Showing posts with label BUDGET. Show all posts
Showing posts with label BUDGET. Show all posts

Thursday, March 5, 2015

Union Budget 2015-16 Practice Questions

1) On which date Union Budget 2015-16 was presented in Parliament? 
- 28 February 2015

2) Name the Union Finance Minister who presented the Union Budget 2015-16 in Parliament? 
- Arun Jaitley

3) Personal Income Tax limit was not changed in Union Budget 2015-16. What is the present Personal I-T exemption limit? 
- Rs 2.5 lakh

4) Health Insurance Premium deduction hiked from Rs. 15,000 to? 
- Rs. 25,000 (for senior citizens to Rs. 30,000)

5) Transport allowance exemption hiked to Rs. 1,600, from ____ per month? 
- Rs. 800

6) PAN card is must for all purchase above ____ rupees as proposed in Budget 2015-16? - Rs. 1 lakh

7) An additional ___% surcharge on people earning over Rs. 1 cr was put forth in the budget 2015-16? 
- 2%

8) Wht change was made in the Wealth tax? 
- Wealth tax abolished

9) DTC was dropped in the Budget 2015-16. Expand DTC? 
- Direct Taxes Code

10) Corporate tax to be reduced from 30% to ___ over next four years? 
- 25%

11) Mudra banks to be established with capital of Rs.___ crore? 
- 20000

12) Rs. ____ deduction for contribution to New Pension Scheme? 
- Rs. 50,000

13) GAAR implementation deferred by 2 years to? 
- April 2017

14) Service Tax rate hiked to ___% from 12.36%?
 - 14%

15) Tax free bonds were proposed in budget for? 
- Roads, railways, irrigation projects

Tuesday, March 3, 2015

Union Budget 2015-16 Highlights:

Union Budget 2015-16 Highlights:
- Arun Jaitley leaves North Block with finance ministry officials for Lok sabha.
- Finance Minister Arun Jaitley begins General Budget 2015-16 speech in Loksabha.

1. Abolition of Wealth Tax.
2. Additional 2% surcharge for the super rich with income of over Rs. 1 crore.
3. Rate of corporate tax to be reduced to 25% over next four years.
4. No change in tax slabs.
5. Total exemption of up to Rs. 4,44,200 can be achieved.
6. 100% exemption for contribution to Swachch Bharat, apart from CSR.
7. Service tax increased to14 percent.

1. Rs. 25,000 crore for Rural Infrastructure Development Bank.
2. Rs. 5,300 crore to support Micro Irrigation Programme.
3. Farmers credit - target of 8.5 lakh crore.

1. Rs. 70,000 crores to Infrastructure sector.
2. Tax-free bonds for projects in rail road and irrigation
3. PPP model for infrastructure development to be revitalised and govt. to bear majority of the risk.
4. Atal Innovation Mission to be established to draw on expertise of entrepreneurs, and researchers to foster scientific innovations; allocation of Rs. 150 crore.
5. Govt. proposes to set up 5 ultra mega power projects, each of 4000MW.

1. AIIMS in Jammu and Kashmir, Punjab, Tamil Nadu, Himachal Pradesh, Bihar and Assam.
2. IIT in Karnataka; Indian School of Mines in Dhanbad to be upgraded to IIT.
3. PG institute of Horticulture in Amritsar.
4. Kerala to have University of Disability Studies
5. Centre of film production, animation and gaming to come up in Arunachal Pradesh.
6. IIM for Jammu and Kashmir and Andhra Pradesh.

1. Allocation of Rs. 2,46,726 crore; an increase of 9.87 per cent over last year.
2. Focus on Make in India for quick manufacturing of Defence equipment.

1. GST and JAM trinity (Jan Dhan Yojana, Aadhaar and Mobile) to improve quality of life and to pass benefits to common man.
2. Six crore toilets across the country under the Swachh Bharat Abhiyan.
3. MUDRA bank will refinance micro finance orgs. to encourage first generation SC/ST entrepreneurs.
4. Housing for all by 2020.
5. Upgradation 80,000 secondary schools.
6. DBT will be further be expanded from 1 crore to 10.3 crore.
7. For the Atal Pension Yojana, govt. will contribute 50% of the premium limited to Rs. 1,000 a year.
8. New scheme for physical aids and assisted living devices for people aged over 80 .
9. Govt. to use Rs. 9,000 crore unclaimed funds in PPF/EPF for Senior Citizens Fund.
10. Rs. 5,000 crore additional allocation for MGNREGA.
11. Govt. to create universal social security system for all Indians.

