is a need to provide greater parity in their tax treatment vis-à-vis scheduled banks. Currently, interest on certain bad or doubtful debts made by scheduled banks and other financial institutionsFinancial institutions It means any natural or legal person who conducts as a business one or more of the following activities or operations for or on behalf of a customer:1. Acceptance of deposits and other repayable funds from the public.2. Lending.3. Financial leasing.4. Money or value transfer services.5. Issuing and managing means of payment (e.g. credit and debit cards, cheques, traveller's cheques, money orders and bankers' drafts, electronic money).6. Financial guarantees and commitments.7. Trading in:(a) money market instruments (cheques, bills, certificates of deposit, derivatives etc.);(b) foreign exchange;(c) exchange, interest rate and index instruments;(d) transferable securities;(e) commodity futures trading.8. Participation in securities issues and the provision of financial services related to such issues.9. Individual and collective portfolio management.10. Safekeeping and administration of cash or liquid securities on behalf of other persons.11. Otherwise investing, administering or managing funds or money on behalf of other persons.12. Underwriting and placement of life insurance and other investment-related insurance[5].13. Money and currency changing. is allowed to be offered to tax in the year in which this interest is actually received. I propose to extend this facility to deposit taking as well as systemically important non-deposit taking NBFCs also.IFSC119.To promote the International Financial Services Centre(IFSC) in GIFT City, series of measures have already been taken in the past by this Government. With a view to further incentivising the IFSC, I propose to further provide several direct tax incentives to an IFSC including 100 % profit-linked deduction under section 80-LA in any ten-year block within a fifteen-year period, exemption from dividend distribution tax from current and accumulated income to companies and mutual funds, exemptions on capital gain to Category-III AIF and interest payment on loan taken from non-residents.Securities Transaction Tax (STT)120. I propose to give relief in levy of Securities Transaction Tax (STT) by restricting it only to the difference between settlement and strike price in case of exercise of options.Simplification and Ease of living121. India’s Ease of Doing Business ranking under the category of ‘paying taxes’ showed a significant jump from 172 in 2017 to 121 in the 2019. I now propose to implement series of measures that will leverage technology to make compliance easier for the taxpayers.Interchangeability of PAN and Aadhaar122. Mr Speaker, Sir, more than 120 Crore Indians now have Aadhaar. Therefore, for ease and convenience of tax payers, I propose to make PAN and Aadhaar interchangeable and allow those who do not have PAN to file Income Tax returns by simply quoting their Aadhaar number and also use it wherever they are required to quote PAN.Pre-filling of Income-tax Returns123.Pre-filled tax returns will be made available to taxpayers which will contain details of salary income, capital gains from securities, bank interests, and dividends etc. and tax deductions. Information regarding these incomes will be collected from the concerned sources such as Banks, Stock exchanges, mutual funds, EPFO, State Registration Departments etc. This will not only significantly reduce the time taken to file a tax return, but will also ensure accuracy of reporting of income and taxes.Faceless e-assessment

