Budget 2011

Puys, I am onpening this thread to discuss Budget-2011. As this is one of the most sought after event in India, I thought of opening a separate thread for it. :: First thing first, the definition of Budget in India. The Union Budget of …

Puys,
I am onpening this thread to discuss Budget-2011. As this is one of the most sought after event in India, I thought of opening a separate thread for it.

First thing first, the definition of Budget in India.
The Union Budget of India, referred to as the Annual Financial Statement in Article 112 of the Constitution of India, is the annual budget of the Republic of India, presented each year on the last working day of February by the Finance Minister of India in Parliament. The budget has to be passed by the House before it can come into effect on April 1, the start of India's financial year.

You can find all the budget of India on this official website:
UNION BUDGET & ECONOMIC SURVEY

Lets discuss the Budget-2011. :cheers:

PS: Please rate this budget according to you.

brilliant initiative ! Kudos!

Some history about budget presenters of India.

  1. First budget of independent India was presented by then finance minister R K Shanmukham Chetty on November 26, 1947
  2. This budget will be 80th union budget of India including interim budgets and special budget proposals.
  3. Pranab dada will present union budget 6th time in his career tomorrow and the third highest time in India to do so
  4. The maximum nuber of budgets are presented by Morarji Desai, 10 times
  5. P Chidambaram, Yashwant Sinha, Y B Chavan and C D Deshmukh have presented seven budgets each
  6. Prime Minister Manmohan Singh and the country's fourth Finance Minister T T Krishnamachari, who have presented six speeches each during their tenures in the finance ministry

it will be announced 2mrw so ...it wud surly b askd in most pi s
here are few wikipedia links ,..

Union budget of India - Wikipedia, the free encyclopedia

highlits f last yr budget
2010 Union budget of India - Wikipedia, the free encyclopedia


top 10 expectations of budget 2011
http://economictimes.indiatimes.com/quickiearticleshow/7474990.cms

Lets look at the budget from an Aam aadmi point of view:

The budget is expected to increase income tax exemption from 1.6 lac to 2.0 lac this year.
Though there is already 20000 additional exemption for investing infra bond. This may continue, there is demand that this additional exemption also be increased to 50000. So making it 2.5 lac if you invest in infra bonds. But as said before this 20000 might not be increased to 50000.

Current tax slabs and expectation from this union budget.

Interesting things I came to know about budget preparation (or shall I say James Bond stuff :D)

Mobile phones or any electronic gadgets are not allowed in North block, after they start preparing budget.
There is three tier security outside Finance ministry and the security in-charge officer is picked up randomly from all India and routinely changed.

They've the budget-report printing press inside the finance ministry itself.
On the night before budget announcement, the Finance Minister and Fin.Secretary type the tax slabs and rates in the computer and then the machine connected via network cables prints it in the basement.
This is to prevent anyone from gaining advantage before budget announcement.

Now watch Mission impossible 1/2/3

I have a naive doubt regarding the GST.
1. How will it prevent tax evasion?
2. If we are levying tax at every level(manf,distributor,wholesale,retailer) wont the burden be on the consumer to pay more ??

Thnks in advance..

I have a naive doubt regarding the GST.
1. How will it prevent tax evasion?
2. If we are levying tax at every level(manf,distributor,wholesale,retailer) wont the burden be on the consumer to pay more ??

Thnks in advance..


The basic thing abt GST will be Tax Credit. The answer to your second question lies here. The wholesaler will get credit of tax paid by manufacturer and retailer will take credit for tax paid by wholesaler and so on. So the cost to consumer will contain only that amount of tax which is paid by last person in the chain.
The answer to ur 1st question is, the tax credit will ONLY be allowed on the production of GST invoice. So without - invoice purchases wont be eligible for tax credit. So everything has to be in white and no chnces of evasion.
Some history about budget presenters of India.

