Budget 2009-10“There’s something in it for everybody”

Budget SnapshotBudget Snapshot

Budget 2009-10

New Delhi, July 6 : Union Finance Minister Mr.Pranab Mukheree on Monday presented the General

Budget 2009-10 in the Parliament

• Fringe Benefit Tax Gone• More Money for Rural Jobs• Big Push for City Upgrades• Pay Less Income Tax, No Surcharge• Big Cars, LCD TV’s to Cost Less• Expert Panel looking into Petroleum

Product Pricing• Fertilizer Subsidy to go Directly to

Farmers

Fact File

• Funding for National Highway Development Programme increased to Rs.8,578 cr

• Allocation for Jawaharlal Nehru Renewal Mission increased by 87% to Rs. 12,887 cr

• Rs.3,973 cr for houses and amenities for Urban Poor.

• Storm-water drainage project fund hiked to Rs.500 cr

FEEDING INFRA GROWTH

• Special Fund of Rs.4,000 cr to be provided to Micro,small & medium enterprises (MSMEs)

• Allocation of funds to the tune of Rs.3140 cr from Rs1090 cr for Technology Upgradation Fund Scheme(TUFS)

• 7%, the rate of subsidised bank loans remain unchanged for handloom,handicraft,carpets etc.

• Custom Duty on Gold,Silver slabs inceased

Funds for Industries

• Cosmetic & Plastic Surgery due to increase in Service Tax upto 10%

• Legal Consultancy (Law firms will now have to pay a service tax of 10%)

• Watching TV becomes costlier (Due to imposition of 5% Customs Duty, pushing DTH prices)

Prices which went

• Cheaper Education Loans for Poor (Govt to subsidise interest on education loans)

• Branded Jewellery to cost less (abolishment of excise duty of 2%)

• Reasonable Coffee machines (Duty concessions for imported coffee machines)

• Petrol Trucks to cost less (Excise duty cut to 8% from 12%)

Prices which went

• Cigarettes• Biscuits• Pressure Cookers• Cakes & Pastries• Steel• Foot ware priced b/w Rs. 250 & Rs.750• Compact Fluorescent Lamps

Prices which remained Unchanged

The Sensex plunged 869 points or 5.8% to close at 14,043

Stock Market did what they often do after budgets

Top Sensex losers

Reliance Infra

ICICI Bank

L&T SBI DLF0

2

4

6

8

10

12

14

Percentage

• Now it would be interesting to know how the RBI responds to the budget.

• There has been a mixed reaction of the public in respect of the budget, but over viewing it “The Budget Combines a growth stimulas with a degree of protection against worldwide worries”

Budget 2009-10