Below are source of revenue for UPA Gov for FY 2010-11
Ø Dis-investment in PSUs to yield more than Rs. 25,000 Crores
Ø Increase in MAT from 15% to 18%
Ø Increase in Excise Duty from 8% to 10%
Ø Inclusion of new services in the Service tax net
Ø Increase in Excise by Rs.1 per liter and custom duty from 2.5% to 7.5% for petrol and diesel. Restoration of basic custom duty of 5% on crude petroleum
Below are Expenditure plan
Ø The plan and non-plan expenditure for 2010-11 are estimated at Rs. 3,73,092 crore and Rs. 7,35,657 Crores respectively.
Ø Out of the plan expenditure allocation to infrastructure at Rs. 1,73,552 crore at 46% followed by Rs. 1,37,674 crore at 37% are the highest
Ø Energy and MSME sectors are allocated Rs. 5,130 crores and Rs. 2,400 crores
The Finance Minister aims at withdrawing stimulus eventually and focuses on inclusive and sustainable growth through infrastructure development, rural and agricultural development and promotion of exports through Special Economic Zones. He has laid emphasis on governance, I. T. enabled functions and efficiency measures which will put India among the most attractive countries of the world
In my opinion that Government has treaded towards fiscal consolidation. The reduction in personal tax rates will increase the disposable income which will further propel the consumption in the economy. In addition to this, Government spending plans will also increase the flow of capital formation.
Ø Dis-investment in PSUs to yield more than Rs. 25,000 Crores
Ø Increase in MAT from 15% to 18%
Ø Increase in Excise Duty from 8% to 10%
Ø Inclusion of new services in the Service tax net
Ø Increase in Excise by Rs.1 per liter and custom duty from 2.5% to 7.5% for petrol and diesel. Restoration of basic custom duty of 5% on crude petroleum
Below are Expenditure plan
Ø The plan and non-plan expenditure for 2010-11 are estimated at Rs. 3,73,092 crore and Rs. 7,35,657 Crores respectively.
Ø Out of the plan expenditure allocation to infrastructure at Rs. 1,73,552 crore at 46% followed by Rs. 1,37,674 crore at 37% are the highest
Ø Energy and MSME sectors are allocated Rs. 5,130 crores and Rs. 2,400 crores
The Finance Minister aims at withdrawing stimulus eventually and focuses on inclusive and sustainable growth through infrastructure development, rural and agricultural development and promotion of exports through Special Economic Zones. He has laid emphasis on governance, I. T. enabled functions and efficiency measures which will put India among the most attractive countries of the world
In my opinion that Government has treaded towards fiscal consolidation. The reduction in personal tax rates will increase the disposable income which will further propel the consumption in the economy. In addition to this, Government spending plans will also increase the flow of capital formation.
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