  1. First budget of independent India was presented by then finance minister R K Shanmukham Chetty on November 26, 1947
  2. This budget will be 80th union budget of India including interim budgets and special budget proposals.
  3. Pranab dada will present union budget 6th time in his career tomorrow and the third highest time in India to do so
  4. The maximum nuber of budgets are presented by Morarji Desai, 10 times
  5. P Chidambaram, Yashwant Sinha, Y B Chavan and C D Deshmukh have presented seven budgets each
  6. Prime Minister Manmohan Singh and the country's fourth Finance Minister T T Krishnamachari, who have presented six speeches each during their tenures in the finance ministry


a correction here:
Morarji Desai presented the budget maximum number of times i.e 8 times.
a correction here:
Morarji Desai presented the budget maximum number of times i.e 8 times.


its ten including 2 interim budgets.. I have included interim budgets in all the figures..

This thread is going to be red hot tonight 😃

abhishekutd Says
This thread is going to be red hot tonight :)


tONIGHT ??
I expect fellow puys to come up and discuss within 2-3 hours.. 😁

Pranab da will never leave his conservative style. :wow:

Expectation from him for personal income tax limit for exemption was to lift from 1.6 to 2.0 but he chose to take a middle path and gave a limit of 1.8 lac. any ways its good for Aam Admi.

from market perspective a huge positive is that foreign nationals are allowed to invest in Mutual Funds..
Markets are going to have some fresh money in now...

service tax on air travel increased oh flights r goin to become more costly..
apart frm that i see positives in increase of infra bonds from 20 to 40billion dollars..

openin of 15 more mega food parks is a positive step... still would have loved to see a revamp of pds system...
food security bill---the holy grail to india's hunger problems if implemented properly would be the best thing in hand..

still waitin fr fdi sectors t open up ....still in discuusions...

i am saddened by the so many subsidies being given...how would he reduce the fiscal deficit to 4.6% of gdp....now cash subsidy for ppl below bpl will increase inflation further.....

tax exemption...not gr8 i guess jus okay types....

and a levi jeans is gonna cost dearer to movie.....bad move pranab da.....


I would rate this as an above average budget....:|

service tax on air travel increased oh flights r goin to become more costly..
apart frm that i see positives in increase of infra bonds from 20 to 40billion dollars..

openin of 15 more mega food parks is a positive step... still would have loved to see a revamp of pds system...
food security bill---the holy grail to india's hunger problems if implemented properly would be the best thing in hand..

still waitin fr fdi sectors t open up ....still in discuusions...

i am saddened by the so many subsidies being given...how would he reduce the fiscal deficit to 4.6% of gdp....now cash subsidy for ppl below bpl will increase inflation further.....

tax exemption...not gr8 i guess jus okay types....

and a levi jeans is gonna cost dearer to movie.....bad move pranab da.....


I would rate this as an above average budget....:|


yeah.. So many subsidies and the revenue estimates from Tax and Non-tax income are not that great.. Lets see what pranab da does for it. We had 3G auctions last year so that we had non-planed revenue was higher.. Now lets see what we can auction this year.

And now have to make more money from markets to buy levis jeans.. 😞

ok can anyone tell me has our honorable fin minister has told anytin abt scheme like PURA........ i was lookin forward to it a lot... i heard the whole sppecch but couldnt find any mention.......maybe i missed...

also i feel inflation controlled nrega is an awesome step for farmers..
nd housing loans increased to 25 lacs in urban areas is again a good step fr middle class ppl...

mobiles r cheaper...will buy a blackberry f i get thru MBA coll this yr...
pranab da told 5 fold stategy to curb black money....but wats the strategy???:wow:
education sectr benefited ...gd very gd....but they dont talk abt educational reforms.. only pump in more money to make more mba's and more engineers( I am an Enginner)

here is the five fold strategy:

  1. joining the global crusade against black money
  2. creating an appropriate legislative framework
  3. setting up of institutions for dealing with illicit funds
  4. developing systems for implementation
  5. Imparting skills to the manpower for effective action.