What would you have done differently if you were FM?

By Reuters Staff
February 12, 2010

Pranab MukherjeeThe government raised personal income tax slabs for 2010/11, which could result in a net tax saving of 20,000 to 50,000 rupees for those earnings above 300,000 rupees.

Fuel prices — Petrol (by 2.71 rupees) per litre and diesel ( 2.55 rupees a litre) — would be raised from Friday midnight.Are you happy with Budget 2010/11?

Reuters India asks its readers to don the finance minister’s cap and tell us what they would have done differently.

Comments

There should be a hike in section 80C limits to 1.5 lakh rupees at least. FD interest should be made non-taxable, so that conservative investors can earn higher post tax returns.

Posted by Aditya | Report as abusive
 

I want FM to do a good job and make certain changes that help the common man.. STCG should be rolled back to 10 percent. Everyone wants to benefit from the booming stock market.

Posted by Rao Bhaskar | Report as abusive
 

The stimulus should be continued till Q4 GDP numbers are released. Till then, government can prepare the action plans for withdrawal of stimulus defining the conidtions under which the each stimulus measure would be withdrawn. The scope for reduction of tax rates and taxes are very low from the present levels. Hence, the tax rates and levels could be maintained this year without any increase or decrease in rates.But the road map could be defined for any increase/decrease in rates during the course of the year and it could be explicitly stated in the budget. There has to be an increased focus on raising funds from unconventional sources of finance and 25% of fund raising could be brought from these sources. Non perormjing assets with the government and government enterpises could be tapped in a big way.

 

1)Open FDI / local money into roads, railways, airways, ports, airports with win – win investment policies for public and private partnerships. Of course total regulation of the end product is to be seen
2) Reduce wasteful gov’t expenditure like free petrol, free vehicles, power, electricity etc being given to Babus. You have hiked their salary enough
3) No peons/office boys in any govt office. Reduce no. of persons in gov’t
4)Ensure funds reach targetted audience taking help of ICICI’s kamath and some honest Babus(surely you can find some)
5) Reduce Income tax on individuals to 1% and enable them to spend. Remove all tax deductions.
6) Keep eye on dumping by our neighbour China, by having smart guys constantly monitoring going-ons.
7) No funny income tax on companies importing from outside nations
8) Eliminate corruption in revenue depts like excise, customs etc by use of IT.
9) Have a dream goal of presenting a zero deficit budget in 2 years time ( possible if wasteful expenditure like foreign visits, useless defence purchases, Monty’s salary ( a joke), Deora’s (no joke) etc are curtailed)
10) Spend more on education and children( increase of say 100% in allocations immediately)
11) Remove all subsidies on everything. Things will stabilise after some time.
12) Get a grip on inflation but don’t stop the stimulus
… and so on.Pranabda, this is your chance to leave an great legacy of your work. Please rise up to the task. Mind you, I am not talking about only this budget.

Posted by kp vidyashankar | Report as abusive
 

if i were it finance minister?
1. i will make the personal loan for govt. / corporate employees more affordable and hassel free.
2. i will make employees a financial assessed entity as per there earning, investment and assests, which will used for there day to day and long term financial needs.
3. i will make personal, house building, plot puchase, car purchase, education and other loans more affordable and hassel free.
4. i will make investment /expenses on any type of education tax free or income tax rebateable under separate head (not in 80-c).
5. i will provide every income tax payer a income tax book as telephone directory provided by telephone department.
6. i will provide every income tax payer social security and general and health insurance as per the income tax paid by the assessee.

Posted by sushma dalmia | Report as abusive
 

1. Only woman earning in the family should be granted tax free income.
2. Alcohol and Cigarette should be taxed even more so that it becomes unaffordable for a common man. It is any way a nuisance to the society.
3. Dumped goods from china should be banned to protect our industry.
4.Lower tax bracket for individual of 55+ age.
5.To inculcate saving form individuals in age group of 18 to 25 years should have increased 80C Limit of Rs 2 lacs and higher rebate for contribution for welfare of soceity.

Posted by Satish | Report as abusive
 

As a FM I would like to speed up the growth.this is the time to acquire foreign firms. so I will setup foreign acquisition financing fund by making leading Finacial institutions of india as a key stake holders.(co like LIC,GIC,SBIetc have large amouts to use).Strengthen SIDBI by granting .25% of GDP .R&D expences can be exempted from any form of tak, the companies can clain a tax rebate from R&D expences and fist 2 years of incme from foreins acquision.

Farmer insurance to be mandatoray by taking village as an unit.Agri insurance corporation (new enntyty ) will take care of this .fertilisers,seeds distributed via Farmaer SHGs and women SHGs.driniking water liability of Punchayat.

Powee& infr be the faverd sectors.IT will be given push.

Tax syatem to be re-engneered.5%product tax and 3%VAT on items by SMEs.big inusres have 7%production and 3%VAT.any product they produce.Services Tax is 10% flat.

