The Indian economy will be two trillion by the 2011-12, and the budget has been made to achieve to almost 9% growth rate by 2011-12 says Finance minister Pranab Mukherjee while presenting the 2011 budget in Loksabha. There weren’t indeed any spectacular pronouncement in the budget, but understandably the new tax implementation will pleased to the industrialist, because 15 per cent tax on dividend received from foreign subsidiaries will encourage the Indian companies to repatriate dividend instead of investing it outside and also the corporate tax decreased from 7.5 to 5% Moreover every industries somehow got rebate in tax.This budget brought few things positive as well negative. I think, finance minister is more concerned about the previous promises which UPA had made.The new hike in the exemption for the taxpayers which is increased to 1Lakh 60 thousand to 1 Lakh 80 thousand will pleased the taxpayers.This budget not even spared the employees but also benefited the senior citizen taxpayers to increases the exemption limit up to 5 lakhs from 60 to 65 years citizen.On direct tax finance minister hasn’t proposed goods and service tax (GST) which can promote manufacturing sector and generate new employment opportunities needed for inclusive growth, but it will implemented by 2012. Now the subsidy will be given to BPL family in cash, but I’m very much concerned about the transparency and accountability in that.
India has a six finance minister since 1991 and its 80th budgetofIndia.
There is a 17 % enhancement in the budget allocation to social sector in all welfare schemes, because government thought that it is became the mainstream part of politics.
Nothing was in this budget regarding to inflation and corruption,which should be.. It’s expected that the total expenditure increased 3.36 by 2012 and fiscal deficit has also decreased.
By-Vinod Ketwal
