Union Budget 2018 19: Key Highlights



  • Indian Economy expected to be 5th largest in the world soon.

  • FY 19 growth target between 7 to 7.25%.

  • Organic farming exempt from tax.

  • 42 mega food parks to be set up.

  • Proposal to raise Rs.11 lakh crores for Institutional credit to farm sector.

  • Special scheme to address pollution in Delhi/NCR.

  • Focus on issues of poor and middle class.

  • 4 crores households to be provided with electricity.

  • Free gas connection to 8 crores women.

  • Water management, Housing, Sanitation development focus areas.

  • To implement comprehensive social security.

  • Health Insurance of Rs.5 Lakh per family for 10 crores families.

  • Health/Education sector outlay increased.

  • Online loan sanctioning facilities for MSME will be relaunched.

  • Railways capex at Rs.1.49 lakh crores (electrification, safety, etc.)

  • SEBI to consider mandating large corporation to meet 1/4th needs vide bonds.

  • Smart city allocation for 99 cities increased.

  • Amendments to stamp duty likely.

  • To explore use of block chain technology.

  • To take steps to eliminate use of cryp to currencies.

  • Total infra spend estimated at Rs.5.79 lakh crores.

  • New scheme for Aadhar for every businesses.

  • Disinvestment target set at Rs.80000 crores.

  • Government to formulate comprehensive gold policy.

  • Salary structure of President/ Vice President/Governors revised after 10 years.

  • To revise lawmakers salary after every 5 years.

  • Central government to receive GST revenue for only 11 months.

  • Fixed deficit target of 3.3% for 2018-19.

  • Seeing short term non tax revenue for the FY 19.

Direct taxes:

  • 85 lakh new taxpayers during last FY

  • FY 18 Direct tax collection up 12.6%

  • Anti tax evasion measures boosted Rs.90000 crores collection

  • Proposed post harvest tax incentives.

  • Corporate tax cut to 25% for MSME’s with turnover upto Rs.250 crores

  • Relief to salaried tax payers.

  • Eases rules on LTCG on realty.

  • No changes in personal income tax structure for salaried employees.

  • Standard deduction of Rs.40000/- in lieu of medical allowance/leave travel and reimbursement for salaried employees.

  • Exemption on fixed deposits and recurring deposits on interest earning raised from Rs.10000/- to Rs.50000/- pa for senior citizen.

  • Health insurance limit raised to Rs.50000/- for senior citizen.

  • Critical illness health benefit raised to Rs.1 lakh for senior citizens.

  • Long term capital gain tax at 10% without indexation benefit on listed securities exceeding Rs.1 lakh after 31.01.2018

Indirect Taxes:

  • Increased custom duty on Mobile phones, TVs from 15% to 20%.


The views of the authors/publishers should not be construed as advice. Investors must make their own investment decisions based on their specific investment objectives and financial positions and using qualified advisors as may be necessary. Opinions expressed in various articles are not necessarily those of Wealthmax Enterprises Management Private Limited(WEMPL) or any of its directors, officers, employees and personnel. Consequently, WEMPL or any of its directors, officers, employees and personnel do not accept any responsibility for the editorial content or its accuracy, completeness or reliability and hereby disclaim any liability with regard to the same. Stock picks and mutual fund snapshots are not exhaustive and should not be construed as recommendations.