Corporate Income tax @ 15% for SMEs below 1cr income.
Corporate Income tax @ 20% for SMEs between 1cr to 5cr income.
Corporate Income tax @ 22% for Co’s between 5cr to 100cr income
Corporate Income tax @ 25% for Co’s between 100cr to 500cr income
Corporate Income tax @ 30% for Co’s 500cr & above

Individual income tax till 240000 individila income nil

240000 to 1000000 income tax @ 15%flat rate
10lacs to 1cr income tax @ 20%flat rate
1cr& above 25% flat rate
All taxes have 10%surcharg&2%cess.

Posted by sivamangesh | Report as abusive
 

Strict enforcement of the minimum 100 day employment program.

Improve poor peoples’ access for the BPL ration cards.

Rein in the extravaganza by the executives in the IndianOil, BP, and OilIndia. They should stop replacing the orchards and grain fields with gigantic gas stations in the middle of nowhere. Their constructions are expensive, they are ecologically wasteful, and hardly any one fills his motorbike there.

Nationalize the health care delivery and stop the indiscriminate discounts on the import duties on color flow Dopplers, digital radiography machines, MRI scanners, and CT-scanners, and etc.

Not many Indians earn money from the vendors of export quality medicine. How much money do the government earn from those medical centers who sell coronary artery bypass graft, organ trans-palntation, and other procedures to Bangladeshis, Pakistanis, Africans, and etc? Those health entrepreneurs can be taxed.

Stop the commodity futures.

Posted by Dr. Ajoy Bhattacharjya | Report as abusive
 

The stimulus should not be taken off. Discontinuation of stimulus might lead to instability in market. Government might do this with intention to control deficit growing further. They are trying to mope up some funds by divestment of stakes from PSU companies, but this is not enough to bring Fiscal deficit below expected levels. If governmet fails to balance between Fiscal deficit and Stimulus package, market may react very strongly.

Posted by Manish Agarwal | Report as abusive
 

1. STOP CORRUPTION AT ALL LEVELS AND IN REVENUE DEPT SPECIALLY. PUBLIC TO BE INVOLVED IN CHECKING AND MONITORING.
2.MAX PERSONAL I.TAX AT 30 % INCLUDING ALL CESS ETC . CORPORATION TAX AT 25 % .
3. NO IPO FOR COMPANIES LISTING LESS THAN 50 % OF SHARES 4. TAX HOLIDAY FOR 5 YEARS AND LOTS OF INCENTIVES FOR SMALL SCALE AND LABOUR INTENSIVE INDUSTRIES .
5.CONTROLLING POPULATION BY INCENTIVES AND DISINCENTIVES.
6. REDUCE GOVERNMENT EXPENSES AND BRING IN LOT MORE TRANSPARENCY IN GOVT DEPARTMENT AND PUBLIC REPORTING .

I KNOW MOST OF THESE ARE WISHFUL THINKING AND WITHOUT MAJORITY INDIANS INSISTING , THINGS WOULD NOT IMPROVE . BUT STILL ,

Posted by Santosh.R.B. | Report as abusive
 

-Raise I Tax exemption limit to RS 2.5 lakhs
-Special I Tax exemption limit for all political leaders:
MLA RS 12 lakhs
MP RS 18 lakhs subject to following:
There should be limitations for allowances and perks as being made applicable for the ordinary tax paying people. They must file annual cash flow and the income statements of their relatives and him to the designated authorities. They are supposed to hold high moral values and not to indulge creation of mountain of black money, as such should be compelled to surrender all benami assets into the consolidated funds of India and be debarred (with their next two generations) from holding public post.
-Levy I Tax on agricultural income. There are lakhs of people escaping tax because of this
- As per recent report our population is likely to overtake china during sometime in future. There should be incentives for family planning so that Indians do not exceed Chinese population.
- Incentives for water conservation and harvesting
- Introduce suitable amnesty scheme to bring back black money lying abroad
- Restrictions on the operations of the charitable institutions and NGO’s and beyond certain limit the incomes of these institutions should be taxed appropriately and none of the politician(s) or his relatives should be associated with it
- All subsidies should be withdrawn and market determined price mechanism be made applicable over a period of two three years for all items and commodities
- Introduction of market makers ( who shall ensure listing price does not fall beyond 5 % of the issue price) for IPO’s initial listing period of 5 to 7 days so that small investors, if they so wish can get rid of initial listing losses,
- Withdraw all cesses and levy it for reformation and rationalization / up gradation (with decent remunerations) of Police forces all over country

Posted by c k buder | Report as abusive
 

I remember,one time they introduced income tax to be given if you have one of six things like 4 wheeler,telephone, foreign visit,own house, and costly club membership. So I purpose, every telsil should be given on lease to collect sales tax, excise tax, income tax, vehicle plate tax (for 7 yrs one plate with id Number), and annual road tax and leasing of govt. space rental income, should be individually AUCTIONED for two yrs. like they aution ALCOHAL LICENSE. who so ever will give more bid ,e.g some person gives winning bid for collecting sales tax only,in say one tehsil, for two yrs. should be given,this duty to collect sales tax. But he will have to pay in advance 90 percent of the amount of bid to the govt.10 percent will be his profit. This way no sales tax will be evaded and govt. revenue collection will increase immensely. At least govt. can experiment in one state. for all kind of tax collection. If i were the FM, I will do it.thus govt can work in ppp (public private partnership) way and not a single penny will remain un-collected. Govt can only watch, means only govern. its implementation of revenue collection.