1. Rs. 75 crore for electric cars production.
2. Renewable energy target for 2022: 100K MW in solar; 60K MW in wind; 10K MW in biomass and 5K MW in small hydro

1. Develpoment schemes for churches and convents in old Goa; Hampi, Elephanta caves, Forests of Rajasthan, Leh palace, Varanasi , Jallianwala Bagh, Qutb Shahi tombs at Hyderabad to be under the new toursim scheme.
2. Visa on Arrival for 150 countries.

1. Sovereign Gold Bond, as an alternative to purchasing metal gold.
2. New scheme for depositors of gold to earn interest and jewellers to obtain loans on their metal accounts.
3. To develop an Indian gold voin, which will carry the Ashok Chakra on its face, to reduce the demand for foreign coins and recycle the gold available in the country.

1. Forward Markets Commission to be merged with the Securities and Exchange Board of India
2. NBFCs registered with the RBI and having asset size of Rs 500 crore and above to be considered as ‘financial institution’ under Sarfaesi Act, 2002, enabling them to fund SME and mid-corporate businesses
3. Permanent Establishment norms to be modified to that mere presence of offshore fund managers in the country does not lead to “adverse tax consequences.”

Monday, March 2, 2015

Union Budget 2015-16: Highlights

Union Finance Minister, Arun Jaitley on 28 February 2015 presented Union Budget 2015-16 in the Lok Sabha. This was the first full year Budget of the NDA government and the second budget of Arun Jaitley.
Highlights of the Union Budget 2015-16
• Gross tax receipts of 14.49 lakh crore rupees
• Non-planned expenditure was 1312200 crore rupees
• Corporate tax was reduced to 25 percent over next four years from existing 30 percent 
• Defence allocation for fiscal 2015-16 is 246727 crore rupees
• 100 percent tax deduction for contribution to Swachh Bharat Fund
• Service tax hiked by 14 percent
• 34699 crore rupees allocated for MNREGA, which is highest ever allocation to the programme
• Yoga was included in the ambit of charitable purposes under the Income Tax Act 
• Custom duty on 22 items will be reduced 
• People will have to quote their PAN for all purchases above 1 lakh rupees 
• AIIMS will be set up in five states namely Jammu & Kashmir, Punjab, Tamil Nadu, Himachal Pradesh and Assam
• Centres for film production will be created in Arunachal Pradesh 
• Law under FEMA on capital account transactions will be amended 
• National skill development mission to be launched
• By 2022 there is plan to produce 175000 MW renewable energy 
• Visa on arrival extended to 150 countries 
• 1000 crore rupees more allocated to Nirbhaya fund 
• Transport allowance increased to 1600 rupees per month 
• To increase clean energy cess of 220 rupees per tonne of coal 
• Online excise & service tax registrations in 2 working days
• Wealth tax has been abolished, replaced by 2 percent on superrich 
• 9000 crore rupees from additional 2 percent surcharge on the super rich 
• 1008 crore rupees was collected under total wealth tax
• GARR will be deferred by 2 years 
• Benami transactions in property deals will be curbed
• 7-year imprisonment for non-filing of return on foreign asset 
• 300 percent penalty on concealing income 
• Undisclosed income to be taxed on maximum marginal rate 
• New law to tackle black money 
• Sovereign gold bond with fixed rate of interest will be developed 
• Gold monetization scheme will be introduced 
• Internationally competitive direct tax regime will be created 
• Public debt management agency will be created
• 5 ultra-mega power projects, each of 4000MW
• To enable minority youth, a new scheme named Nayi Manzil will be started 
• Investment on infrastructure to go up by 70000 crore rupees 
• Integrated education and livelihood scheme for minorities were announced
• New scheme for assisted living devices for BPL senior citizen
• Senior citizens’ welfare fund will be created 
• Access to the formal credit system will be increased 
• Universal social security system will be created 
• Micro unit development finance unit MUDRA Bank will be created 
• 25000 crore rupees allocated for rural infrastructure development fund 
• National unified market for farm produce will be created 
• 5300 crore rupees allocated for micro irrigation and PM’s irrigation scheme 
• Total transfer to the states will be 62 percent
• Will Form A Monetary Policy Committee
• At least 1 member of each family to have job by 2022
• Electrification of remaining 20000 villages by 2020
• GST will be rolled out on 1 April 2016