124.The existing system of scrutiny assessments in the Income-tax Department involves a high level of personal interaction between the taxpayer and the Department, which leads to certain undesirable practices on the part of tax officials. To eliminate such instances, and to give shape to the vision of the Hon’ble Prime Minister, a scheme of faceless assessment in electronic mode involving no human interface is being launched this year in a phased manner. To start with, such e-assessments shall be carried out in cases requiring verification of certain specified transactions or discrepancies.125. Cases selected for scrutiny shall be allocated to assessment units in a random manner and notices shall be issued electronically by a Central CellCell The smallest unit that can live on its own and that makes up all living organisms and the tissues of the body. A cell has three main parts: the cell membrane, the nucleus, and the cytoplasm. The cell membrane surrounds the cell and controls the substances that go into and out of the cell. The nucleus is a structure inside the cell that contains the nucleolus and most of the cell’s DNA. It is also where most RNA is made. The cytoplasm is the fluid inside the cell. It contains other tiny cell parts that have specific functions, including the Golgi complex, the mitochondria, and the endoplasmic reticulum. The cytoplasm is where most chemical reactions take place and where most proteins are made. The human body has more than 30 trillion cells., without disclosing the name, designation or location of the Assessing Officer. The Central Cell shall be the single point of contact between the taxpayer and the Department. This new scheme of assessment will represent a paradigm shift in the functioning of the Income Tax Department.Digital Payments126.Mr. Speaker, Sir, our Government has taken a number of initiatives in the recent past for the promotion of digital payments and less cash economy. To promote digital payments further, I propose to take a slew of measures. To discourage the practice of making business payments in cash, I propose to levy TDS of 2% on cash withdrawal exceeding ` 1 crore in a year from a bank account. Further, there are low-cost digital modes of payment such as BHIM UPI, UPI-QR Code, Aadhaar Pay, certain Debit cards, NEFT, RTGS etc. which can be used to promote less cash economy. I, therefore, propose that the business establishments with annual turnover more than ` 50 crore shall offer such low cost digital modes of payment to their customers and no charges or Merchant Discount Rate shall be imposed on customers as well as merchants. RBI and Banks will absorb these costsCosts Subject to any written law, costs are at the discretion of the Court, and the Court has the power to determine all issues relating to the costs of or incidental to all proceedings, including by whom and to what extent the costs are to be paid, at any stage of the proceedings or after the conclusion of the proceedings. Generally “Costs” includes charges, disbursements, expenses, fees, and remuneration. Costs in any matter are payable from the date of the order of the Court unless the parties otherwise agree. The costs of a third-party funding contract are not recoverable as part of the costs of, or costs. from the savings that will accrue to them on account of handling less cash as people move to these digital modes of payment. Necessary amendments are being made in the Income Tax Act and the Payments and Settlement Systems Act, 2007 to give effect to these provisions.Revenue Mobilization127. Mr Speaker Sir, as I have stated earlier, we have taken several measures in the past to alleviate the tax burden on small and medium income-earners as those having annual income up to ` 5 lakh are not required to pay any income-tax. We are thankful to the taxpayers who play a major role in nation building by paying their taxes. However, in view of rising income levels, those in the highest income brackets, need to contribute more to the Nation’s development. I, therefore, propose to enhance surcharge on individuals having taxable income from ` 2 crore to ` 5 crore and ` 5 crore and above so that effective tax rates for these two categories will increase by around 3 % and 7 % respectively.Other measures128.I also propose to simplify the tax law to reduce genuine hardships being caused to taxpayers which include enhancing threshold of tax for launching prosecution for non-filing of returns and exempting appropriate class of persons from the anti-abuse provisions of section 50CA and section 56 of the Income Tax Act.Indirect Taxes129. Now coming to Indirect Tax, we are aware that the landscape has changed significantly with implementation of GST. In every sense, this has been a monumental reform. Centre and States coming together and agreeing to pool in their sovereign power of taxation for common good of the country was unprecedented. 17 taxes and 13 cesses became one tax. Multitude of rates instantlyForthwith In Rao Mahmood Ahmad Khan v. Ranbir Singh ,has held that the word ‘forthwith’ is synonymous with the word immediately, which means with all reasonable quickness.When a statute requires something to be done‘forthwith’or‘immediately’or even‘instantly’, it should probably be understood as allowing a reasonable time for doing it. The interpretation of the word ‘forthwith’ would depend upon the terrain in which it travels and would take its colour depending upon the prevailing circumstances which can be variable. (Shento Varghese v. Julfikar Husen & Ors [2024] 6 S.C.R. 409).Anwar Ahmad v. State of UP[1976] 1 SCR 779: AIR (1976) SC 680;Nevada Properties (P) Ltd. v. State of Maharashtra & Anr.[2019] 15 SCR 223: (2019) 20 SCC 119;State of Maharashtra v. Tapas D. Neogy[1999] Supp. 2 SCR 609: 1999 INSC 417;Ravinder Kumar & Anr. v. State of Punjab[2001] Supp. 2 SCR 463: (2001) 7 SCC 690;Bhajan Singh and Ors. v. State of Haryana[2011] 7 SCR 1: 2011 INSC 422;HN Rishbud v. State of Delhi[1955] 1 SCR 1150: (1954) 2 SCC 934;Sk. Salim v. State of West Bengal[1975] 3 SCR 394: (1975) 1 SCC 653;China Apparao and Others v. State of Andhra Pradesh[2002] Supp. 3 SCR 175: (2002) 8 SCC 440;Navalshankar Ishwarlal Dave v. State of Gujarat[1993] 3 SCR 676: 1993 Supp. 3 SCC 754;Rao Mahmood Ahmad Khan v. Ranbir Singh[1995] 2 SCR 230: (1995) Supp. 4 SCC 275;Bidya Deb Barma v. District Magistrate[1969] 1 SCR 562 : (1968) SCC OnLine SC 82. became four. Almost all commodities saw rate reduction. Tens of returns were replaced by one. Taxpayer’s interface with tax departments got reduced. Border checks got eliminated. Goods started moving freely across states, which saved time and energy. A truck started doing two trips in the same time in which it was doing one. Thus, dream ofone nation, one tax, one marketwas realised.The