Posted by Parveen Jain | Report as abusive
 

My biggest priority as the Finance Minister would be to curtail inflation, especially of food items.

1. To curtail the rising food prices.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ ~~
We now have the BPL ( Below Poverty Line) and APL (Above Poverty Line) categories. I will bring a third category, the MPL (Middle Poverty Line) catering to the general middle class populuation in this country.
And I will bring back the Public Distribution System back with more strength, catering to the BPL and MPL categories! This will definitely help tame the food prices.

2. Check the supply of money in the market.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ ~~~~~~~

This is very important. Money supply above a certain limit is always detrimental to the functioning of the economy. I will make sure that there is no supply of money in the market without proper regulation. Salaries in the Private Sector should kept checked, and hikes should be controlled by the government. FDI’s should also be regulated so as to check excess liquidity.

3. Ensure people participation!
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~

I will make major roads and bridges and structures of public importance Public Limited Companies, and people of that region or panchayats or municipalities would have shares in that particular company. This will ensure more people participation and the functioning of these structures would be more transparent and accountable.

Posted by Vinod | Report as abusive
 

IF I WERE THE FINANCE MINISTER, I WILL INTRODUCE BUDGET SIZE OF CHINA OR U S A AS INDIA REQVIRES ONE SIXTH OF WORLD FINANCE AND INVESTMENT TO PROVIDE ESSENTIAL FACILITIES TO ALL AND MAKE PROFITS. I WILL IMPOSE 5 FIVE PERCENT TAX ON ALL SERVICESS WHICH ARE NOT COVERED BY ANY TAXESS .I WILL CREATE VENTURE CAPITAL P S U WITH 5 LAKH CRORES TO SUPPORT FIRST GENERATION ENTREPRENUERS. I WILL CREATE NEW P S Us TO BUILD BULLET TRAIN TRACKS LIKE N Hs I WILL ALLOW PRIVATE SECTOR IN ALL AREAS TO INVEST RS 50 LAKH CRORES.I WILL AIM TO MAKE INDIA AS NUMBER ONE G D P IN THE WORLD BY 2020 WITH THE SUPPORT OF GOVERNMENT, P S U , STATE GOVERNMENTS AND PRIVATE SECTOR INCLUDING M N Cs.JUST BECAUSE OF INDIA , WORLD ECONOMY SHOULD GROW ADDITIONALLY BY ONE PERCENT.

Posted by M OVVA VENKATA KRISHNA RAO M B A | Report as abusive
 

my view is roll back of stimulus will not fetch too much of money for govt and they cannot afford to let Equity down as it is going to hamper their disinvestment target- which is the only saviour as of now for them to breidge the gap and show the fiscal numbers withtin parameters. WHat they can and should do is to cut on large non-plan ( money spent on babus) expenditure and defence as anyway we do not have any guts to attack either pakistan or china evenif one continue to attack and another continue to capture our land. so Be realistic and cut on that and plan the allocation properly and will be on track again. One more thing is they can do is give Mr.Pawar some other portfolio where at least he does not influnce common men budget as he has personal capacity to absorb any lvl of inflation but not the common men.. thanks..

Posted by chintan shah | Report as abusive
 

- Put divestment of stake in PSU’s as the top priority of the government.

- Break the petroleum products subsidy regime,atleast partially if not fully. Definitely link diesel and petrol prices to crude. Levy a hefty charge on diesel used by private vehicles to ensure higher availablity of diesel for transportation.

- Maintain current tax rates for individuals. Levy a one time annual charge/tax on corporates to bring fiscal discipline.

- Maintain service tax rates, maintain excise except for specific cases. Tweak customs to encourage imports of food products.

- Make substantial portion of $ funds from forex reserves (approx 225 Bn $) avialble to banks and FI’s for long term funding of infrastructutre projects.

- Roll out GST asap. Make commitments on time line.

- Give an unambiguous and definite road map for withdrawal of stimulus.

Posted by Mehul Desai | Report as abusive
 

1.Identify all the government departments which are irrelevant in their existence and abolish to bring about savings doing so.
2.Make all government dispensation to people online & therby avoid people/beurocratic which is the source for corruption and squandering of funds of the welfare schemes meant for the people.
3.Set up online kiosks to be run by NGOs for receving the benefits of the government schemes.
4.Do away with the all subsidies & free schemes.
5.Give relevant training to the people according to the calibre, make them eligible to get employment to eke out living.
6.Start government schemes to generate employment & in turn kick start the economy for the benefit of all.
7.Confiscate all the wealth from the economic/ financial offenders and tax evaders of all kind and use this for government chemes aimed at generating employment.
8.Initiate efforts to collect all the black money stashed away in the foreign soil on urgent basis to make it available for welfare of the people.
9.Do away with the cumbersome tax rules & make them people friendly for complete compliance.
10.Filter and sack all the bad elements of the government servants.
11.Devise methods for recruiting people of integrity in the government srvice at all levels.
12. Etc….

