KEY
FEATURES
OF BUDGET
2019-20
 Vision for $5 trillion
economy driven by
investment
 Transforming rural lives
 New Jal Shakti
Mantralaya to ensure Har
Ghar Jal
 Enhancing ease of direct
and indirect taxation
Pradhan Mantri
Karam Yogi
Maandhan
Pension benefits to
retail traders and small
shopkeepers
 Strengthening
connectivity
Infrastructure
 Gandhipedia to sensitize
society
 India’s soft power
 Harnessing India’s space
abilities
Enhanced interest
deduction for affordable
housing loan
Vision to become $5
trillion economy driven
by ‘virtuous cycle’ of
investment
Tax benefits for
corporate tax payers
India becomes sixth
largest economy
Pradhan Mantri
Matsya Sampada
Yojana (PMMSY)
Scheme of faceless
electronic tax
assessment
Establish robust
fisheries management
framework
Aadhaar and PAN to be
interchangeable
1
Reform, Perform,
Transform agenda:
GST, IBC, RERA etc.
Changing common
man’s life:
MUDRA, UJJWALA,
SAUBHAGYA etc.
PUSH TO INVESTMENT: INFRASTRUCTURE DEVELOPMENT
Road
Bharatmala phase 2 to be
launched. State road
networks will be developed
Air
Shipping and
Inland
waterways
World’s third largest
domestic aviation
market
UDAAN: Number of
Operational Airports crossed
100
Jal Marg Vikas project and Sagarmala initiatives: improving
logistics, reducing transportation cost and increasing
competitiveness.
Operating Ratio improving
Rail
PPP in railways infra
development
657 km Metro rail network
already operational.
National Common Mobility
Card launched.
98.4
100
96.2
95
96
92
2017-18 2018-19 2019-20
(RE)
(BE)
2
PUSH TO INVESTMENT: INFRASTRUCTURE DEVELOPMENT
Houses under PMAY-U:
Sanctioned: 81 lakh
Construction started: 47 lakh
Completed: 26 lakh
Delivered: 24 lakh
Housing
Gas
grids
Water
grids
Vision for
connectivity
infrastructure
Regional
airports
I-ways
Promotion of rental
housing: Model tenancy law
to be finalised.
Measures for boosting infrastructure financing
Credit
Guarantee
Enhancement
Corporation to
be set up in
2019-20
Power
grids
3
Action plan to
deepen long
term bonds
market
To permit
transfer of
FII/FPI
investment in
debt securities
issued by IDFNBFCs to
domestic
investors
PUSH TO INVESTMENT: INDUSTRIAL DEVELOPMENT
Empowering
MSMEs and
social
enterprises
Make in India
Startups
promotion
Push to
E-vehicles
Interest subvention scheme
for MSMEs: `350 crore
allocated for 2019-20
Payment platform for bill
filing for MSMEs to be
created: to address delays
Social stock exchange for
listing social enterprises and
voluntary organisations
Changes in customs duties to promote Make in India
E-verification for establishing investor
identity and source of funds to resolve
tax issues relating to fund raising
Exclusive TV channel
for startups
FAME Scheme Phase-2
commenced
Customs duty exemption on certain
e-vehicle parts
Income tax deduction of interest on loans for e-vehicle
purchase
4
GROWTH & MACRO-ECONOMIC STABILITY:
VISION FOR $5 TRILLION ECONOMY
GDP
CAD
Fastest growing major economy in the
world
11th largest economy in
2013-14
5.6% of GDP
in 2013-14
6th largest economy
in 2019-20
CAD as % of GDP
GDP Growth rate (%)
8
8.25
7.5
7.4
8.2
6.0 4.3 4.8
5.0
4.0
3.0
1.7 1.3
1.8 2.1
2.0
1.1 0.7
1.0
0.0
7.2
6.8
6.75
6
FDI
& FPI
2.1% of GDP
in 2018-19
100% FDI to be permitted for
Insurance intermediaries
India attracted $64.4 bn worth of FDI in
2018-19
Statutory limit for FPI investment in a
company increased to sectoral limit
Local sourcing norms to be eased for
FDI in single brand retail
5
ON THE PATH OF FISCAL CONSOLIDATION
AND INFLATION MANAGEMENT
Fiscal Deficit (% of GDP)
1,00,045
80,000
1,05,000
Central Govt. Debt (% of
51.6
51.4
GDP)
49.9
49.5
48.4
48
2017-18
(Actuals)
2018-19 (RE)
2019-20 (BE)
2014-15 2015-16 2016-17 2017-18 2018-19 2019-20
(Actuals) (RE)
(BE)
6
Apr-19
Jan-19
Oct-18
Jul-18
Apr-18
Oct-17
Jan-18
Jul-17
Apr-17
Jan-17
Jul-16
Oct-16
Apr-16
Jan-16
2019-20
2018-19
2017-18
2016-17
2015-16
2014-15
2013-14
2012-13
2011-12
2010-11
2009-10
2008-09
2007-08
2006-07
2005-06
2004-05
2003-04
Disinvestment Receipts (in ₹ crore)
Oct-15
3.5 3.5 3.4 3.3
2.6
Jul-15
4.1 3.9
4.9
Apr-15
3.4
4.5
Jan-15
3.9 4
Oct-14
4.9
4.3
9.0
8.0
7.0
6.0
5.0
4.0
3.0
2.0
1.0
Jul-14
5.9
Apr-14
6.1
CPI Inflation (in %)
6.6
Also, India’s
sovereign
external
debt to GDP
ratio
amongst the
lowest
globally at
less than
5%.
