Direct Tax Highlights
Income tax department is expected to function not only as an enforcement dept but also as a facilitator
Net effect of direct tax proposals is revenue loss of Rs 22,200 crore
60 more ‘Ayakar Sewa Kendras’ to be set up.
Housing loan rebate to raised from 1.5 lakh to 2 lakh: Jaitley
Investment limit under 80C raised from Rs 1 lakh to Rs 1.5 lakh
Tax exemption limit for small and marginal, and senior tax payers changed from Rs 2 lakh to Rs 2.5 lakh.
Personal income tax limit increased by Rs 50,000 for people below 60 years.
No changes in tax rates for individuals.
FM raises PPF ceiling to Rs 1.5 lakh
Indirect Tax Highlights
Indian Custom Single Window Project to be taken up for facilitating trade: FM
Clean energy cess increased from Rs 50/tonne to Rs 100/tonne.
Tax proposals on indirect tax front would yield Rs 7,525 crore.
Aim to broaden tax base, negative list for service tax has been reviewed
Excise duty raised on tobacco products and aerated water products with added sugar.
FM announces reduction in excise duty for specified food package industry from 10% to 6%.
Excise duty on footwear reduced from 12% to 6%.
Soaps and oil products to become cheaper.
Basic custom duty on LED panel below 19 inch made nil
Personal computers, electronic goods to be cheaper. Jaitely announces proposals to make CRT TVs cheaper