GST Council deserves all the credit for this.130. In the initial phase GST witnessed certain teething problems. This was natural considering the scale of the reform. However, the Council, Centre and States proactively worked to resolve these issues. GST rates have also been reduced significantly, where relief of about `92,000 crore per year has been given. We should not lose sight of this fact while judging the performance of GST. The details are given in the annexure.131. We are further simplifying the GST processes. A simplified single monthly return is being rolled out. Taxpayer having annual turnover of less than `5 crore shall file quarterly return. Free accounting software for return preparation has been made available to small businesses. A fully automated GST refund module shall be implemented. Multiple tax ledgers for a taxpayer shall be replaced by one.132. It is also proposed to move to an electronic invoice system wherein invoice details will be captured in a central system at the time of issuance. This will eventually be used to prefill the taxpayer’s returns. There will be no need for a separate e-way bill. Its roll out would begin from January, 2020. Electronic invoice system will significantly reduce the compliance burden.133. On the Customs side my proposals are driven with the objectives of securing our borders, achieving higher domestic value addition through make in India, reducing import dependence, protection to MSME sector, promoting clean energyClean energy A term that groups energy sources, infrastructure, applications and related assets that are compatible with a net zero emissions energy system. The IEA uses this term primarily to sum all the investments related to clean energy. The categories of investment include: in power, generation from renewable sources, nuclear and fossil fuels fitted with CCUS, plus battery storage and electricity grids; in efficiency, energy efficiency in buildings, industry and transport, excluding aviation bunkers and domestic navigation; in end-use applications, direct use of renewables, electric vehicles, electrification in buildings, industry and international marine transport, plus use of hydrogen, hydrogen-based fuels, CCUS in industry and direct air capture; and in fuel supply, low-emissions fuels, liquid biofuels and biogases and hydrogen-based fuels., curbing non-essential imports, and correcting inversions.134. Defence has an immediate requirement of modernisation and upgradation. This is a national priority. For this purpose, import of defence equipment that are not being manufactured in India are being exempted from the basic customs duty.135. Make in India is a cherished goal. In order to provide domestic industry a level playing field, basic customs duty is being increased on items such as cashew kernels, PVC, Vinyl flooring, tiles, metal fittings, mountings for furniture, auto parts, certain kinds of synthetic rubbers, marble slabs, optical fibre cable, CCTV camera, IP camera, digital and network video recorders etc. Also, exemptions from custom duty on certain electronic items which are now being manufactured in India are being withdrawn. Further, end use based exemptions on palm stearin, fatty oils, and exemptions to various kinds of papers are also being withdrawn. To encourage domestic publishing and printing industry, 5 % custom duty is being imposed on imported booksBook Council of Trent (1545–1563) the Catholic Church created a Congregation of the Index, to declare a writing dangerous and to burn it, till it exists without notice. For Christians, the Bible, and for Muslims Quran, is only good for human guidance and nothing else. After Jesus, St. Peter and St. Paul are the most educated persons in the Christian world..136. To further promote domestic manufacturing, customs duty reductions are being proposed on certain raw materials and capital goods. These include certain inputs of CRGO sheets, amorphous alloy ribbon, ethylene di-chloride, propylene oxide, cobalt matte, naphtha, wool fibres, inputs for manufacture of artificial kidney and disposable sterilised dialyser, and fuels for nuclear power plants. To further incentivise e-mobility, customs duty is being exempted on certain parts of electric vehicles. Customs duty is also being exempted on capital goods required for manufacture of specified electronic goods.137. Export duty is being rationalised on raw and semi-finished leather to provide relief to this sector.138. Crude prices have softened from their highs. This gives me a room to review excise duty and cess on petrol and dieselDiesel An oil product, typically the output of a refinery, designed to match the requirements of a diesel engine. Can also be produced synthetically from synthesis gas (syngas). Generally composed of about 75% saturated hydrocarbons and 25% aromatic hydrocarbons, with an average chemical formula of C12H23. The quality of diesel combustion is indicated by the cetane number. In advanced economies, diesel fuel is now of the ultra-low sulphur diesel (ULSD) type. Diesel has a specific energy of around 45.5MJ/kg and contains the energy of 1.077litres of gasoline equivalent (lge).. I propose to increase Special Additional Excise duty and Road and Infrastructure Cess each by one rupee a litre on petrol and diesel. It is also proposed to increase custom duty on gold and other precious metals from 10% to 12.5%.139. Tobacco products and crude attract National Calamity and Contingent duty. In certain cases this levy has been contested on the ground that there is no basic excise duty on these items. To address this issue, a nominal basic excise duty is being imposed.140. I am also proposing few amendments to the Customs Act. Recent trends reveal that certain bogus entities are resorting to unfair practices to avail undue concessions and export incentives. While we have intensified our efforts against such nefarious activities, provisions are being incorporated in the Act for enhanced penalty and prosecution for such offences. Further, misuse of duty free scrips and drawback facility involving more than fifty lakh rupees will be a cognizable and non-bailable offence.141. GST has just completed two years. An area that concerns me is that we have huge pending litigations from pre-GST regime. More than ` 3.75 lakh crore is blocked in litigations in service tax and excise. There is a need to unload this baggage and allow business to move on. I, therefore, propose, a Legacy Dispute Resolution Scheme that will allow quick closure of these litigations. I would urge the trade and business to avail this opportunity and be free from legacy litigations.142. The details of my tax proposals are given in the Annexure.143.Mr. Speaker Sir, with these words I commend the Budget to this august House.Annex to Part B of Budget Speech