Sunday, March 1, 2015

Railway Budget 2015-16: Major Initiatives

Railway Minister Suresh Prabhu on 26 February 2015 presented the Railway Budget 2015-16 in the Lok Sabha. The Budget plans to invest around 8 lakh crore rupees over the next 5 year to rejuvenate the Indian Railways.
In this regard, Railway Budget 2015 – 16 unveiled certain initiatives ranging from cleanliness drive to development of infrastructure to improving the overall quality of life in train journeys.
The major initiatives undertaken in the Railway Budget 2015-16
Station Redevelopment
  • Zonal and Divisional offices to be empowered for quicker decision making
  • Development of 10 Satellite Railway terminals in major cities with twin purpose of decongesting the city and providing service to suburban passengers
Network expansion
  • Fast-track sanctioned works on 7000 kms of double/third/fourth lines
  • Commission of 1200 km of network in 2015-16 at an investment of 8686 crore rupees
Expansion of freight handling capacity
  • Transport Logistics Corporation of India (TRANSLOC), to be set up for developing common user facilities to provide end-to-end logistics solution at select Railway terminals through Public Private Partnerships.
  • Policy for Private Freight Terminals (PFT) to be revised.
  • Automatic Freight Rebate Scheme for traffic to be expanded
  • Long haul freight operations to be used extensively and construction of long loop lines to be expedited.
Improving train speed
  • Speed of 9 railway corridors to be increased from existing 110 and 130 kmph to 160 and 200 kmph respectively.
  • Average speed of freight trains in empty and loaded conditions will be enhanced to 100 kmph for empty freight trains and 75 kmph for loaded trains.
Bullet train
  • Feasibility study for High Speed Rail between Mumbai-Ahmadabad is in advanced stage.
Upgrading manufacturing capability
  • Creation of job opportunities by upgrading the manufacturing capability and review of functioning of Indian Railways Production Units.
  • Workshops for technological upgradation and enhancing productivity be undertaken to make them self-sustaining.
  • RDSO to develop a suitable device with reliable power supply system based on theft-proof panels/batteries in consultation with Indian Space Research Organization using geo-spatial technology.
  • Train Protection Warning System and Train Collision Avoidance System to be installed on selected routes at the earliest.  
  • Better welding techniques being promoted and digital type machines to replace analogue type machines.
Technology upgradation
  • Constitution of an innovation council called Kayakalp for business re-engineering.  
  • Technology portal being constituted to invite innovative technological solutions.
  • Research Centers to be set up in selected universities for fundamental research.
Partnerships for development
  • PPP cell to be revamped to make it result oriented. Foreign Rail Technology Cooperation scheme to be launched.
  • Joint ventures to be set up with States for focused project development, resource mobilization, land acquisition and monitoring of critical rail projects.  
Improvements to Management Processes and Systems
  • Systems audit to be conducted for review of all processes and procedures.
  • Constitution of a working group to modify present system of accounting, to ensure tracking of• expenditure to desired outcomes and Train operations to be audited.
  • Paperless working in material management system to be expanded and Vendors to be integrated through Vendor Interface Management System.
Resource Mobilisation
  • Support from the Central Government for 41.6 percent of the Plan and Internal generation of 17.8  percent for setting up of a Financing Cell in the Railway Board.
  • Setting up an infrastructure fund, a holding company and a Joint Venture with an existing NBFC of a PSU with IRFC for raising long term debt from domestic as well as overseas sources.
  • Digitized mapping of land records and responsibility fixing for encroachments.
  • New strategy to tap latent advertising potential including offering stations and trains for corporate branding.  
  • Railways in partnership with ports will deliver rail connectivity to Nargol, Chharra, Dighi, Rewas and Tuna. Scrap disposal policy to be reviewed for speedier scrap disposal.
Human Resources
  • Human Resource Audit to be undertaken; Separate accounting head for HRD; ERP based Human Resource Management System.  
  • Setting up a full-fledged University during 2015-16 and  Improved delivery of health services to employees
Energy and sustainability
  • Environment Directorate to be constituted in Railway Board to give increased focus on environment management.
  • Initiative likely to save at least 3000 crore rupees in next few years will be taken up.  1000 MW solar plants will be set up by the developers on Railway/private land.
  • Water conservation mission will include water audit and expansion of water harvesting systems. 100 DEMUs to be enabled for dual fuel- CNG and diesel.
  • Noise levels of locos to be at par with international norms and concerns related to wildlife will be addressed.  
Transparency and Governance initiatives
  • System of on-line applications introduced for two categories of recruitment as a pilot project.  
  • All possible solutions be explored to address menace of corruption. E-procurement value chain to be expanded.
Social initiatives
  • Infrastructure like stations and training centers to be made available for skill development.
  • Promotion of products made by Self Help Groups, consisting mainly of women and youth on the model of Konkan Railway.
  • Incredible Rail for Incredible India to be launched and Promotion of training of auto-rickshaw and taxi-operators as tourist-guides on the model of Konkan Railway.  
  • Coaches in selected trains connecting major tourist destinations to travel agencies may be offered on a revenue sharing model.  
  • IRCTC to work on promoting the Gandhi circuit to attract tourists to mark the occasion of 100 years of the return of Mahatma Gandhi to India from South Africa.
  • IRCTC will work on Kisan Yatra, a special travel scheme for farmers for farming & marketing technique centres.

