Union Finance Minister Arun Jaitley presented the most awaited<a href="http://www.wionews.com/business-economy/key-highlights-from-union-budget-2018-31455"> budget</a> which started off with a positive note on how the&nbsp;<a href="https://www.aninews.in/search?query=India">India</a>n economy has reversed course with&nbsp;<a href="https://www.aninews.in/search?query=GDP">GDP</a>&nbsp;at 6.3 percent signalling a turnaround of the economy.

Allocation to Digital India scheme has been doubled to Rs 3073 crore. Moreover,&nbsp;5 lakh WiFi HotSpots will&nbsp;provide Broadband access to 5 crore rural citizens, at the cost of Rs 10,000 crore.&nbsp;

Also read:&nbsp;<a href="http://www.wionews.com/business-economy/union-budget-2018-full-text-of-finance-minister-arun-jaitleys-speech-to-parliament-31464" target="_blank">Full text of Finance Minister Arun Jaitley&#39;s speech to Parliament</a>

He also announced initiating a national program along with the NITI Aayog to direct efforts in artificial intelligence.

Arun Jaitley also allocated Rs&nbsp;1 trillion to a new scheme called Revitalizing Infrastructure in School Education or RISE to integrate its school education sector-from pre-school to class 12-implying merger of several school schemes in the near future to revitalize the infrastructure of schools in the country.

Also watch:&nbsp;<a href="http://www.wionews.com/videos/fm-arun-jaitley-technology-will-be-the-biggest-driver-in-improving-quality-of-education-8083">FM Arun Jaitley: Technology will be the biggest driver in improving quality of education</a>

Here&#39;s what the people of the nation had to say:&nbsp;

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<blockquote class="twitter-tweet" data-lang="en">
From food processing to fiber optics, roads to shipping, youth to senior citizen, rural India to Ayushmaan Bharat, Digital India to Start Up India, this budget strengthens hopes &amp; aspirations of crores of Indians: PM <a href="https://twitter.com/narendramodi?ref_src=twsrc%5Etfw">@narendramodi</a> <a href="https://twitter.com/hashtag/NewIndiaBudget?src=hash&amp;ref_src=twsrc%5Etfw">#NewIndiaBudget</a><a href="https://twitter.com/hashtag/Budget2018?src=hash&amp;ref_src=twsrc%5Etfw">#Budget2018</a>
&mdash; Priti Gandhi (@MrsGandhi) <a href="https://twitter.com/MrsGandhi/status/958975355699810304?ref_src=twsrc%5Etfw">February 1, 2018</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
<a class="close-mark close-div" href="#" id="jqclosemark">&times;</a></div>

&nbsp;

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<blockquote class="twitter-tweet" data-lang="en">
In the rapidly changing landscape, the distinction between telecom, IT and broadcasting technology has disappeared and a convergence of these sectors is required. A positive consideration of this demand in the <a href="https://twitter.com/hashtag/Budget2018?src=hash&amp;ref_src=twsrc%5Etfw">#Budget2018</a> will certainly help in the rapid growth &amp; employment.
&mdash; Punit Goenka (@punitgoenka) <a href="https://twitter.com/punitgoenka/status/958917903083913216?ref_src=twsrc%5Etfw">February 1, 2018</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
<a class="close-mark close-div" href="#" id="jqclosemark">&times;</a></div>

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<blockquote class="twitter-tweet" data-lang="en">
From <a href="https://twitter.com/hashtag/GIFTcity?src=hash&amp;ref_src=twsrc%5Etfw">#GIFTcity</a> to <a href="https://twitter.com/hashtag/AI?src=hash&amp;ref_src=twsrc%5Etfw">#AI</a> to crypto currencies to <a href="https://twitter.com/hashtag/5G?src=hash&amp;ref_src=twsrc%5Etfw">#5G</a>, there is a rising sensitivity to technology in <a href="https://twitter.com/hashtag/Budget2018?src=hash&amp;ref_src=twsrc%5Etfw">#Budget2018</a>. 
These may not need big budgetary outlays but are strong enablers of future growth and will have deep impact on the economy. Look at them as investments.
&mdash; Gautam Chikermane (@gchikermane) <a href="https://twitter.com/gchikermane/status/958954095229919233?ref_src=twsrc%5Etfw">February 1, 2018</a></blockquote>
<script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script></div>
<a class="close-mark close-div" href="#" id="jqclosemark">&times;</a></div>

Meanwhile, In the Budget for 2018-19, finance minister Arun Jaitley increased custom duty on CKD (completely knocked down) imports of motor vehicles, motor cars, motor cycles from 10% to 15%.

