On February 1, 2020 Finance Minister Nirmala Sitharaman presented the new Union Budget of India. As per her economic policies, the main motives of this is to boost the income of and maximize the purchasing power. Here are some of the main highlights of Union Budget 2020


INCOME TAX

  • There will be no tax upto Rs 5 lakh
  • Tax for citizen having income between Rs 5 lakh to 7.5 will be reduced to 10 %
  • Tax for citizen having income between Rs 7.5 lakh to 10 lakh will be reduced to 15%
  • Tax for citizen having income between Rs 10 lakh to 12.5 lakh will be reduced to 20%
  • Tax for citizen having income between Rs 12.5 lakh to 15 lakh will be reduced to 30%
  • Taxes will be abolished for dividend distribution policies
  • Simplifying tax system and lower tax rates by reducing the unnecessary exemptions
  • Swach Bharat policies will be allocated Rs 12,300 Crore
  • Employee Stock Option is likely to be deferred by 5 years or more to boost start-ups.
  • Reduction in debt of Government is likely to seen to 48.7% from 52.2%

Infrastructure

  • More focus on UDAAN scheme by developing more aiports by 2024.
  • Fiber Home Internet connections will be allocated to more than 1 lakh Indian Gram Panchayat, under the Bharat Net policies.
  • Consideration of National Logistic Policies in upcoming future.
  • Expansion of National Grid Gas
  • Making sure that further projects will be started for engineers and manager.

Energy

  • More than Rs 22,000 Crore to be provided to renewable energy sectors

Women Welfare

  • Women Welfare programmes are allocated Rs  28,600 Crores
  • Nutrition based policies will be allocated Rs 35,600 Crore

Health Sector

  • More than Rs 69,000 Crore will allocated and to National Health sector and policies

Agriculture sector

  • Milk production capacity is likely to be doubled before 2025
  • Production of fish will increased by 200 lakh tonne before 2023
  • Holding capacity will be again provided by to villagers under Dhanya Lakshmi scheme
  • NABARD scheme is more likely expanded by 2025
  • As per KISAN policies, solar pumps will be provided to more than 20 lakh farmers

Sports sector

  • Under Khelo India Program, the government is providing Rs. 291.42 Crore as hike
  • Sports budget for next year are now allocated as Rs. 2826.92 Crore

GDP

  • 15% for corporate tax which is lowest in the world
  • Rs. 5 Crore for turnover threshold audit
  • Expenditure budget is now set at Rs 30.42 lakh crore 
  • Fiscal Deficit is at 3.8% more than desired objective

Defence

  • For year 2021, the defence budget is now set at Rs 3.37 lakh crore