Railway Budget 2015-16: Quality of Life in Journeys:

Railway Minister Suresh Prabhu on 26 February 2015 presented his maiden Rail Budget 2015-16 in the Lok Sabha. This was also the second rail budget of the Narendra Modi-led NDA government.
In the budget, Prabhu gave 11 thrust areas to improve quality of life in train journeys which also includes Swachh Rail - Swachh Bharat drive. The 11 thrust areas include
•Swachh Rail - Swachh Bharat campaign
•New department for cleanliness
•Integrated cleaning by engaging professional agencies and training our staff
•Waste to energy conversion plants
•New toilets covering 650 additional stations compared to 120 stations in 2014
•Bio-toilets to be fitted in the coaches
Bed linen
•National Institute of Fashion Technology (NIFT), Delhi to design bed linen
•The facility of online booking of disposable bedrolls at select stations will be extended to all passengers through the IRCTC portal on payment basis
•Start a 24X7 helpline number 138 and a toll-free number 182 for security related complaints
•Operation Five Minutes to ensure Speedy Purchase of Tickets for Unreserved Class Passengers.  
•Provision of modified hot-buttons, coin vending machines and single destination teller windows will be launched to reduce the transaction time. 
•For the differently-abled travellers, a special initiative will be launched whereby they can purchase concessional e-tickets after one-time registration. 
•Proposal to work towards developing a multi-lingual e-ticketing portal
•Some other facilities include introduction of integrated ticketing system on the lines of rail-cum-road tickets on Jammu – Srinagar route will be expanded.
•Integrate Best Food Chains for E-Catering
•Railway passengers to order their food through IRCTC website at the time of booking tickets
Leveraging technology
•Introduce hand-held terminals to Travelling Ticket Examiners (TTEs) for verification of passengers and downloading charts. 
•Extending facility of SMS on mobiles as a valid proof of travel for PRS tickets
•SMS Alert service to inform passengers in advance of the updated arrival/departure time of trains at starting or destination stations
•Surveillance cameras will be provided on a pilot basis in selected mainline coaches and ladies’ compartments of suburban coaches without intruding into privacy
•Project for introducing on-board entertainment on select Shatabdi trains on license fee basis 
•Mobile phone charging facilities will be provided in general class coaches & its numbers will be increased in sleeper class coaches
Station facilities
•200 more stations to come under Adarsh Station scheme
•Wi-Fi will be provided at B category station
•Facility of self-operated lockers to be made available at stations 
•Provision of concierge services will be introduced through IRCTC at major stations
•Online booking of wheel chair on payment basis for senior citizens, patients and the differently-abled passengers will be available through IRCTC on select stations
Train capacity
•Capacity in identified trains will be augmented to run with 26 coaches
•More General class coaches will be added in identified trains
Comfortable travel
•NID to design user friendly ladders for climbing to the upper berths
•Quota of lower berths for senior citizens will be increased
•Middle bay of coaches will be reserved for women and senior citizens
•NID will develop ergonomically designed seats
•Provision of 120 crore rupees for Lifts and escalator has been made
•The newly manufactured coaches will be Braille enabled
•Entrances will be widened to ease of differently-abled passengers
•Corporate houses & MPs requested to invest in improving passenger amenities at Railway stations through CSR & MPLAD funds

Railway Budget 2015-16: Highlights

Railway Minister Suresh Prabhu on 26 February 2015 presented the Railway Budget 2015-16 in the Lok Sabha. In his first Railway Budget, Prabhu outlined a plan to invest over 8 lakh crore rupees over 5 years. 

