- Finance minister Piyush Goyal presented the Union budget for 2019.
- The government announced assured farmer income and pension for unorganised sector workers.
- Income tax exemption limit has been raised to Rs 5 lakh from Rs 2.5 lakh.
NEW DELHI: Finance minister Piyush Goyal presented the Union Budget 2019 in the Lok Sabha on Friday.
The government has announced new measures to benefit salaried class, farmers and workers among others in the Budget. The new measures in the Budget 2019 that are likely to act as ‘boosters’ for the government before the Lok Sabha polls are as follows:
Assured income to farmers
Under Pradhan Mantri Kisan Samman Nidhi, Rs 6,000 per year for each farmer, in three installments, to be transferred directly to farmers’ bank accounts, for farmers with less than 2 hectares landholding. This initiative is likely to benefit 12 crore small and marginal farmers, at an estimated cost of Rs 75,000 crore.
Pension for 10 crore workers
Mega Pension Yojana, namely Pradhan Mantri Shram Yogi Mandhan, to provide assured monthly pension of Rs 3,000 per month to workers in the unorganised sector after 60 years of age. Pensioners will have to contribte Rs 100 per month.
Middle class gets huge tax rebates
Individual taxpayers having annual income up to Rs 5 lakh will get a full tax rebate. Individuals with gross income up to 6.5 lakh rupees will not need to pay any tax if they make investments in provident funds and prescribed equities. The standard deduction for salaried persons raised from Rs 40,000 rupees to Rs 50,000. TDS threshold on rental income raised from Rs 1.8 lakh to 2.4 lakh. No tax on notional rent on second house.
Gratuity limit increased
Gratuity limit hiked from Rs 10 lakh to 30 lakh for employees with service of at least five years from the next fiscal.
Income tax refunds within 24 hours
Income tax refunds will be processed within 24 hours and released immediately. The finance minister announced that within the next two years, the assessment of all tax returns will be done electronically without any personal interface.