Posted by A S Rahmathullah | Report as abusive
 

I THINK THE MAIN PROBLEM ARE WITH OUR CURRENCY NOTES RBI SHOULD BAND (STOP) THE USE OF 500 & 1000 RS DENOMINATION FROM INDIAN ECONOMY BECUSE PEOPLE ARE DOING 60 TO 65 % TRANSACTION ARE HAPPENING IN CASH ONLY THAT ARE TOTALY WITHOUT RECEIPTS & PAYMENTS ONLY . FOR ANY KIND OF PAYMENTS OR RECEIPT TRANSACTION BANKS SHOULD BE INVOLVED THEN ONLY THE ECONOMY WILL RISE . EVERY DAY WE ARE REDING THE FAKE NOTE , PRINTING OF NOTES RACKETS , FROM PAKISTAN , NEPAL & BANGLADESH . BECUSE ALL THE BALCK MONEY IN A LARGE QUANTITY HAVE BEEN KEPT IN 1000 & 500 DENOMINATIONS ONLY ( LATEAST NEWS OF 4CRORE RS IN HARD CASH FOUND IN MP STATE AT ONE OF THE OFFICERS HOUSE IF THE HIGHER DENOMINATION STOP ALL THE TRANSACTION WILL HAPPENDE BY BANKS ONLY LIKE CHEQUE PAYMENTS OR RECEIPTS ONLY THEN THE CORROUPTION WILL AUTOMATICALLY STOP. AND GOVT WILL GET MORE TAX BENIFIT .

Posted by SANDEEP BABAR | Report as abusive
 

Congress party having majority in parliament,party have good finace minister,and having vary vary vary good priminister,our people trust you vary well since independant.kindly do the majore,bold decission for our honest,good citizan,so nobody will do internaly & externaly any harm to our citizan.for budget i sincarly request you all state goverment,central government have zero rupee debt.for which you can discusse with us.we will provide suitable solution for which your expenses,income will truely shown in budget.

Posted by Harshad S.Dand | Report as abusive
 

Stimulus packages can be phased out partially. We should encourage people to invest in Indian stocks. Instead of allocating PSU stocks to FIIs we can allocate those shares to our own public and DIIs at a little discount price (Afterall PSUs are established and grown with public money, nothing wrong in giving it public at cheaper price). To reduce imports of crude, we can allocate a certain % of tax recived from petroleum companies to R&D of solar power commercialisation. (This is the one source which we get at no cost).

 

We expect from budget with considering Per Capita Consumption below 7.5 kgs of India compare with Asia Average of 28 kgs, World Average of 52 kgs and china 32 kgs, to relaxation of Import Duty of Second Hand Paper Machinery, Second Hand Equipmets to make paper indigeneously with quality/quantity and avoid import of finished papers and boards in future. Due to raw material constraint of Paper Industry, reduce import duty of waste paper and engrage local forest development for raw material cultivation. Finally, to avoid Water pollution of Paper Industry, expect the announcement of Industrial park of paper industry in every state with common effluent treatment plant.[http://mokanspaperworld.blogspot. com/2010/01/paper-industry-expect-from-f inance.html]

 

I will deliberately care of the youth who form the basic pillar of the nation. They need proper jobs, right education, national security,essential commodities at right price,and housing. Businessmen should require conducive corporate environment rather than tax exemption. They want security market and good services offered by the government such as road, means of communication and hassle free govenment documentation. To empower women working conditions with security by providing proper means of communication will be provided.

 

MR MANISH AGARWAL COMMENT ON FISCAL DEFICIT IN THE BUDGET.CAN YOU PLS INFORM WHAT IS THE FISCAL DEFICIT OF U S A OR AVERAGE FISCAL DEFICIT OF THE WORLD. WHAT IS THE REQVIRED BUDGET FOR 1.2 BILLION PEOPLE WITH U S A SIZE OF B P L POPULATION. WHAT IS THE REQVIRED FOOD FOR 1.2 BILLION PEOPLE AS PER W H O. WHAT IS THE REQVIRED POWER CONSUMPTION PER HEAD. WHAT IS THE REQVIRED G D P SIZE FOR 1. 2 BILLION PEOPLE.PLS NOTE THE WORLD G D P IS 70 TRILLION U S D FOR 7 BILLION WORLD POPULATION..INDIA SHOULD HAVE MINIMUM 10 TRILLION U S D FOR 1.2 BILLION PEOPLE .OUR G D P IS ONLY 1.2 TRILLION U S D AS PER EXCHANGE RATE OR 3.4 TRILLION U S D AS PER P P P. HOW LONG WE MAKE HARD WORKING EXCELLENT 1.2 BILLION PEOPLE TO SUFFER JUST BECAUSE OF LACK OF GOVERNMENT RIGHT POLICIES / DECISIONS EVEN IN 21ST CENTURY LIVE WORLD.
HENCE, WE WANT THIS BUDGET SHOULD BE INVESTMENT BUDGET TO HELP INDIA AND WORLD AS WELL.INDIA IS UNIQUE COUNTRY IN THE WORLD AND INDIA REQVIRES INNOVATIVE DECISIONS.

