Highlights of the Union Budget for 2019-20 (Apr-Mar), presented

by Finance Minister Nirmala Sitharaman in Lok Sabha today:

DIRECT TAX

• Increasing surcharge on income over 20 mln rupees/year
• Faceless tax scrutiny case selection to be on random basis
• Propose 2% TDS on 10 mln rupee/yr cash withdrawal from banks
• Propose to take slew of measures to boost digital payments
• Launching automated, faceless assessment of tax
• To make pre-filled tax return forms available
• To make Aadhaar, PAN interchangeable to file tax returns
• Tax proposals aim to stimulate growth, housing
• Direct tax mop up 11.37 trln rupees FY19 vs 6.38 trln FY14
• Seeing double-digit growth in direct tax revenue annually
• Corporate tax now 25% for cos with 4 bln rupees/yr revenue
• Corporate tax cut to cover 99.3% of all cos

INDIRECT TAX

• To raise road, infra cess on petrol, diesel by 1 rupee/ltr
• To up special additional excise on diesel by 1 rupee/ltr
• To up special additional excise on petrol by 1 rupee/ltr
• Proposing certain amendments to Customs Act
• Raising customs duty on precious metals to 12.5%
• Raising customs duty on gold
• Customs duty being exempted on some parts of e-vehicles
• 5% customs duty being imposed on imported books
• To implement fully-automated GST refund module
• GST led to lower rates on almost all commodities
• Tax deduction of 150,000 rupees on e-vehicle loan interest
• Extra 150,000-rupee tax deduction on some small home loans
• RBI, banks to absorb merchant discount rate at small shops
• No merchant discount rate on e-transaction at small shops