Union Budget 2017 Highlights main key points

Union Budget 2017 Highlights main key points. Union Budget 2017 proposed to offer many benefits on small and medium enterprises (SME) in the country.

Income tax on companies with annual turnover of less than Rs 50 crore per year has been reduced to 25% from the earlier 30%. The lending target for Pradhan Mantri Mudra Yojana (MUDRA) has been doubled to Rs 2.44 crore for FY2017-2018.

Finance Minister also decided to continue the preferential taxation announced last year. Under the scheme of presumptive taxation, 8% of the turnover is counted as income in case of the taxpayers’ turnover is less than Rs 2 crore.

Union Budget 2017 Highlights main key points

Jaitley reduces income tax rate from 10% to 5% for tax slab of Rs 250,000 to Rs 500,000

Oil prices, rising dollar and volatile commodity prices seen as risks to Indian economy.

India is seen as engine of global growth, have witnessed historic reform in last one year.

Surcharge of 10% for those whose annual income is Rs 50 lakh to 1 crore

15% surcharge on incomes above Rs 1 crore to continue.

Food subsidy estimated at Rs 1.45 trillion in 2017/18 versus Rs 1.35 trillion revised estimate for 2016/17

Fuel subsidy seen at Rs 250 billion in 2017/18 versus Rs 275 billion revised estimate for 2016/17

Defense expenditure excluding pension at Rs 2.74 lakh crore .

Fiscal deficit for 2017-18 pegged at 3.2 percent of GDP .

Fiscal deficit target for next three years pegged at 3 percent.

India’s tax-to GDP ratio is very low. We are largely a tax non compliance society, when too many people evade taxes burden falls on those who are honest

Fertilizer subsidy seen unchanged in 2017/18 at Rs 700 billion.

Union Budget 2017 and income tax slabs

The government has reduced the personal income tax rate for those in the tax slab of Rs2.5 lakh to Rs5 lakh to 5% from 10% earlier, which translates into a saving of Rs12,500 (without including cess) for everyone.

The reduction in the first tax slab along with a rebate of Rs2,500 for income up to Rs3.5 lakh means that if your annual income is Rs3 lakh, you don’t pay any taxes.

who earn up to Rs4.5 lakh a year don’t pay taxes if you factor in the section 80C deduction of Rs1.5 lakh and the rebate.

But for the rich there is some pain in the form of a surcharge. This budget levied a surcharge of 10% for those with incomes Rs50 lakh-Rs1 crore

So, friends, all of above key point of budget 2017. hope you like our Data, make a Comment in Below box. Thank you.

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