Posted by MOVVA VENKATA KRISHNA RAO M B A | Report as abusive
 

It is possible to contribute significantly to the well-being of Indians through a few well considered “out of the box” measures. If I were FM, I would:

1. Abolish tax on interest income, as was done for Dividend Income. The tax collection is not worth the effort involved. To compensate for revenue loss, I would introduce a flat rate of tax at the macro level on all interest paid by banks on deposits. This may result in marginally lower interest rates but would encourage healthier banking practices overall.

2. Abolish Capital Gains Tax on Share Trading and compensate by hiking the Transaction Tax on all Stock Market transactions, but dispense with the additional levies and surcharges altogether.

3. Reduce Capital Gains Tax and apply the lower Short / Long Term rate uniformly on sale proceeds (without indexation benefit).

4. Discontinue 80C exemptions altogether.

5. Exempt all Government and PSU (with greater than 50% Govt stake) employees from Income Tax on Salary Income. Instead, introduce a nominal tax on all employee related expenses at the PSU / Govt Department level. The PSU Board or Govt Dept Head to be made responsible for non-compliance / tax avoidance.

6. Utilize freed up resources at the IT Dept level to focus on better tax compliance by remaining eligible tax payers.

By simplifying the tax regime, I am sure tax collections would improve and the underlying processes would become more efficient and effective.

Posted by Lalatendu Swain | Report as abusive
 

If I were the Finance Minister
- Remove all the subsidies (oil, gas, fertiliser etc.,) and replace the support to the BPL families only in cash through direct transfer to the bank accounts.
- The increment in the Individual slabs shall be linked with the Annual inflation
- Allow corporates to be in agriculture under normal tax rates with a condition that if at all the land is to be sold it has to be sold back to the original former or his legal heir through which we can increase the produce and control the rates with cost optimisation at all stages

Posted by srinivas | Report as abusive
 

Every citizen would like that finance minister should
not withdraw stimulus but the fact is this package can’t
be continued indefinitely.
So this should be taken off in small installments as
economy is dong very well.
But Finance Minister MUST take care of AILING
Stock Market as FII’s are withdrawing & volumes are decreasing.. Poptani Manohar.

 

1. Levy 50% tax on soft drinks and junk foods
2. Levy 20% tax on SUVs and Luxury Cars
3. Introduce pollution tax on most polluting industries
4. Compulsory Listing of companies (including MNCs) which have more than Rs. 5000 crores of revenue out of India operations
5. Introduce infrastructure bonds with a tenure of 20 and 25 years
6. Remove all taxes on solar, wind and nuclear power equipment
7. Ban banks from giving funds to real estate developers
8. Introduce inflation linked bonds for senior citizens
9. Move PF funds to new pension scheme
10. Tax private schools under service tax

Posted by Suresh | Report as abusive
 

Property tax bands in big cities (above 2 million population), windfall tax on huge profit making firms – target Pharma, Energy, Real Estate and Telecom sectors, and strong investment in road infrastructure projects and initiate projects to links major rivers in northern part of the country (declear it as national properties rather than that of states).

Encourage co-operative schemes in the retail and farming sectors with tax subsidies/VAT free and tax-free years for private firms in the defense sector.

 

I would suggest to go for VAT like system for income tax. For every transaction, if recepient of the amount is not the service provider then it is his financial asset. So based on that the income tax can be deducted on the spot. This might help in widening the tax payer base directly. Just an idea.. it can be realized with proper policy and regulation around it.
:-)

Posted by Naishadh Sevalia | Report as abusive
 

Remove subsidies on petro products. Remove NREGA. Not another farm loan waiver. Last time one of the beneficiary used that money for his education in one of the elite B schools of the country while others took education loan :) for the same. Divestments required bigtime to check the fiscal deficit. Invest a lot in education, specifically primary schools. Include all off balance sheet subsidies and bonds under statement of accounts of the budget and thereby improve reporting.

 

1. Tax free earning upto 500000 per annum.
20% for income between 5 lakhs to 10 lakhs
Rest 30%.
For old age people crossed 60 years, flat rate of 20% above Rs.500000.

2. Situmulus to be withdrawn for sectors like software big companies in the first instance and rest to continue.
3. For corporate taxation, those showing profit more than 30% of the capital employed will be levied additional welfare cess of 10% on the excess profit.
4.For old age homes, tax benefit will be given. For old age people without any support, pension will be given at the rate of Rs.2000 per month.

Posted by CR Venkatarmanani | Report as abusive
 

If i were the Finance Minister, based on the current situation of the country, i would take the following decesions:

-Increase income tax slab to 4 Lacs per annum, continuing with the 10 – 30% tax slab for income over 4 lacs
-Focus on food prices & inflation overall
-Allow fund flow for massive infrastructure projects & tighten timelines
-Start divesting in PSU’s to keep a tab on fiscal deficit (maintain 50% in PSU’s)
-Provide aggressive interest rates for educational loans to enable better affordability for quality education
-invest on high end technology to invest in the overall education system (should include state board, CBSE & ICSE)
-better tax rebates on home loans to boost spending
-introduce policies to better encourage entrepeneurship & business ideas
-assist educational institutions to invest on sports by providing state of the art infrastucture for more games other than cricket

Posted by Rohit | Report as abusive
 

Tax structure of india is based upon the service person but the economy of india contribute many things besides it.government should bring a regulatory to control a small bussinessman and encourage them to pay tax.