Direct Tax Proposals:

1.Widening and deepening of tax base1.1

: Presently, there is no requirement for an individual or HUF to deduct tax at source on payments made to a resident contractor or professional when it is for personal use, or if the individual or HUF is not subjected to audit for his business or profession. It is proposed to insert a new provision making it obligatory for such individual or HUF to deduct tax at source at the rate of five per cent. if the annual payment made to a contractor or professional exceedsRs.50 lakh. It is also proposed that a person deducting tax under this section shall be able to deposit TDS on the basis of the Permanent Account Number (PAN) only. It is also proposed to enable filing of application for issue of certificate for nil or lower rate of TDS.1.2

: It is proposed to provide that for the purpose of tax deduction at source from payment made for acquisition of immovable property, consideration shall include other charges in the nature of club membership fee, car parking fee, electricity and water facility fee, maintenance fee, advance fee or any other charges of similar nature which are incidental to the purchase of immovable property.1.3

: Presently, gifts made by a resident to another resident are liable for income tax subject to some exemptions. It is proposed to provide that gift of any sum of money, or property situated in India, by a person resident in India to a person outside India (not being a gift otherwise exempt), on or after 5th day of July 2019, shall be deemed to accrue or arise in India.1.4

It is proposed to make return filing compulsory for persons, who have deposited more thanRs.1 crore in a current account in a year, or who have expended more thanRs.2 lakh on foreign travel or more thanRs.1 lakh on electricity consumption in a year or who fulfils the prescribed conditions, in order to ensure that persons who enter into high value transactions also furnish return of income. It is also proposed to provide that a person whose income becomes lower than maximum amount not chargeable to tax due to claimA Claim A claim is “factually unsustainable” where it could be said with confidence before trial that the factual basis for the claim is entirely without substance, which can be the case if it were clear beyond question that the facts pleaded are contradicted by all the documents or other material on which it is based. of rollover benefit of capital gains shall also be required to furnish the return.1.5

: It is proposed to provide interchangeability of PAN and Aadhaar to enable a person who does not have PAN but has Aadhaar to use Aadhaar in place of PAN under the Act. The Income Tax Department shall allot PAN to such person on the basis of Aadhaar after obtaining demographic data from the Unique Identification Authority of India (UIDAI). It is also proposed to provide that a person who has already linked his Aadhaar with his PAN may at his option use Aadhaar in place of PAN under the Act.1.6

: In order to track high value transactions, it is proposed to provide that the quoting and authentication of PAN/Aadhaar shall be mandatory for certain prescribed transactions. It is also proposed to provide that the person receiving relevant documents shall ensure correct quoting and authentication of PAN/Aadhaar for the prescribed transactions. To ensure compliance of these provisions it is also proposed to amend the relevant penalty provisions.1.7

: Presently, the Act provides for making PAN invalid if it is not linked with Aadhaar within a notified date. In order to protect past transactions carried out through such PAN, it is proposed to provide that if a person fails to intimate the Aadhaar number, the PAN allotted to such person shall be made inoperative in the prescribed manner after the date notified for the said linking.1.8

: In order to obtain more information to enable pre-filling of returns of income, it is proposed to widen the scope of furnishing of statement of financial transactions (SFT) by mandating furnishing of statement by the prescribed persons other than those who are currently furnishing the same. It is also proposed to remove the current threshold ofRs.50,000 for application of the provisions requiring furnishing of information, in order to ensure pre-filling of smaller amounts of transactions also. Further, for ensuring the accuracy of the information furnished, a suitable amendment to the relevant penalty provisions is also proposed.2.Measures for promoting less cash economy2.1

: There are various provisions in the Act which prohibit cash transactions and allow or encourage payment or receipt only through account payee cheque, account payee draft or electronic clearing system through a bank account. To promote other electronic modes of payment, it is proposed to amend these provisions to also allow payment or receipt through other prescribed electronic modes.2.2

: In order to discourage large amount of cash withdrawal from bank accounts, it is proposed to provide for tax deduction at source at the rate of 2% on cash withdrawal by a person in excess ofRs.1 crore in a year from his bank account. Some business models, where large cash withdrawal is a necessity, are proposed to be exempted. It is also proposed that the Central Government may notify the persons to whom these provisions shall not be applicable in consultation with the Reserve Bank of India.2.3

: For ensuring that business enterprises provide facility for making payment through low-cost electronic mode, it is proposed to insert a new section so as to provide that a business enterprise whose annual turnover exceedsRs.50 crore shall provide facility for prescribed low cost electronic modes of payment. For ensuring compliance, a suitable penalty provision is also proposed to be inserted in the Act.3.Tax Incentives3.1

:In order to promote the development of world class financial infrastructure in India, some tax concessions have already been provided in respect of businesses carried on from an IFSC. To further promote such developments and bring the IFSC at par with similar IFSCs in other countries, following additional tax benefits are proposed:(i) Currently, a unit in the IFSC is allowed deduction of 100% of profits for first five consecutive years and 50% for next five consecutive years from the year of commencement. It is proposed to provide for 100% deduction for 10 consecutive years and also to provide that the unit may claim the said deduction, at its option, for any 10 consecutive years out of 15 years from the year of commencement.(ii) It is proposed to provide tax exemptions for interest received by a non-resident in respect of monies lent to a unit located in IFSC.(iii) A non-resident is currently not required to pay capital gains tax on the transfer of specified securities made on a recognised stock exchange in the IFSC. This benefit is proposed to be extended to a Category-III Alternative Investment Fund (AIF) in IFSC of which all the unit holders are non-residents, subject to certain other conditions.(iv) It is also proposed to notify other securities which shall be eligible for capital gains exemptions if traded on a recognised stock exchange in IFSC by a specified person.(v) Presently, dividend distribution tax (DDT) is not levied on the distribution of dividend by a company located in IFSC if the same is distributed out of current income. It is proposed to extend this benefit of exemption to distribution out of accumulated profit which has been accumulated by the unit after 1st April, 2017 from operations in IFSC.(vi) In order to facilitate setting up of mutual funds in the IFSC, it is proposed that there would be no additional tax on distribution of any amount, on or after 1st September, 2019, by a specified Mutual Fund out of its income derived from transactions made on a recognised stock exchange located in any IFSC.(vii) It is proposed to allow deduction under section 80LA to a non-resident for the purpose of computing tax liability in respect of income of the nature of interest, dividend etc. referred to in section 115A.3.2

