Economy News
- Budget 2008 likely to be pro common man
- Vasundhara imposes tax on corporate-run retail stores
- Rail Budget likely to be on aam admi track
- Haryana to enhance power supply in rural areas
- Lalu plays Santa to students, women, AIDS patients
Budget 2008 likely to be pro common man
Personal and corporate income tax cuts, excise duty relief and simplification of taxes are expected in the Union Budget for 2008-09, the last full-fledged budget before the next general elections. Finance Minister P Chidambaram, who will be presenting his seventh budget on Friday in Parliament, has a tough exercise on hand of balancing conflicting interests in coming out with a budget for the 'aam aadmi' (common man). Social sector projects.He is expected to announce massive funds for social sector projects like National Rural Employment Guarantee (NREG), Sarva Shiksha Abhiyan, rural health and power sectors and a debt-relief package for farmers to share the benefits of high growth especially in view of the coming Lok Sabha elections by this year end or early next year.The Indian middle-class and the industry, which still remember his dream budget of 1997-98, are expecting a bonanza from the Finance Minister in terms of relief in income tax and excise duties and simplification of other taxes.
Government servants are expecting an announcement on implementation of the Sixth Pay Commission.Sources say that the Finance Minister is unlikely to introduce any new tax in the budget for 2008-09 although some controversial taxes like the banking cash transaction tax may be reviewed, adding that with buoyancy in revenue collections he is capable of working out packages for every constituency.Apart from meeting the fiscal and revenue deficit targets, the budget is likely to aim at sustaining 9 per cent GDP growth, while containing politically sensitive inflation rate around four per cent.
Vasundhara imposes tax on corporate-run retail stores
Jaipur: The BJP Government in Rajasthan on Monday presented its fifth and final Budget that had plenty of "small trader"-friendly proposals, including a four per cent tax on fruits and vegetables sold by corporate-run food stores.
Tabling the Budget, with a Plan expenditure size of Rs.15,248 crore for 2008-09, Chief Minister Vasundhara Raje told the Assembly that implements like coal-fired press, wire brush and small construction tools sold by street vendors would be exempt from taxes.
She also proposed to raise the minimum wages for unskilled labourers to Rs.100 a day from Rs.73, semi-skilled to Rs.107 from Rs.77, and skilled to Rs.115 from Rs.81.
But by far the most populist of her proposals was the four per cent tax on vegetables and fruits sold by company-run food retail stores (such as those operated by Reliance and Spencer's). The levy is aimed at protecting small vendors who have been protesting against the entry of industrial houses in the food-products retailing space.
The Budget also proposed several sops for the people, mainly farmers, Scheduled Castes and Scheduled Tribes, women and students, besides the small and medium traders. Ms. Raje also proposed a customised incentive package on a first-come-first-served basis to three corporate houses that invest Rs.500 crore in districts that are relatively untouched by industrial activity. In her speech that lasted two hours and fifteen minutes, the Chief Minister said that through better management the fiscal deficit was expected to be brought down to Rs.5,266 crore in 2008-09 from Rs.5,420 crore last year.
Rail Budget likely to be on aam admi track
New Delhi: One year before the general elections, the government is worried about rising prices but the Railways might cut freight rates to offset the oil price shock. This could please the industry. Freight charges on coal, fertilisers, food grains, iron ore and petroleum products may be lowered by 3-5 per cent. The total plan outlay is estimated at Rs 36,000 crore as Railways profits this year could be as high as Rs 23,000 crore.
The Railway Minister is also likely to announce 26 railway line projects. A higher capex expenditure on freight corridor, locomotives, technology might also be in the pipeline. There has been a long-awaited demand to improve rail transportation in Mumbai which means that there could be more funds for the Mumbai Urban Transport Project.
Government may try to look at the future of Indian Railways as well. The budget could also see an announcement on feasibility study for high-speed train corridors and may encourage use of higher axle load wagons.Above all, airline companies in this budget will be listening to Lalu's budget speech very carefully. Expectedly, more Garib Raths might be introduced and fares for AC-3 tier segment could also see a cut by 2-3 per cent.
Haryana to enhance power supply in rural areas
Chandigarh: Uttar Haryana Bijli Vitran Nigam on Tuesday said that two-phase power supply would be ensured in rural areas for domestic consumers from 5 a.m. to 7 a.m. and 6-30 p.m. to 10-30 p.m. daily in view of the ensuing examinations of students.
These consumers would also get power when three-phase power is supplied for tube-wells for agriculture and public health water works for drinking water purpose, said an official release. The Nigam would supply electricity in two groups to the tube-well consumers. The farmers would get electricity for six hours in the night group and for five hours during the day group with additional one hour supply for drinking water. The timings of rural groups will change alternatively, it said.
A spokesman for the Nigam said on Tuesday that in view of the present demand and availability of electricity the supply would be regulated for more than seven hours on urban and mixed urban feeders supplying power mainly to the domestic category consumers during different time slots daily. The duration of restrictions would vary from 60 to 90 minutes in one slot in district Ambala, Yamuna Nagar, Kurukshetra, Rohtak, Jhajjar, Sonepat, Kaithal, Karnal, Panipat and Jind.
Lalu plays Santa to students, women, AIDS patients
New Delhi: Railway Minister Lalu Prasad doled out concessions to students, women and AIDS patients. Railways have decided to extend free monthly season tickets for second class travel between school and home for girl students up to graduation and boys up to Class XII, Prasad announced in the Rail Budget.
Earlier, this facility was available to girl students up to Class XII and boy students up to Class X. Prasad also announced a concession of 50 per cent in second class passenger fares for rail travel by AIDS patients to nominated ART centres for treatment.
Railways also increased the concession provided to woman senior citizens in passenger fares of all classes from 30 per cent to 50 per cent. Prasad also announced the extension of the scheme for travel concessions for decorated soldiers in Rajdhani and Shatabdi trains. Paramvir Chakra, Mahavir Chakra and Vir Chakra awardees are entitled for travelling in AC-II tier along with one companion which is valid in Rajdhani and Shatabdi trains.
0 comments:
Post a Comment