Posted by Kislay Kumar | Report as abusive
 

I WILL INTRODUCE GOVERNMENT AND FARMERS LTD COMPANIES TO CREATE AND SET UP MEGA FOOD PROCESSING PARKS AND INDUSTRIES IN ALL THE DISTRICTS OF INDIA TO DOUBLE FARMERS INCOMES.INDIAN FARMERS WILL GET TERM LOANS AGANIST THEIR LANDS MORTGAGE.THE CENTRAL GOVERNMENT WILL SET UP MEDICAL COLLEGES AND HOSPITALS IN ALL THE DISTRICTS.P S Us WILL BUILT BUFFER GODOWNS, STORAGE TANKS TO STORE ONE YEAR REQVIREMENTS OF ALL ESSENTIAL MASS CONSUMING ITEMS BEFORE LIBERALISING THE PRICESS AND MARKETS.GOVERNMENT MEANT FOR SERVICE TO PEOPLE AND PRIVATE SECTOR MEANT FOR PROFITS AND P S Us MEANT FOR SERVICE AND PROFITS.

Posted by MOVVA VENKATA KRISHNA RAO M B A | Report as abusive
 

1. The stimulus package should continue.
2. The indirect taxation can be used as a tool for stability
3. The non plan expenditure should be cut mercilessly.
4. Plug the loop holes of tax collection by checking the corruption in the field formations of the tax collecting mechanism.

Posted by narasimhaswamy | Report as abusive
 

The FM should allocate a game-changing amount to law and order treating it as a capital expenditure instead of treating it as current expenditure. Given the creaking infrastructure, this is needed to lubricate the wheels of enterprise and economy.

Posted by vipul tripathi | Report as abusive
 

If I am Finance Minister i do the followings steps before i do submit budget
1. Review Laste Year submitted budget
2. Indentify the failure schemes honestly
3. Put Extra steps to overcome the faiilure.
4. Strengthen Legal processing
5. Indentify holes in the schemes
6. Stop thinking about Corporate Giant
7. Give importance to Lower middle class
8. Review Subsidary policy boldly
9. Identify employement option instead of giving subsidary

10. Stop thinking Vote Banking Budget
11. Review import policy to save small scale industries
12. Wakeup to save farmers

Posted by Srinivasan N | Report as abusive
 

Govt should do one thing to make a populist budget for general public and the same time rev up its revenues

a) Tax builders at higher rates who do not complete the projects in stipulated time frame, even waiving off the exemptions in service tax extended till 2012(as a stimulus) in anticipation that builders will pass on the benefit to consumer and create demand. Instead what happened is builders delayed the projects and sitting on inventory which is at cost of other buyers…those agreeing may pls support my point

b)Disallow Agricultural income as exempted for those who have professional income, certainly professionals like doctors and lawyers dont do farming, Agricultural income is just means to show their black money as white

c)Tax incomes from second homes at 40% and from 3rd home at 60%. There are lot who have many. A fresh notification may be passed that all registrars must update the PAN number of the property holder in their record. An exception for inherited property may be considered. But those not updating the PAN number, govt can acquire the property back. It can be limited to municipal limits if difficult to implement at such for whole

d)Tax undeveloped property in Municipal Limits. All commercial and residential plots which are lying undeveloped may be taxed at 3 – 5 % of its value This will lead to indirect demand and stimulus which is not feeding the fat bellies of builders.

e)Cease the Capital gain expemption when one buys property out of selling a property within 6 months to value of Rs 50 lacs only. Above that it need not be exempted

Posted by BPS | Report as abusive
 

The undersigned visuvalize the following budget speech by finance minister but without any statistical data.

In order to create stimuli for consumptions at lower level and control on higher level:
Allow rebate for income tax upto 2 lakhs –Nil; from 2 lakhs to 5 lakhs- 10%; Above 5 lakhs -30%- for individuals, HUF etc.
For elders above 60, tax exemption is 3 lakhs and from 3 lakhs to 5 lakhs- 10%.
Tax incentives under sec.80( c ) is increased from 1 lakhs to 2 lakhs. This extra one lakhs can be invested in old age pension fund of parents for which concerned income tax assessee will be nominee. This fund will start giving pension to parents of the income tax assessee. This will stop growth of old age homes in the country. In India, parents are still in the old traditional thinking and spending all money to their children and in the old age, they are suffering. To remove this, this additional saving option.

For companies, firms, business concerns:

Upto 10 lakhs- 10%. From 10 lakhs to 50 lakhs -20%. Above 50 lakhs-30%.