: Presently, interest income on bad or doubtful debts made by NBFCs is charged to tax on accrual basis. However, in cases of scheduled banks, public financial institutions, state financial corporations, state industrial investment corporations, cooperative banks and certain public companies like housing finance companies, interest on bad or doubtful debts is charged to tax on receipt basis. To provide a level playing field, it is proposed that interest on bad or doubtful debts in the case of deposit-taking NBFC and systemically important non deposit-taking NBFC shall be charged to tax on receipt basis. It is also proposed to provide that deduction of such interest shall be allowed to the payer on actual payment.3.3

: The condition for carry forward and set off of losses in cases of eligible start-ups is proposed to be relaxed enabling them to carry forward their losses on satisfaction of any one of the two conditions, i.e. continuity of 51% shareholding/voting power or continuity of 100% of original shareholders. Further, the provision which allows exemption of capital gains from sale of residential property on investment of net consideration in equity shares of eligible start-up shall be extended by 2 years. Thus the benefit shall be available for sale of residential property on or before 31st March, 2021. The condition of minimum holding of 50% of share capital or voting rights in the start-up is proposed to be relaxed to 25%. The condition restricting transfer of new asset being computer or computer software is also proposed to be relaxed from the current 5 years to 3 years.3.4

: In order to encourage resolution for companies whose board of directors have been suspended by National Company law Tribunal (NCLT) and new Directors have been appointed by NCLT on the recommendation of the Central Government, it is proposed that the conditions of continuity of shareholding for carry forward and set off of losses shall not apply to such companies. It is also proposed to provide that for the purposes of computation of Minimum Alternate Tax (MAT) liability of such companies, the aggregate of brought forward losses and unabsorbed depreciation shall also be allowed as deduction.3.5

: In order to facilitate resolution through the approved schemes, where the parties to the transactions do not have control over the determination of price, it is proposed to empower the Board to prescribe transactions for which the provisions relating to deeming of fair market value of shares shall not be applied for computation of capital gains and deemed gift under section 50CA and section 56(2)(x).3.6

In order to contain the current account deficit and augment the foreign exchange inflow, the Government had issued a press release on 17th September, 2018 exempting interest income of non-resident from RDB issued by a company or a business trust, outside India, during the period 17th September, 2018 to 31st March, 2019. It is proposed to incorporate this tax incentive in the Income-tax Act.3.7

In 2015, the Government had enacted a specific concessional regime to facilitate location of fund managers of offshore funds in India. This was subjected to some conditions. Two of these conditions, relating to the remuneration of fund manager and the time limit for building up of corpus, are proposed to be rationalised so as to facilitate setting up of fund management activity in India with respect to such offshore funds.3.8

: Presently, the investment made by Category-I AIF is exempted from the applicability of the provisions of section 56(2)(viib) of the Income-tax Act. It is proposed to extend this exemption to Category-II AIF as well.3.9

: In order to incentivise purchase of electric vehicle by an individual, it is proposed to provide deduction of an amount uptoRs. 1,50,000 for interest paid on loan taken for purchase of electric vehicle. The loan is required to be taken on or before 31st March, 20232023 Main events: Library Posts.4.Incentives for real estate4.1

: In order to incentivise purchase of affordable house, it is proposed to provide a deduction uptoRs.1,50,000 for interest paid on loan taken for purchase of residential house having value uptoRs.45 lakh. This shall be in addition to the existing interest deduction ofRs.2 lakh.4.2

: In order to align the definition of affordable housing in the Income-tax Act with the GST Acts, it is proposed to increase the limit of carpet area from 30 square meters to 60 square meters in Metropolitan regions and from 60 square meters to 90 square meters in non-metropolitan regions. It is also proposed to provide the limit on cost of the house atRs.45 lakh in line with the definition in the GST Acts.5.Incentives to National Pension System (NPS) subscribersIn order to give effect to the cabinet decision already taken to incentivise NPS, it is proposed to,-

1. increase the limit of exemption from current 40% to 60% of payment on final withdrawal from NPS;
2. allow deduction for employer’s contribution upto 14% of salary from current 10%, in case of Central Government employee;
3. allow deduction under section 80C for contribution made to Tier II NPS account by Central Government employees.

