New Delhi, February 1: Finance minister Piyush Goyal presented the Interim Budget 2019 and introduced some elements that are being pegged as "game-changer" by the ministers in the government and as "election sops" by Opposition leaders. Interim Finance Minister Piyush Goyal said that there will be an increase in the Income Tax exemption limit to Rs 5 lakh per year, a move that is being discussed the most. However, the Congress called the budget as BJP's "Aakhri jumla" and the Opposition criticised the budget calling it an exercise in election campaigning. Budget 2019: Sops For Farmers + Tax Relief to Middle Class = Another Term For Narendra Modi?
The standard deduction has also been raised from Rs 40,000 to Rs 50,000. Currently, personal income up to Rs 2.5 lakh is exempt from income tax. Whereas income between Rs 2.5 and Rs 5 lakh invites a tax of five percent. Those earning between Rs 5 lakh and Rs 10 lakh have to pay tax at 20 percent. For those who earn above Rs 10 lakh, tax is calculated at 30 percent. Budget 2019: Manmohan Singh Says Sops to Farmers, Increase in Tax Exemption Will Impact Lok Sabha Polls.
Besides, there were many other important announcements such as PM Kisan Samman Nidhi scheme which will benefit over 12 crore farmers who own 5 acres or less than 5 acres of land. Piyush Goyal said that the government will provide Rs 6,000 per year to small and marginal farmers. The Interim Budget for 2019-20 puts total expenditure at Rs 27,84,200 crore, marking an increase of 13.3 per cent as compared to Rs 24,57,235 crore in 2018-19. The fiscal deficit for 2019-20 is estimated to be 3.4 per cent of the gross domestic product (GDP), Finance Minister Piyush Goyal said while presenting the budget proposals in the Lok Sabha on Friday. Budget 2019 Highlights: Interim Budget Brings Cheers For Middle Class, Farmers & Labourers.
The Goods and Services Tax (GST) has turned out to be a game changer for the country’s economy with average tax collection in the current financial year being pegged at Rs 97,100 crore per month as compared to Rs 89,700 crore per month in the first year when the GST was introduced in July 2017.
Watch the Highlights of the Interim Budget in the Video Below:
The political reactions over the Interim Budget 2019 have been galore from ministers in the current government as well the Opposition leaders.
Read the Reactions on the Budget Below:
This is a #BudgetForNewIndia and for all Indians. Watch my take. https://t.co/eAsPXMk1Dr
— Narendra Modi (@narendramodi) February 1, 2019
Lok Sabha Speaker Sumitra Mahajan said that, "This budget is for everyone and is a good one. Work will go on like this."
Former Finance Minister in the UPA regime, P Chidambaram, was not impressed with the budget speech and said that, "The Interim Finance Minister tested our patience by the longest interim budget speech in the recent memory. It was not an interim budget, it was a full fledged budget accompanied by an election campaign speech." Chidambaram added that, "My one line comment on the budget is that it is not a vote on account but an account for votes."
BJP President Amit Shah said about the Budget that, "The budget has met the expectations of farmers, labourers & middle class. By bearing a cost of Rs 75,000 crore,the govt will implement Pradhan Mantri Kisan Samman Nidhi scheme. This scheme will also benefit those farmers who do not take loans."
Congress leader Shashi Tharoor said that the "whole exercise (interim-budget) has turned out to be a damp squib. We've seen one good thing that is tax exemption for the middle class. Rs 6000 in income support for farmers boils down to Rs 500 per month. Is that supposed to enable them to live with the honour and dignity?"
Home Minister Rajnath Singh, speaking on the Union Budget 2019 said that. "It’s a historic budget, and all the sections of the society will benefit from it."
UP Chief Minister Yogi Adityanath, speaking on the Interim Budget, 2019 said that, "All sections of the society including farmers, middle class, poor and women have been mentioned in this budget. This budget will help achieve the dream of a 'New India'."
West Bengal chief minister Mamata Banerjee said that, "This govt has no moral authority or responsibility to place the budget for 5 years when they'll not be in power; the govt will go for expiry. After expiry, if you give medicine, is there any value? What will be the value? This is absolutely valueless."
Karnataka CM HD Kumaraswamy criticised the budget and said that, "I want to ask if this budget was prepared by officials of Finance dept or RSS? In this budget, Narendra Modi has given cotton candy for farmers. When I announced loan waiver scheme, PM mocked it as lollipop. Friends of BJP have prepared this budget."
Prime Minister Narendra Modi seemed mighty pleased with the budget and said that, "From middle class to labourers, from farmers’ growth to the development of businessmen, from manufacturing to MSME sector, from growth of the economy to development of New India, everyone has been taken care of in this interim budget." Budget 2019: PM Narendra Modi Congratulates Piyush Goyal, Says 'Everyone Taken Care of in Interim Budget'.
"In this Budget, more than 12 crore farmers and more than 3 crore middle class families, and more than 30 crore labours will get direct benefits." The Prime Minister congratulated interim Finance Minister Piyush Goyal and Arun Jaitley and their team for the budget.
(The above story first appeared on LatestLY on Feb 01, 2019 05:14 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).