BUDGET AT A GLANCE
Capital Receipts ( in ` crore)
Revenue Receipts (in ` crore)
8,23,588
19,62,761
17,25,738 17,29,682
20,00,000
8,00,000
7,06,740
7,16,475
7,27,553
14,35,233
15,00,000
6,00,000
10,00,000
4,00,000
5,00,000
2,00,000
0
0
2017-18
(Actuals)
2018-19
(BE)
2018-19
(RE)
2019-20
(BE)
2017-18
(Actuals)
25,00,000
18,78,833
3,50,000
20,00,000
2,80,000
15,00,000
2,10,000
10,00,000
1,40,000
5,00,000
70,000
0
0
2017-18
(Actuals)
2018-19
(BE)
2018-19
(RE)
2018-19
(RE)
2019-20
(BE)
Capital Expenditure (in ` crore)
Revenue Expenditure (in ` crore)
21,41,772 21,40,612 24,47,780
2018-19
(BE)
2,63,140
2017-18
(Actuals)
2019-20
(BE)
7
3,00,441
2018-19
(BE)
3,16,623
2018-19
(RE)
3,38,569
2019-20
(BE)
BUDGET AT A GLANCE
RUPEE COMES FROM
20%
Borrowings
and Other
Liabilities
9%- Non
Tax
Revenue
21%
Corporate Tax
8%-Union
Excise
Duties
16%
Income Tax
RUPEE GOES TO
9%
Centrally
Sponsored
Schemes
4%
Customs
18%
Interest
Payments
19%
GST
8%
Subsidies
9%
Defence
23%
States’ Share of
taxes & Duties
13%
Central
Sector
Schemes
3% Non
debt
Capital
Receipts
8%
Other
Expenditure
5%
Pensions
8
7%
Finance
Comm. &
Transfers
s
TAX PROPOSALS
FACELESS E-ASSESSMENT
A scheme of faceless electronic
assessment involving no human
interface to be launched this year
DIRECT TAX REFORMS
PAYING OFF
Increase in tax collection by
78% from ₹6.4 lakh crore in
2013-14 to ₹11.4 lakh crore
in 2018-19
ENHANCING EASE OF TAX
PAYERS
Aadhaar and PAN to be made
interchangeable
Threshold for applicability of lower corporate tax rate of
25% increased from ₹250 crore to ₹400 crore.
Enhanced interest deduction up to ₹3.5 lakh for purchase
of an affordable house.
Deposit taking and systemically important non-deposit
taking NBFCs can now pay tax in the year they receive
interest for certain bad or doubtful debts.
TDS of 2% on cash withdrawal exceeding ₹1 crore in a
year from a bank account to promote less cash economy.
Effective tax rate for individuals having taxable income
above ₹2 crore has been increased.
No charges or MDR on specified digital mode of payments.
These modes are to be compulsorily provided by large
businesses.
Sabka Vishwas Legacy Dispute Resolution Scheme
proposed for quick closure of service tax and excise related
litigations.