No cess for education, road etc. which will be adjusted from the collections. Thus complications in calculation are avoided.
For companies getting profit more than 50% of their equity capital, additional tax will be levied @10% on the excess profit for infrastructure and Progress India fund. These companies will be given special income tax tokens which will get them priority in all processes of Govt of India. They will be given special status in getting appointment with higher ups in all depts. and will be treated as VIP. In case of any problem, they can represent to a specified number in Public Relation office which will be directly under Prime Minister Secretariat. Their grievance will be sorted out on top priority with some defined period of time. This will be extended to individual paying tax more than 2 lakhs in the next financial year.

Stimulus for big software firms, autos will be withdrawn. But it will be kept for SME sector of software firms. STPI will continue for SME for next 5 years. No more SEZ benefit as STPI will take care of it thus removing duplicate one.
Big manpower provider textile mills, diamond firms will have stimulus package as it is without any time limit.
Orphan aged ones above 60 years will be given monthly pension of Rs.1000 and medical insurance up to 2 lakhs . Free medical advice will be provided using l hospitals near the vicinity of residents. Specified time will be allotted by doctors for this purpose.
Old age homes need not to pay any taxes and old age homes will be under the supervision of a panel of VIPs in the near vicinity consisting of doctors, lawyers, auditors, politicians etc. Sudden visit will be conducted by them to know the fate of residents and the treatment they receive. If found guilty, the benefit will be stopped. Residents in old age homes will be selected at random and secret opinions will be taken and action will be taken based on the same; if necessary, some residents may be shifted to another old age home in order to avoid victimization.
In order to create stimuli for stock market, STT on securities will be abolished. Long term capital gain tax exemption on shares is removed. Revenues and losses will be compensated among these two.
Funds for companies can be arranged by energetic stock market by way of rights and bonus.
Since base rate will be in operation from April 1,2010, banks will be in problem to lend funds due to excess liquidity as there will be less takers and big corporate may move for External commercial borrowings as interest rates may be high as compared to BPLR regime. Govt will discourage such ECB in order to safeguard our banking system.
Renewable energy sectors like wind, solar, nuclear will get tax concessions in order to reduce consumption of oil and gas thus reducing pollution and cost of import thus improving our rupee value.
Raw material like iron ore export will be discouraged so that India can get benefit from value added products like steel etc. Replenishment of ores will be dangerous for future generation. Solar and wind equipments for residential and commercial establishments will receive complete tax waivers in all taxes. The commercial establishments and residential houses will get carbon credits for installing the same and cash will be given against carbon credit. A separate committee will work on this and submit the report within 6 months.
In order to take care of food shortages in the long run and to avoid any bottlenecks, this will be reviewed in advance once in a quarter by a committee of cabinet ministers and the power of agriculture minister in this respect will be withdrawn. The committee will decide about import and export. Last minute efforts will not be taken hereafter thus avoiding heavy cash out to international bodies and to face inflation in India.
Agriculture income over 1 crore will be taxed and this will be used to subsidize fertilizers etc. given to farmers. Fertilizer subsidy will be given to farmers directly by way of token bearing the photo of the farmer based on land records and certificate by local panchayat etc. These tokens can be exchanged with fertilizer companies for purchase of fertilizer. Fertilizer companies should take the digital photo of the farmer and kept in the records for verification by revenue officers. For these, land records in India will be computerized in full.
All govt commercially run departments will be checked for cost efficiency by using ICWA – cost vs benefits. If the Govt depts. are draining cash , then there will be rethinking on restructuring. Even public depts. will be analysed and in some cases, depts. are run without any output. These depts. will be closed.
States will be encouraged to computerize roads plans, house plans etc. . All payments to Govt can be online payments thus removing excess manpower and reducing the waiting time. Only limited counters can be there for low and middle cadre of public. States will be given some special amount for the achievement based on % of target.
Cigarettes and liquor will be costlier. Entertainment will be cheaper for low class people.
Individuals, TV channels, Private detective firms etc. can give information to vigilance about corruptive practice and will be awarded10% of bounty recovered from the guilty. The identification of informer will be kept secret. Vigilance team will be ready 24 hours like commandos and will attend all complaints immediately. Though there will be 70% misguidance but 30% reality may make big thing for India and India will be proud to be in the forefront of corruption free country in the days to come. Politicians involved in these cases will not be allowed to contest the elections till their names are cleared.

CR Venkata Ramani

Posted by CRV Ramani | Report as abusive
 

The govt must raise basic exemption limit to Rs 3 Lakh for salaried individuals. Then make it 10% between 3 Lakhs and 5 lakhs, 20% between 5 Lakhs & 10 Lakhs. Charge 30% for more than 10 lakhs – income tax on the annual income. From the coming slab from the govt poor man wiil be the looser and higher income group will escape from paying income tax to the govt, that is not fare and it will affect adversely the indian economy. I heard that the proposed basic exemption limit is Rs 160000.