6.Preventing tax abuse6.1 In order to discourage the practice of avoiding Dividend Distribution Tax (DDT) through buy back of shares by listed companies, it is proposed to provide that listed companies shall also be liable to pay additional tax at 20% in case of buy back of share, as is the case currently for unlisted companies.6.2 In order to ensure that a trust or institution complies with local laws that are material for the purposes of achieving its objects, it is proposed to provide for cancellation of registration of the trust or institution under the Act for violation of such provision of any other law, where an order holding that such violation has occurred is either not contested or has become final. It is proposed to provide that at the time of registration it shall also be examined whether there has been any such violation by the trust or institution seeking registration.7.Rationalisation measures7.1 It is proposed to relax the definition of ‘demerger’ to allow the resulting company to record the value of the property and liabilities at a value different from the bookBook Council of Trent (1545–1563) the Catholic Church created a Congregation of the Index, to declare a writing dangerous and to burn it, till it exists without notice. For Christians, the Bible, and for Muslims Quran, is only good for human guidance and nothing else. After Jesus, St. Peter and St. Paul are the most educated persons in the Christian world. value in compliance with the Indian Accounting Standards.7.2 It is proposed to provide that where there is a failure to deduct tax at source on payments made to a non-resident and such non-resident has filed its tax return, paid taxes on such income and has furnished a prescribed certificate from an accountant, the deductor shall not be held as assessee in default. It is also proposed to provide that in such cases, there would not be any corresponding disallowance of expenditure in the hand of deductor.7.3 It is proposed to clarify that once an Advance Pricing AgreementContract An agreement enforceable by law is a contract. All agreements are contracts if they are made by the free consent of parties competent to contract, for a lawful consideration and with a lawful object, and are not hereby expressly declared to be void. Indian Contract Act. (APA) has been signed and modified return is filed by the assessee, the Assessing Officer needs to only modify the total income in accordance with the APA.7.4 It is proposed to simplify the provisions of secondary adjustment (in case of transfer pricing) by providing that instead of interest payment every year, the assessee shall have option of a one-time payment of tax of specified amount.7.5 It is proposed to clarify that master file needs to be filed even when there is no international transaction and that the Assessing Officer and Commissioner (Appeals) do not have power to call for master file from the assessee.7.6 It is proposed to provide that concessional rate of short term capital gains tax shall also apply to fund of funds set up for disinvestment of Central Public Sector Enterprises (CPSEs), to which concessional rate of long term capital gains tax has already been extended.7.7 It is proposed to allow pass through of losses in cases of Category I and II AIF similar to pass through of income which is allowed at present.7.8 It is proposed to provide that relief for taxes paid in respect of arrears or advance of salary etc. shall be taken into consideration while calculating the amount of self-assessment tax and for computing of interest payable by the assessee.7.9 It is proposed to provide that tax shall be withheld on taxable payout of life insurance companies on net basis at 5%, instead of 1% on gross as at present.7.10 It is proposed to provide for determination and computation of under-reported income for penalty purposes in a case where return is furnished for the first time under section 148 of the Act.7.11 It is proposed to amend the prosecution provision for non-filing of return of income so as to provide reference of self-assessment tax paid before the expiry of the assessment year, and tax collected at source, in the said provision and to increase the threshold of tax payable fromRs.3,000 toRs.10,000, for proceeding against a person.7.12 To enable fulfilment of our treatyTreaties Treaties are binding agreements between nations and become part of international law. Treaties to which the United States is a party also have the force of federal legislation, forming part of what the Constitution calls ''the supreme Law of the Land.'' U.S. presidents have frequently entered the United States into international agreements without the advice and consent of the Senate. These are called "executive agreements." Though not brought before the Senate for approval, executive agreements are still binding on the parties under international law. Bilateral treaty: An international agreement concluded between two states. Vienna Convention on the Law of Treaties( 23 May 1969) obligations for providing assistance in collection of taxes, it is proposed to provide for recovery of tax in cases where details of property of a specified person is not available but the said person is a resident in India. Correspondingly, India will also be able to request similar assistance from other countries.7.13 It is proposed to provide that every claim for refund under Chapter XIX of the Act shall be made by furnishing return in accordance with the provisions of section 139 of the Act.7.14 It is proposed to provide for mechanism for taxation upon violation of conditions, subject to which exemption from applicability of the provisions of section 56(2)(viib) of the Act has been granted to notified persons.7.15 It is proposed to amend section 56(2)(viii) of the Act consequent to the substitution of section 145A vide Finance Act, 2018.7.16 Rule 68B of the Second Schedule to the Income Tax Act, 1961 relating to time limit for sale of attached immovable property is proposed to be amended so as to extend the period of limitationPeriod of limitation Arbitration: State of Himachal Pradesh and Another v. Himachal Techno Engineers and Another [2010] 8 SCR 1025 : (2010) 12 SCC 210; Assam Urban Water Supply & Sewerage Board v. Subash Projects & Mktg. Ltd. [2012] 1 SCR 403 : (2012) 2 SCC 624; Union of India v. Popular Construction Co. [2001] Supp. 3 SCR 619 : (2001) 8 SCC 470 from three years to seven years. It is also proposed to empower the Board to extend this period by further period of three years in appropriate cases.7.17 To prevent fraud, it is proposed to provide for extra time for passing an order under section 201 of the Act for treating a person as assessee in default, when correction statement is filed.7.18 It is proposed to enable e-filing of statement in respect of transactions from which tax has not been deducted and also to increase the limit of interest payment in consequence to the amendment made in section 194A.7.19 It is proposed to provide for rationalisation of the definition of “accounting year” for alternate reporting entity which is required to file Country-by-Country report.7.20 It is proposed to provide for online filing of application by a person making a payment to a non-resident seeking determination of tax to be deducted at source.7.21 The provisions of the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 are proposed to be amended to redefine the term “assessee”, so that it may be clarified that the residential status of the assessee, in the previous year in which the income is earned or the asset is acquired, shall be the determinative factor for charging under the said Act. A clarificatory amendment is also proposed in section 10 of the said Act in respect of reassessment. It is also proposed to provide that the Commissioner (Appeals) shall have the power to enhance a penalty and the Joint Commissioner may issue direction to the assessing officer.7.22 Section 187 and 191 of the Finance Act, 2016 are proposed to be amended to enable payment of unpaid dues with interest and refund of excess amount paid under the Income Declaration Scheme, 2016.7.23 Section 99 of the Finance (No.2) Act, 2004, is proposed to be amended to provide that value of taxable securities transaction in respect of sale of an option in securities, where option is exercised, shall be the difference between the settlement price and the strike price.7.24 It is proposed to extend the tax exemption available to the Special Undertaking of the Unit Trust of India (SUUTI) for a further period of two years till 31st March, 2021. Recent Direct Tax Initiatives:1.