The government also raised custom duty on specified parts/accessories of motor vehicles, motor cars, motor cycles from 7.5% to 15%. Besides, imported duty on truck and bus radial tyres has been increased from 10 to 15%.

Further, duty on CBU (completely built units) imports of motor vehicles (trucks and buses) has been hiked from 20% to 25%.

A large number of imported items including mobile handsets, cars and motorcycles, fruit juices, perfumes and footwear will become costlier.&nbsp;

This will impact luxury car and bike manufacturing companies such as Mercedes-Benz, BMW, Audi, Volvo, Jaguar Land Rover, Harley-Davidson, Triumph, who have set up assembly plants.&nbsp;

Roland Folger, Managing Director &amp; CEO, Mercedes-Benz India&nbsp;said:&nbsp;&ldquo;The increase in the basic customs duty of auto parts, accessories and CKD components varying from 5% to 10%, clubbed with the new Social Welfare Surcharge at 10%, at a time when the auto industry is reviving, is unfortunate, and comes as a surprise. We believe it is going to impact the auto industry, the consumers and is also against the spirit of &lsquo;Make in India&rsquo;. The auto industry was expecting the Government to formulate policies and take decisions that would create demand, create additional jobs and help the industry to grow. As the overall costs due to various duty increase is imminent, we are left with no option but to pass on the resulting increase in price to the customers.&quot;

Folger further added,&nbsp;&ldquo;The increase in basic customs duty hike will highly restrict the growth of the luxury car industry and this will only result in the loss of additional revenue, which would have increased significantly with increase in volume. The auto industry which contributes 7.2% of the GDP is likely to be affected and further job creation might be impacted with this decision.&quot;

&nbsp;Sohinder Gill, Director- Corporate Affairs, Society of Manufacturers of Electric Vehicles said: &ldquo;As the EV Policy is not a part of the budget, we were not expecting any major announcement related to electric vehicles in today&rsquo;s budget. However, we are happy to note that there are general announcements made today, which will support the cause.&quot;&nbsp;

&quot;The only thing we were expecting from the budget was rationalization of GST rate i.e. currently 12% for EVs and 28% for EV batteries. Also, we had requested that GST should be made at least either 0 or 5% for initial years. But we didn&rsquo;t find any mention of the same. Perhaps it will be covered in the policy, later. Overall we are happy with the outcome of the budget&rdquo;&nbsp;Gill added.&nbsp;

Society of Indian Automobile Manufactures (SIAM) deputy director general Sugato Sen said that the move to increase duty on components would impact the entire automobile industry.

&ldquo;Since every company has to import some kind of components, the increase is going to impact everyone. Companies with greater exposure to imported articles would be impacted more,&rdquo; Sen said.

In the Budget for 2018-19, finance minister Arun Jaitley increased custom duty on CKD (completely knocked down) imports of motor vehicles, motor cars, motor cycles from 10% to 15%