Posted by Faisal S R, Calicut | Report as abusive
 

Top priority Special Financial grants would be given to the teachers from the revenue collected from EDU-CESS. The grant should be allotted to right teachers whether school or private tutor, individual home private tutors, organized or unorganized section of teachers but must be qualified with teaching capacity)only middle-school(V-X) mathematics and computer organization to teach correct Mathematics, Geometry, statistics, logic, environment(to love nature), geography and social studies(to love the society). The student’s age will be between 9 to 16. Students’ performance report and declaration from parents will be taken the scale of eligibility for the grant to the teacher. When students learn, they should be provided quality Geometry Boxes etc.
There are many talented students in mathematics in India who are not getting proper mathematics teacher and they are misguided and becoming unskilled low profile real estate architect, civil engineers, businessman and making only unaccounted cash transaction in the society. How Finance department will get accounts from such Engineers, Doctors and businessmen? This is 100% loss of Intellectual Properties of Indian economy. Results can not seen immediately but it is long-term decay of the economy. Industrial growth can make instant booming of share market .GDP growth is required at the same time future cultivation of maths-stats-logic-funda young generation with qualitative and quantitative prompt decisions maker is required. To start with a 0.0001% from the main budget can be tried as experimental basis. I am sure this will give one boosting to the economic growth of country. Thank you.

Posted by Kumar, Kolkata | Report as abusive
 

If I would been finance minister ,
I would have implemented a simple tax funda , No matter how much indidvidual earn’s and invest in any government fund’she has to pay 10% flat income tax.
Remove subsidies from petrol ,anyway it is used only by richer class and upper middle class people .
Make taxation system more easier and simplify it so that every person understand’s it and is happy to pay tax hassle free .

 

My agenda as FM would be:

1. Set a target for efficient utilisation of tax payers’ money (at present it is some 16% only). And tell the MPs in the next budget session about the actual figure achieved.

2. Set up an independent Tax Authority of India (just like Election Commission) to collect all taxes (income tax and GST) from all over India, and to distribute the money among states and central governments as per a ratio agreed by all state FMs.

3. There will be only one central GST (no state GST). The state which buys a product / service (buyer’s state) can share the GST with the central Govt. Seller state will not get anything out of GST.

4. Income tax will be shared between tax payer’s state and the central Govt.

5. The state govt will get 80% and centre can take only 20% for defence, inter-state infrastructure etc. This way, I will make state govt richer and independent. That means lazy North East states will no longer eat on central govt. funding whereas hardworking states like Gujarat fill the central treasury.

6. I will make income tax payment mandatory for every one above 18 years and non-BPL, and introduce IT stamps (say 50 Rs denomination) with unique serial number and barcode. These stamps can be purchased from the local post office even in a remote village. At the time of purchase, the post office will note down your voter ID number and date of purchase on the stamp and cancel it with the post office seal. Next time when you go for voting / going to govt hospitals etc, you must show this stamp and voter ID card. On top of this minimum tax, you have to pay usual income tax if you are not exempted. When everyone feels that his / her money is also used for building national assets, nobody will destroy public property during Bandh etc.

Posted by suresh | Report as abusive
 

If, i would be the finance minister, i could have removed tax from individuals who have income less than 3 lacks. The rates would be remain 20% for all others but every body should file the tax return so we will be knowing who is coming under taxable income and who should get refun

 

The finance minister has carried forward his vision as laid out in last year’s budget. He has not resorted to harsh taxation and spared both individuals and corporates. FM has declared his intentions to keep the fiscal deficit under control without sacrificing the economic growth momentum.

I would have liked the finance minister to provide substantial incentives to foreign exchange earning companies (also generating substantial direct employment)in traditional industries like textiles, gems and jewellery. The only industry with foreign exchange earning potential which has received his favours is the tourism industry. If only it had been extended to textiles and gems/jewellery sectors as well…!

 

It better to remove interest on Education loans? Whether they considered it?

Posted by PVReddy | Report as abusive
 

The budget2010-2011 is aimed at boosting the economy.The FM first given huge salary increase to the govt and psu employee and the tax relife giving extra money in their pocket for expenditure.This will revive the comodity market which is down since the recession. The finance stimulants will help Indusry to produce more since the market demand is increasing.This is avery simple formula for developed country. But in India it is like you pay Ram by snatching money from Laxman.The FM has done nothing towards decrease of food price. It is now known that the rise of food price is due to hoarding.Now where from the hoarder are getting money for this purpose. Obviously the easily available stimulant money is finding their way through back door to these traidors.

Posted by d.n.roy | Report as abusive
 

Education is fee to be paid to the Goverment and Govt will pay the amount to the school or College and 100% free from tax.

Posted by SS | Report as abusive
 

so increase the income tax slab – 20 to 50K savings!..
Increase the essential price items such as petrol and diesel which will increase all the prices including food and veg.
One hand give and the other hand take it all back.
Non-sense budget.

Posted by Suresh | Report as abusive
 

Our dear FM concentrated on generating revenue using the traditional method of raising taxes and prices but has lost a chance to cash in on the hidden money our corrupt businessmen and politicians etc have garnered in the last 5 years of boom time. he could have once again offered(as Mr. Chidambaram did few years ago) the Voluntary disclosure scheme and charged 20% of the unaccounted money as a fee to enable our corrupt guys get the money out in the market. This could have enabled our country have more liquidity and with the additional revenue may be the tax burden would have come down on the common man. He can still do this.

Posted by Shailender Prashad | Report as abusive
 

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