: Direct tax revenue has increased significantly over the past couple of years due to the efforts taken by the Government.1.1 FromRs.6.38 lakh crore in FY 2013-14 to aroundRs.11.37 lakh crore in FY 2018-19, the growth in direct tax collections is more than 78%. It is now growing at double digit rates every year. The details of annual direct tax collections over the period 2013-14 to 2018-19 are given in the table below.

1.2 Moreover, due to various initiatives and taxpayer outreach programmes undertaken by the Government, the number of taxpayers has also increased by approximately 48% over the period 2013-14 to 2017-18, from 5.71 crore taxpayers to 8.44 crore taxpayers. The details of the number of taxpayers over the period 2013-14 to 2017-18 are given in the table below.

^*A taxpayer is a person who either has filed a return of income or in whose case tax has been deducted but the person has not filed return of income.

Some of the major direct tax policy initiatives taken by the Government are discussed below.2.

: It is an ongoing endeavour of the Government to moderate the tax rate in order to reduce the tax burden and increase compliance. In this direction, following major steps have been taken:(i) 100% tax rebate was provided to individuals having taxable income up toRs.5 lakh. Thus, no income-tax is payable by an individual having taxable income up toRs.5 lakh.(ii) The tax rate for corporate assessees was gradually reduced to 25% and currently, only large corporates (with turnover aboveRs.250 crore) are required to pay tax at the rate of 30%. Moreover, even a large new manufacturing company having turnover aboveRs.250 crore is taxed at 25%.(iii) Basic exemption limit was increased fromRs.2 lakh toRs.2.5 lakh.(iv) Exemption limit for senior citizens was increased fromRs.2.5 lakhs toRs.3 lakh.(v) Tax rate for the slabRs.2.5 to 5 lakh was reduced from 10% to 5%.(vi) Standard deduction ofRs.40,000 was introduced for salaried taxpayers and pensioners and was further increased toRs.50,000.(vii) Levy of wealth tax was abolished.3.

: With a view to increase savings and promote healthcare among individuals including senior citizens, several measures have been taken by this Government. Some of them are as under:(i) Deduction limit for savings under section 80C was increased fromRs.1 lakh toRs.1.5 lakh.(ii) The deduction limit for medical insurance was increased fromRs.15,000 toRs.25,000. For senior citizens, the deduction limit was increased fromRs.20,000 toRs.50,000.(iii) Deduction limit for individuals with disability was increased byRs.25,000.(iv) Deduction ofRs.50,000 was provided on interest income from deposits for senior citizens.(v) Deduction limit for senior citizens for medical expenditure for critical illnesses was increased fromRs.60,000 toRs.1,00,000.4.

: Small businesses constitute the backbone of our economy. In order to reduce the compliance burden of small businesses and professionals, following measures have been taken by this Government:(i) Threshold for presumptive taxation of businesses was raised fromRs.1 crore toRs.2 crore.(ii) For maintenance of books of accounts by individuals and HUFs,(a) income threshold was raised fromRs.1.20 lakh toRs.2.5 lakh; and(b) turnover threshold was raised fromRs.10 Lakh toRs.25 Lakh.(iii) Presumptive taxation was introduced for professionals having receipts up toRs.50 lakh.5.

: Housing has been an area of concern for middle and lower-middle class. Further, real estate sector plays a significant role in generating employment in the economy. Considering the importance of housing sector, this Government has taken the following measures to promote this sector:(i) Deduction of interest on loan taken to purchase self-occupied house property was increased fromRs.1.5 lakh toRs.2 lakh.(ii) 100% deduction was provided for the income of affordable housing projects.(iii) The base year for computation of long term capital gains was shifted from 1981 to 2001.(iv) Holding period for long-term gain on immovable property was reduced from 36 months to 24 months.(v) Safe harbour of 5% on stamp duty value was provided for the purpose of computation of capital gains on immovable property.6.

