Highlights of Union Budget for 2019-20

Highlights of the Union Budget for 2019-20 presented by Finance Minister Nirmala Sitharaman in Parliament Friday:
* Tax deducted at source of 2% for cash withdrawals of over Rs 1 cr a year
* Surcharge hiked on individuals with taxable income above Rs 2 cr
* Effective tax rate on Rs 2-5 crore taxable income hiked by 3%
* Effective tax rate on over Rs 5 crore taxable income hiked by 7%
* Companies with turnover up to Rs 400 cr to pay 25% tax

* Aadhaar, PAN interchangeable for filing income tax returns
* To launch automated, faceless assessment of tax

* To make pre-filled tax return forms available
* Legacy dispute resolution plan to settle litigation in excise, service tax cases
* Fiscal deficit for 2019-20 at 3.3% of GDP
* Gross market borrowing pegged at Rs 7.1 lakh crore
* GST collections pegged at Rs 6.63 lakh crore
* Disinvestment target pegged at Rs 1.05 lakh cr
* Dividend income from state-owned companies seen at Rs 57,486 cr
* Dividend/surplus from RBI, financial institutions at Rs 1.06 lakh cr
* Customs duty on gold, precious metals hiked to 12.5%, from 10%
* Customs duty on stainless steel hiked to 7.5% from 5%

* Special Additional excise, road cess on petrol, diesel hiked by Re1/litre
* Tax deduction of Rs 1.50 lakh on e-vehicle loan interest
* Extra Rs 1.50 lakh tax deduction on affordable housing loans
* RBI, banks to absorb merchant discount rate at small shops
* To impose basic excise duty on tobacco products
* Excise duty of Rs 5/1,000 sticks imposed on filter cigarettes
* India now 6th largest economy vs 11th five years ago
* India to become USD 3 trn economy in FY20
* Well within capacity to reach USD 5-trln economy in few years
* To soon announce policy package for power tariffs

* PSU banks to get Rs 70,000 cr capital
* Housing finance cos to be regulated by RBI, as against National Housing Bank at present
* Proposed more power to RBI over NBFCs in Finance Bill
* One-time, six-month guarantee to PSU banks to buy some NBFC loans
* Strategic divestment of CPSEs to remain a priority
* Mulling below 51% stake in PSUs on case-to-case basis
* Govt to re-initiate process of Air India sale
* Plans to increase minimum public shareholding in listed cos to 35% from 25%
* Steps taken for easing angel tax issue of startups