Union Finance Minister Arun Jaitley presented the most awaited budget which started off with a positive note on how the Indian economy has reversed course with GDP at 6.3 percent signalling a turnaround of the economy. Allocation to Digital India scheme has been doubled to Rs 3073 crore. Moreover, 5 lakh WiFi HotSpots will provide Broadband access to 5 crore rural citizens, at the cost of Rs 10,000 crore. Also read: Full text of Finance Minister Arun Jaitley's speech to Parliament He also announced initiating a national program along with the NITI Aayog to direct efforts in artificial intelligence. Arun Jaitley also allocated Rs 1 trillion to a new scheme called Revitalizing Infrastructure in School Education or RISE to integrate its school education sector-from pre-school to class 12-implying merger of several school schemes in the near future to revitalize the infrastructure of schools in the country. Also watch: FM Arun Jaitley: Technology will be the biggest driver in improving quality of education Here's what the people of the nation had to say: From food processing to fiber optics, roads to shipping, youth to senior citizen, rural India to Ayushmaan Bharat, Digital India to Start Up India, this budget strengthens hopes & aspirations of crores of Indians: PM @narendramodi #NewIndiaBudget#Budget2018 — Priti Gandhi (@MrsGandhi) February 1, 2018 × In the rapidly changing landscape, the distinction between telecom, IT and broadcasting technology has disappeared and a convergence of these sectors is required. A positive consideration of this demand in the #Budget2018 will certainly help in the rapid growth & employment. — Punit Goenka (@punitgoenka) February 1, 2018 × From #GIFTcity to #AI to crypto currencies to #5G, there is a rising sensitivity to technology in #Budget2018. These may not need big budgetary outlays but are strong enablers of future growth and will have deep impact on the economy. Look at them as investments. — Gautam Chikermane (@gchikermane) February 1, 2018 × Meanwhile, In the Budget for 2018-19, finance minister Arun Jaitley increased custom duty on CKD (completely knocked down) imports of motor vehicles, motor cars, motor cycles from 10% to 15%. The government also raised custom duty on specified parts/accessories of motor vehicles, motor cars, motor cycles from 7.5% to 15%. Besides, imported duty on truck and bus radial tyres has been increased from 10 to 15%. Further, duty on CBU (completely built units) imports of motor vehicles (trucks and buses) has been hiked from 20% to 25%. A large number of imported items including mobile handsets, cars and motorcycles, fruit juices, perfumes and footwear will become costlier. This will impact luxury car and bike manufacturing companies such as Mercedes-Benz, BMW, Audi, Volvo, Jaguar Land Rover, Harley-Davidson, Triumph, who have set up assembly plants. Roland Folger, Managing Director & CEO, Mercedes-Benz India said: “The increase in the basic customs duty of auto parts, accessories and CKD components varying from 5% to 10%, clubbed with the new Social Welfare Surcharge at 10%, at a time when the auto industry is reviving, is unfortunate, and comes as a surprise. We believe it is going to impact the auto industry, the consumers and is also against the spirit of ‘Make in India’. The auto industry was expecting the Government to formulate policies and take decisions that would create demand, create additional jobs and help the industry to grow. As the overall costs due to various duty increase is imminent, we are left with no option but to pass on the resulting increase in price to the customers." Folger further added, “The increase in basic customs duty hike will highly restrict the growth of the luxury car industry and this will only result in the loss of additional revenue, which would have increased significantly with increase in volume. The auto industry which contributes 7.2% of the GDP is likely to be affected and further job creation might be impacted with this decision." Sohinder Gill, Director- Corporate Affairs, Society of Manufacturers of Electric Vehicles said: “As the EV Policy is not a part of the budget, we were not expecting any major announcement related to electric vehicles in today’s budget. However, we are happy to note that there are general announcements made today, which will support the cause." "The only thing we were expecting from the budget was rationalization of GST rate i.e. currently 12% for EVs and 28% for EV batteries. Also, we had requested that GST should be made at least either 0 or 5% for initial years. But we didn’t find any mention of the same. Perhaps it will be covered in the policy, later. Overall we are happy with the outcome of the budget” Gill added. Society of Indian Automobile Manufactures (SIAM) deputy director general Sugato Sen said that the move to increase duty on components would impact the entire automobile industry. “Since every company has to import some kind of components, the increase is going to impact everyone. Companies with greater exposure to imported articles would be impacted more,” Sen said.

Budget 2018 reactions: Technology rises, automobile takes a hit

The Union Budget is just around the corner.&nbsp;With Finance Minister Arun Jaitley getting ready to present the Budget on February 1, it&rsquo;s also time for us to learn and ready ourselves for the Budget speech.&nbsp;

To make things easier, WION digital simplifies the important Budget items for its readers.&nbsp;

Here is a glossary of commonly used terms in the Budget:

Union Budget

Union Budget Union Budget is the most comprehensive report of the Government&#39;s finances in which revenues from all sources and outlays for all activities are consolidated. The Budget also contains estimates of the Government&#39;s accounts for the next Fiscal year called Budgeted Estimates.