: Tax policy plays an important role in promoting the growth and creation of employment. A number of measures have been taken by this Government in this direction, some of which are as under:(i) Profit-linked deduction was introduced for start-ups.(ii) The scope of investment-linked deduction was broadened by including certain new sectors, including infrastructure, which are critical to growth.(iii) Investment allowance and higher additional depreciation was provided for undertakings set up in backward regions of states of Andhra Pradesh, Bihar, Telangana and West BengalWest Bengal Bengal derived its name from Vedic king Vanga (Son of Vali). Banga was part of the Magadha Kingdom of Jarasandha and later Nanda dynasty. After the Garuda Dynasty ( history lost) the region was named Gouda Bhumi.DistrictsNorth 24 ParganasSouth 24 ParganasBankuraBirbhumCoochBiharDakshin DinajpurDarjeelingHooghlyHowrahJalpaiguriJhargramKalimpongKolkataMaldaMurshidabadNadiaPaschim BurdwanPurba BurdwanPaschim MedinipurPurba MedinipurPuruliaUttar DinajpurAlipurduarGovt SiteCalcutta High CourtKMC.(iv) Incentive for employment generation was broadened and the conditions for eligibility to claim the incentive were relaxed.(v) Benefit was provided for computation of MAT liability and carry forward of loss for companies under Insolvency and Bankruptcy CodeInsolvency and Bankruptcy Code The Code is to consolidate and amend the laws relating to reorganisation and insolvency resolution of corporate persons, partnership firms, and individuals in a time-bound manner, for maximization of the value of the assets of such persons, to promote entrepreneurship, availability of credit and to balance the interest of all the stakeholders. Limited Insolvency Examination Syllabus 2019. (IBC).(v) Safe Harbour provisions were further liberalised to align with industry standards.(vi) Scope of domestic transfer pricing provisions was restricted only for transactions between enterprises having profit-linked deductions.(vii) Pass through status was provided to Category I & II Alternative Investment Funds (AIFs).(viii) The time period for carry forward of MAT credit was increased from 10 to 15 years.7.

: Black money eats into the vitals of our economy. It is the conviction of the Government that elimination of poverty and inequity in our society cannot be achieved unless the problem of generation and concealment of black money is dealt with forcefully and effectively.7.1 To this end, the Black Money (Undisclosed Foreign Income and Assets) and Imposition of Tax Act, 2015 was introduced to address the problem of concealed foreign assets. To target domestic black money, the Benami law was comprehensively amended to enable confiscationConfiscation The term includes forfeiture where applicable and means the permanent deprivation of funds or other assets by order of a competent authority or a court. It or forfeiture takes place through a judicial or administrative procedure that transfers the ownership of specified funds or other assets to be transferred to the State. In this case, the person(s) or entity(ies) that held an interest in the specified funds or other assets at the time of the confiscation or forfeiture loses all rights, in principle, to the confiscated or forfeited funds or other assets. The orders are usually linked to a criminal conviction or a court decision whereby the confiscated or forfeited property is determined to have been derived from or intended for use in a violation of the law (FATF) of benami property and provide for prosecution, thus blocking a major avenue for generation and holding of black money in the form of Benami property, especially in real estate.7.2 One of the most effective ways to deal with the generation of black money is to reduce the level of cash transactions in the economy. In furtherance of this objective of ushering in a less cash economy, the government took a slew of measures, the major ones being as under:(i) Acceptance of cash payment ofRs.20,000 or more for immovable property transaction was prohibited.(ii) Cash transaction limit for business transactions was reduced.(iii) The threshold for cash donation to charitable trusts was reduced fromRs.10,000 toRs.2,000.(iv) Threshold ofRs.2,000 was introduced for acceptance of cash donation by political parties.(v) Profit rate for non-cash transactions in presumptive regime for businesses was reduced from 8% to 6%.(vi) Any cash transaction ofRs.2,00,000 or more was prohibited.

INDIRECT TAXES

1. PROPOSALS RELATING TO CHANGE IN CUSTOM DUTY RATES:

2. PROPOSALS INVOLVING CHANGE IN EXPORT DUTY RATES:

3. AMENDMENTS TO THE CUSTOMS TARIFF ACT, 1975

4.MAJOR AMENDMENTS IN THE CUSTOMS ACT, 1962

5.PROPOSALS INVOLVING CHANGE IN EXCISE DUTY RATES:

Note:“Basic Excise Duty” means the excise duty set forth in the Fourth Schedule to the Central Excise Act, 1944.“NCCD” means National Calamity Contingency Duty set forth in seventh schedule to Finance Act, 20016.Sabka Vishwas Legacy Dispute Resolution Scheme

7.PROPOSALS INVOLVING CHANGE IN GOODS AND SERVICE TAX PROVISIONS:

The proposed changes in GST law shall come into effect from a date to be notified after the respective SGST Acts are also amended by the States.

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