9
REFORM, PERFORM, TRANSFORM
Banking &
IBC
GST
Record Recovery of ₹4 lakh crore in last
4 years due to IBC and other measures
Provision coverage ratio of
banks highest in 7 years
Proposed further recapitalisation
of PSBs: ₹70,000 crore
2. Fully automated GST refund module
shall be implemented.
Average recovery under various
recovery regimes (in %)
43
45
35
25
15
5
1. Taxpayers having annual turnover of
less than ₹5 crore can now file
quarterly returns.
3. An electronic invoice system is
proposed that will eventually eliminate
the need for a separate e-way bill.
23
DRT, SARFAESI,
Realisation by
Lok Adalats, etc: Financial Creditors
2007-17
under IBC: 2017-19
Further simplification of GST Processes
SWACHH BHARAT
More than 95% cities and 5.6 lakh villages declared ODF
More than 45,000 public and community toilets uploaded on Google Maps
To expand Swachh Bharat Mission to undertake sustainable solid waste management in
every village.
10
TRANSFORMING RURAL INDIA
Pradhan Mantri Gram Sadak Yojana
(PMGSY) Outlay (in ₹ crore)
PMAY-G



19000
20000
15500
22.6%
jump
15000
1.5 crore rural homes completed
1.95 crore houses proposed for second phase.
Average days for completion:
314 (2015-16)
114 (2017-18)
PMGSY
10000

5000


0
2018-19(RE)
Completion Target advanced
2022
2019
97% of targeted habitations covered
30000 km built using green technology
2019-20(BE)
MGNREGA Outlay (in ₹ crore)
Rural Electrification
60000
60000
100% Households
Electrified
9%
jump
58000
55000
56000
UJALA leading to
annual cost savings of
₹18,341 crore
54000
52000
2018-19(BE)
11
2019-20(BE)
FARMER WELFARE AND WATER SECURITY
Boost to agro-rural industries through cluster
based development under SFURTI scheme
with focus on bamboo, honey and khadi
clusters
100 new clusters to be set up to enable
50000 artisans during 2019-20
Pradhan Mantri Matsya Sampada Yojana launched
The scheme will address critical gaps in strengthening
value chain, including infrastructure, modernisation,
production, productivity and quality control
100 Business Incubators to be set up to
enable 75000 entrepreneurs under ASPIRE
Constitution of Jal Shakti Mantrayala
To ensure Har Ghar Jal to all rural households by 2024 under
Jal Jeevan Mission
1592 critical and over exploited blocks
identified under Jal Shakti Abhiyan
Focus on Integrated demand and supply side management
at local level, creation of local infrastructure for rainwater
harvesting, groundwater recharge and household waste
water management
12
WOMEN’S DEVELOPMENT TO WOMEN LED DEVELOPMENT
Allocation for ICDS (in ₹ crore)
70% of beneficiaries
under MUDRA
scheme are Women
2019-20 (BE)
2018-19 (RE)
20,000
More than 7
crore
connections
already given
27,584
8 Crore free
LPG
connections to
be given under
Ujjwala Yojana
23,357
22,000
24,000
26,000
28,000
 To expand women SHG interest
subvention programme to all districts
 ₹1 lakh loan under MUDRA scheme for
one woman in every SHG
13
LABOUR AND YOUTH WELFARE
Pradhan Mantri Laghu Vyapaari Mann-Dhan
Yojana (PMLVMY)
Pradhan Mantri Shram Yogi Maan Dhan (PM-SYM)
About 30 lakh workers have joined the scheme
Pension benefits to around 3 crore retail traders and
small shopkeepers with annual turnover less than
₹1.5 crore.
Rationalising of labour laws into 4 labour codes
proposed.
National Research Foundation to be established to
fund, coordinate and promote R&D
National Sports Education Board to be setup under
Khelo India.
₹400 crore provided for ‘World Class Institutions’
for FY 2019-20
To prepare youth for new age skills: Artificial
Intelligence, IoT, Big Data, 3D Printing, Virtual Reality
etc
Study in India: to bring foreign students to higher
educational institutions
14
VISION FOR THE NEXT DECADE
1
Physical and social infrastructure
2
Digital India
3
Pollution free India
4
5
6
7
8
9
10
Make in India
Water management and clean rivers
Blue economy
Space programmes
Self-sufficiency and export of food grains
Healthy society
Team India with Jan Bhagidari
15