Union Budget 2012-13

Get detailed coverage of Union Budget 2012-13 with Budget Highlights, News and Budget Live updates. Know more about Union Budget along with the expectations and developments from upcoming Indian Budget 2012-13. 

Live Budget Updates :

• India is expected to grow at 6.9% of GDP in this union budget 2012-13.
• Zero income tax on income upto to 2 lakh.
• Income between 2 to 5 lakh to be taxed 10%
• Income between 5 to 10 lakh to be taxed 20%
• Income above 10 lakh to be taxed 30%
• No change in tax structure for corporates and no advanced tax required for senior citizens now.
• Subsidies have hit fiscal balance.
• The largest expenditure in fuel and fertilizer subsidies.
• Food security subsidy proposed to be fully provided.
• Direct cash subsidy for LPG and Kerosene to consumers.
• Deficit transfer of subsidies to retailer and farmer.
• Excise duty on big cars raised to 24% from 22%.
• Inclusive Growth in Rural and Urban areas: Pranab Mukherjee
• Challenge for this budget year 2012-13 is to get growth rate back to 8%: Manmohan Singh
• Luxury item, eating out, air travel became more expensive.
• Service Tax rate hiked to 12% from 10%.
• Service tax to generate additional revenue of Rs 18,650 crore in the budget year 2012-13.
• Baggage allowance raises from Rs 25,000 to Rs 35,000 for the people of Indian origin and from Rs 12,000 to Rs 15,000 for the children
• Iodised salt, match-boxes, soya products to become cheaper
• Prices of Solar power lamps, LED bulbs are goes down
• Excise duty brought down to 6 % on all processed food.
• Customs duty on import of aircraft parts, tyres and testing equipment is fully exempted now.
• Exemption from basic customs duty for road and highway construction equipment.
• Full exemption from basic customs duty on LNG, natural gas and uranium for generation of electricity for two years.
• Oil cess on domestic crude raised to Rs 4,500 per ton from Rs 2,500 per ton.
• Customs duty increases from 50% to 75% on the import of some vehicle
• Cigarettes, diamonds and imported cycles become more expensive
• AC, fridge and most of the urban services to cost more
• Customs duty is increased on bicycles and its parts
• Customs duty raised from 2% to 4% on standard gold.
• Standard excise duty rate raised 12% from 10%.
• Kisan credit cards can now be used in ATMs also.
• 27% increase in funds for drinking water and sanitation.
• FY13 tax receipts seen up 15%, while FY13 gross taxes at 10.6% of GDP.
• Estimates FY13 fiscal deficit at 5.1% of GDP while FY13 subsidy to be under 2% of GDP.
• FY13 midday meal scheme outlay at Rs 11937 crore.
• FY12 fiscal deficit at 5.9% of GDP.
• PSU Banks' recap plan for FY13 is Rs. 15,888 crore.
• Agriculture growth is 2.5% this year.
• New warehouses for food-grain stocks to be built.
• 50 MN of tons storage capacity will be created in the year of union budget 2012-13.
• Global crude prices have crossed $115/bbl.
• Government will set up company to finance minor irrigation works.
• Efforts on for retail FDI consensus.
• Rs 20,822 crore earmarked for National Rural Health Mission against Rs 18,115 crore this year.
• Rs 242 crore project with World Bank assistance to improve dairy production.
• ECB for low cost housing projects and ECB cap raised for airlines.
• Govt. raises foreign loan limit for aviation sector.
• Rajeev Gandhi equity scheme to boost stock market.
• Tax-free bonds limit is increased in budget 2012-13.
• Expected current account deficit to be lowered next year.
• Securities Transaction Tax (STT) reduced from 0.125% to 0.1%.
• Withholding tax on airlines, power, road, brides, ports, shipyard, fertilisers, dams and affordable houses lowered to 5% from 20% for 3 years.
• 10% of IPO, above Rs 10 crore via electronic platform.
• This year budget may see FDI in aviation and retail.
• New equity saving schemes for small investors and Measures to boost equity market.
• Industrial growth holding us back for two years.
• Pranab expect smaller current account deficit to be 3.6%.
• 30,000 crore de-investment target for next year.
• GST expected to be operational by August 2012.
• Expect inflation to moderate and then stabilize.