Budget Highlights-2008

• Personal income tax exemption hiked to Rs 1.5 lakh
  Senior citizens threshold tax limit increased from Rs 1,95,000 to Rs 2,25,000
  Tax exemption for women increased to Rs 1.8 lakh

PIC:Finance Minister P Chidambaram presents the Union Budget 2008-09 in the Lok Sabha.

New tax slabs:

10 per cent for 1,50,000 to 3,00,000, 20 per cent for 3,00,000 to 5,00,000 and 30 per cent above 5,00,000

Excise on packaged softwares to be lower from 8% to 12%
No excise duty on refrigerating equipments
Small cars to become cheaper
Reduced excise duty on two, three wheelers
Rs 50 cr for tiger conservation
Sixth Pay Commission report by March 2008
Defence allocation up by 10% from Rs 96,000 cr to Rs 1,56,000 cr
Rs 624 cr for Commonwealth Games
PAN sole identification in securities market
Debt waiver scheme and relief to small and marginal farmers
Duty reduced on life saving drugs
Set-top boxes to become cheaper
3 IITs to be set up in Bihar, AP, Rajasthan
Special attention, more funds for North East
54 gender budgeting cells set up
More allocation for polio and AIDS

economic survey 2007- 08 presented by P. Chidamabaram

India's Economic Survey presented by the Indian finance minister P. Chidamabaram (Pic)has predicted a lower growth of 8.7 per cent for the fiscal 2007-08, while warning that rupee appreciation, lower export growth, rising inflation and US recession were posing major challenges.

The highlights of the Economic Survey 2007-08 presented by Finance Minister P. Chidamabaram in the Lok Sabha on 28th February:

• Indian economy to top $1 trillion this fiscal at market exchange rate
  Economy projected to grow 8.7 per cent in 2007-08
  Increased activity at stock markets, key indices giving returns of around 38 per cent
  Domestic investment and savings drive growth
  Inflation projected to decline to 4.1 per cent
  Fiscal deficit to decline to 3.3 per cent
  Revenue deficit to decline to 1.5 per cent
  Gross tax GDP ratio to rise to 11.8 per cent
  Revenue expenditure grows 17 percent, higher than target of 5.4 per cent
  Concern: infrastructure constraints
  Concern: slowdown in consumer goods sector
  Concern: loss of dynamism in agriculture and allied sectors
  Fundamentals continue to inspire confidence
  Investment climate full of optimism
  Concern: Rupee appreciation
  100 per cent foreign direct investment (FDI) in home appliances, rural agricultural banks
  51 per cent FDI in rural health
  Some FDI in retail trade
  Concern: Labour force growing faster than employment growth
  Challenge: Maintaining 9 per cent GDP growth