Union Budget actually lays down the statement of the estimated receipts and expenditure of the Govt. of India for the coming financial year.&nbsp; It sets out exactly how the govt proposes to allocate the financial resources among the various agencies that make claim on it and how it proposes to raise the finances for this.&nbsp; &nbsp;&nbsp;

Union Budget is undoubtedly the most extensive account of the government&#39;s finances, in which revenues from all sources and expenses of all activities undertaken are aggregated. It comprises the revenue budget and the capital budget.

Gross Domestic Product

GDP is the final value of the goods and services produced within the geographic boundaries of a country during a specified period of time, normally a year. GDP growth rate is an important indicator of the economic performance of a country.&nbsp;

Direct and Indirect Taxes

Direct taxes are the one that fall directly on individuals and corporations. For example, income tax, corporate tax etc. Indirect taxes are imposed on goods and services. They are paid by consumers when they buy goods and services. These include excise duty, customs duty etc.

GST

The Goods and Services Tax (GST) is a value-added tax levied on most goods and services sold for domestic consumption. The GST is paid by consumers, but it is remitted to the government by the businesses selling the goods and services. In effect, GST provides revenue for the government.

&ldquo;Goods&rdquo; means every kind of movable property other than money and securities but includes the actionable claim, growing crops, grass and things attached to or forming part of the land which is agreed to be severed before supply or under a contract of supply.

&ldquo;Services&rdquo; means anything other than goods, money and securities but includes activities relating to the use of money or its conversion by cash or by any other mode, from one form, currency or denomination, to another form, currency or denomination for which a separate consideration is charged.

Customs Duty

These are levies charged when goods are imported into, or exported from, the country, and they are paid by the importer or exporter. Usually, these are also passed on to the consumer.

Fiscal Deficit&nbsp;

When the government&#39;s non-borrowed receipts fall short of its entire expenditure, it has to borrow money from the public to meet the shortfall. The excess of total expenditure over total non-borrowed receipts is called the fiscal deficit.

Revenue Deficit&nbsp;

The difference between revenue expenditure and revenue receipt is known as revenue deficit. It shows the shortfall of government&#39;s current receipts over current expenditure.

Primary Deficit

The primary deficit is the fiscal deficit minus interest payments. It tells how much of the Government&#39;s borrowings are going towards meeting expenses other than interest payments.

Fiscal policy

It is the government actions with respect to aggregate levels of revenue and spending. Fiscal policy is implemented through the budget and is the primary means by which the government can influence the economy.

Monetary Policy

This comprises actions taken by the central bank (i.e. RBI) to regulate the level of money or liquidity in the economy or change the interest rates.

Inflation

A sustained increase in the general price level. The inflation rate is the percentage rate of change in the price level.

Capital Budget

The Capital Budget consists of capital receipts and payments. It includes investments in shares, loans and advances granted by the central Government to State Governments, Government companies, corporations and other parties.

Revenue Budget

The revenue budget consists of revenue receipts of the Government and its expenditure. Revenue receipts are divided into tax and non-tax revenue. Tax revenues constitute taxes like income tax, corporate tax, excise, customs, service and other duties that the Government levies. The non-tax revenue sources include interest on loans, dividend on investments.

Finance Bill

The Bill produced immediately after the presentation of the Union Budget detailing the Imposition, abolition, alteration or regulation of taxes proposed in the Budget.

Vote on Account

The Vote on Account is a grant made in advance by the parliament, in respect of the estimated expenditure for a part of&nbsp;new&nbsp;financial year, pending the completion of procedure relating to the voting on the Demand for Grants and the passing of the Appropriation Act.

Excess Grants

If the total expenditure under a Grant exceeds the provision allowed through its original Grant and Supplementary Grant, then, the excess requires regularization by obtaining the Excess Grant from the Parliament under Article 115 of the Constitution of India. It will have to go through the whole process as in the case of the Annual Budget, i.e. through the presentation of Demands for Grants and passing of Appropriation Bills.

Budget Estimates

Amount of money allocated in the Budget to any ministry or scheme for the coming financial year.

Revised Estimates

Revised Estimates are the mid-year review of possible expenditure, taking into account the rest of expenditure, New Services and New instrument of Services etc. Revised Estimates are not voted by the Parliament, and hence by itself do not provide any authority for expenditure. Any additional projections made in the Revised Estimates need to be authorized for expenditure through the Parliament&#39;s approval or by Re-appropriation order.