The size of the Plan Budget has gone up by 52 percent from 65789 crore rupees in 2014-15 to 100011 crore rupees in 2015-16.
9 thrust areas of the Budget includes
•Indian Railway to become prime mover of economy once again
•Resource Mobilization for higher Investments
•Decongestion of heavy haul routes and speeding up of trains: emphasis on gauge conversion, doubling, tripling and electrification
•Project Delivery
•Passenger Amenities 
•Transparency & System Improvement
•Railways to continue to be the preferred mode of transport for the masses

Four goals for Indian Railways to transform over next five years
• To deliver a sustained and measurable improvement in customer experience.
• To make Rail a safer means of travel.
• To expand Bhartiya Rail’s capacity substantially and modernise infrastructure: for this purpose daily passenger carrying capacity will be increased from 21 million to 30 million. Track length will also be increased by 20 percent from 114000 km to 138000 km. Annual freight carrying capacity will be grown from 1 billion to 1.5 billion tonnes.
• To make Bhartiya Rail financially self-sustainable.
Amount (Rs in crore)
Network Decongestion (including DFC, Electrification, Doubling
including electrification and traffic facilities)
Network Expansion (including electrification)
National Projects (North Eastern & Kashmir connectivity projects)
Safety (Track renewal, bridge works, ROB, RUB and Signalling & Telecom)
Information Technology / Research
Rolling Stock (Locomotives, coaches, wagons – production & maintenance)
Passenger Amenities
High Speed Rail & Elevated corridor
Station redevelopment and logistic parks
Key Highlights of the Railway Budget 2015-16
• No increase in passenger fares 
• Passengers can book tickets 120 days in advance instead of 60 days which was available till date
• Outlay for passenger amenities increased by 67 percent 
• New train sets that can save 20 percent journey time will be introduced in future. These trains will be similar to bullet trains in design but can run on the existing tracks
• The speed passenger trains across nine corridors will be increased to 160-200 km from 110 km
• SMS alert will be introduced for train timings and under this passengers will be informed in advance the updated arrival or departure time of the trains at starting or destination stations 
• Air-conditioned coaches for suburban trains will be introduced
• Wi-fi will be available at 400 railway stations 
• Railways Intends to set up an Innovation Council called Kayakalp for Purpose of Business Re-Engineering
• Railways Proposes to set up Malaviya Chair for Railway Technology at IIT (BHU), Varanasi
• Bidding system will be used for redevelopment of stations
• 10 satellite railway stations will be developed in 2015-16 
• 800 km of gauge conversion will be commissioned
• E-catering introduced in 108 trains can be accessed by ordering on IRCTC website 
• Water vending machines will be expanded on more stations
• On–board entertainment facility will be extended on Shatabdi trains 
• General class coaches will see introduction of mobile charging stations
• For benefit of the common man, more general class coaches will be added to select trains 
• Pension funds, multi-lateral banks have evinced interest in Railways
• Proposed the best operating ratio in nine years, of 88.5 per cent for 2015-16
• Track capacity will be increased by 10 percent to 1.38 lakh kilometers 
• Feasibility report of high speed train between Mumbai and Ahmedabad is expected by mid-2015
• To ease private investment, wagon-making scheme will be reviewed
• All India 24x7 grievances helpline 138 will be started
• Bio-toilets will replace more than 7000 toilets, while 650 stations will get new toilets  
• Passenger travelling unreserved can produce a ticket within 5 minutes and for this purpose Operation Five Minutes will be introduced 
• To address complaints of people Mobile application is being developed 
• Integrated tickets will be introduced 
• Hand-held devices will be introduced for ticket checkers; it is move towards paperless ticketing 
• In next 2 years, centrally managed railway display network will be introduced in over 2000 stations
• Rail-cum-road ticket to be extended in many stations
• Rail connectivity will be enhanced in North Eastern states 
• To aid expanding freight handling capacity and provide end-to-end logistic solutions, Transport Logistic Corporation of India will be set up 
• PPP model will be used to augment resources and generate more employment 
• 6608 kilometer of track will be electrified
• 96182 crrore rupees will be spent to expand capacity of 9420 km rail lines 
• For women safety, CCTVs will be introduced in selected trains and suburban trains 
• Train Protection Warning System and Train Collision Avoidance System will be installed on select routes at the earliest
• Projects for rail connectivity to many ports and mines
• Foreign Rail Technology Cooperation Scheme will be launched in order to achieve the higher quality service 
• Programme to improve design, quality and cleanliness of bed linen will be launched within the next six months