INDIAN BUDGET 96: HIGHLIGHTS

Fiscal Budget 1996-97 HIGHLIGHTS

• NABARD share capital to be increased from Rupees 500 crores to rupees 2000 Crore.
  
  
• Number of benefits for farmers.
  
  
• Rupees 250 Crore allocated for slum dwellers welfare.
  
  
• Infrastructural Development Company with a capital of Rupees 5000 Crore.
  
  
• A Technology Development Board to be set up.
  
  
• Government to restructure the public distribution system.
  
  
• 5 Crore allocated to old age homes.
  
  
• 10 Crore provided to states which have or will set up Women's development corporations.
  
  
• High level expenditure management and reform commission to be set up.
  
  
• LIC to launch a pension scheme called Jeevan Suraksha.
  
  
• GIC to launch new medical policy called Jan Arogya.
  
  
• Food subsidy increased from Rupees 5500 crore to Rupees 5884 crore.
  
  
• Cochin and Tuticorin ports to be made trans-shipment ports for container traffic.
  
  
• Members of Parliament Local Area Development schemes to continue.
  
  
• Subsidies for phosphatic and potassic fertilizers to go up from Rupees 500 crore to Rupees 1724 Crore.
  
  
• Allocation for Education Department raised from 1825 Crore to 3388 Crore.
  
  
• Central assistance for states and Union Territories stepped up from 19,506 crore to 21,972 crore for implementing 7 basic minimum services.
  
  
• Plan allocation for surface transport ministry increased by 240 crores to 1322 crores to provide enhanced support for the national highways.
  
  
• Defence budgets increased to 27,798 Crore, from 26,879 Crore.
  
  
• TAXES:
  
  • Marginal relief to income tax payers at bottom level
  • A woman in the Rupees 60,000 income tax bracket will not pay any income tax
  • Tax relief to property owners on interest on loans raised.
  • Surcharge of corporate tax reduced from 15% to 7.5%.
  • Minimum tax imposed on zero-tax companies
  • Special tax relief for cancer and AIDS patients.
  • North-east Finance Corporation exempted from taxation
  • Duty on chemicals reduced from 50% to 40%
  • Duty on non-coking coal reduced from 35% to 20%
  • Zero rate of duty on life-saving drugs to continue
  • Duty on plastic reduced from 40% to 30%
  • Duty on plastic articles reduced from 50% to 40%
  • Duty in sporting goods reduced from 50% to 30%
  • Customs duty on electronics raw material reduced from 15% to 10%
  • Duty on color television tubes reduced by 10%.
  • Reduction in duty of signalling equipment for railway and airports from 50% to 25%
  • Customs duty on cellular telephones reduced to 30%
  • Journalists and cameramen exempted from customs duty for import of professional equipment upto Rupees 1 Lakh.
  • Import duty on edible oil reduced from 30% to 20%.
  • Excise duty on PF yarn reduced from 50% to 40%.
  • Four-rate excise duty structure to be introduced.
  • Crude oil customs duty to be reduced from 35% to 25%
  • Unified duty of 20% fixed on all types of yarn except nylon filament and cotton yarn.
  • No change in duty on two-wheelers and tractors.
  • Duty on motorcars carrying upto 6 passengers unchanged at 40%
  • Excise duty on cigarettes to be increased by 5% to 7.5%
  • Excise duty on motor vehicles carrying 6 to 12 passengers fixed at 20%.
  • Excise structure to be modified with effect from 1st October.
  • Courier services, paging services and advertising agencies brought under tax net.
  • Printed post cards to cost Rupee 1.
  • Penalties in excise and customs acts to be made more stingent to prevent fraud and supression of facts.
  • Postal registration charge increased from Rupees 6 to Rupees 8.
  • Postcards for TV competitions to cost Rupees 2.

---

Copyright © 1996 MediaWeb India, except where otherwise noted.

---

Our Sponsors | Advertising Rates | About this Site | MediaWeb Services

---