Re-appropriations

Re-appropriations allow the Government to re-appropriate provisions from one sub-head to another within the same Grant. Re-appropriation provisions may be sanctioned by a competent authority at any time before the close of the financial year to which such grant or appropriation relates. The Comptroller &amp; Auditor General and the Public Accounts Committee reviews these re-appropriations and comments on them for taking corrective actions.

Outcome Budget

From the fiscal year 2006-07, every Ministry presents a preliminary Outcome Budget to the Ministry of Finance, which is responsible for compiling them. The Outcome Budget is a progress card on what various Ministries and Departments have done with the outlays in the previous annual budget. It measures the development outcomes of all Government programs and whether the money has been spent for the purpose it was sanctioned including the outcome of the fund usage.

Guillotine

Parliament, unfortunately, has very limited time for scrutinising the expenditure demands of all the Ministries. So, once the prescribed period for the discussion on Demands for Grants is over, the Speaker of Lok Sabha puts all the outstanding Demands for Grants, Whether discussed or not, to the vote of the House. This process is popularly known as &#39;Guillotine&#39;.

Cut Motions

Motions for reduction to various Demands for Grants are made in the Form of Cut Motions seeking to reduce the sums sought by Government on grounds of economy or difference of opinion on matters of policy or just in order to voice a grievance.

Consolidated Fund of India

All revenues raised by the Government, money borrowed and receipts from loans given by the Government ?ow into it. All Government expenditure other than certain exceptional items met from Contingency Fund and Public Account are made from this account. No money can be appropriated from the Fund except in accordance with the law.

Contingency Fund of India

A fund placed at the disposal of the President to enable him/her to make advances to the executive/Government to meet urgent unforeseen expenditure.

Public Account

Under provisions of Article 266(1) of the Constitution of India, Public Account is used in relation to all the fund flows where Government is acting as a banker. Examples include Provident Funds and Small Savings. This money does not belong to the government but is to be returned to the depositors. The expenditure from this fund need not be approved by the Parliament.

Corporate Tax

This is the tax paid by corporations or firms on the incomes they earn.

Minimum Alternative Tax (MAT)

The Minimum Alternative Tax is a minimum tax that a company must pay, even if it is under zero tax limits.

Disinvestment

By disinvestment, we mean the sale of shares of public sector undertakings by the Government. The shares of government companies held by the Government are earning assets at the disposal of the Government. If these shares are sold to get cash, then earning assets are converted into cash, So it is referred to as disinvestment.

Glossary of commonly used terms on the Budget

The Union Budget is just around the corner. With Finance Minister Arun Jaitley getting ready to present the Budget on February 1, it’s also time for us to learn and ready ourselves for the Budget speech. To make things easier, WION digital simplifies the important Budget items for its readers. Here is a glossary of commonly used terms in the Budget: Union Budget Union Budget Union Budget is the most comprehensive report of the Government's finances in which revenues from all sources and outlays for all activities are consolidated. The Budget also contains estimates of the Government's accounts for the next Fiscal year called Budgeted Estimates. Union Budget actually lays down the statement of the estimated receipts and expenditure of the Govt. of India for the coming financial year. It sets out exactly how the govt proposes to allocate the financial resources among the various agencies that make claim on it and how it proposes to raise the finances for this. Union Budget is undoubtedly the most extensive account of the government's finances, in which revenues from all sources and expenses of all activities undertaken are aggregated. It comprises the revenue budget and the capital budget. Gross Domestic Product GDP is the final value of the goods and services produced within the geographic boundaries of a country during a specified period of time, normally a year. GDP growth rate is an important indicator of the economic performance of a country. Direct and Indirect Taxes Direct taxes are the one that fall directly on individuals and corporations. For example, income tax, corporate tax etc. Indirect taxes are imposed on goods and services. They are paid by consumers when they buy goods and services. These include excise duty, customs duty etc. GST The Goods and Services Tax (GST) is a value-added tax levied on most goods and services sold for domestic consumption. The GST is paid by consumers, but it is remitted to the government by the businesses selling the goods and services. In effect, GST provides revenue for the government. “Goods” means every kind of movable property other than money and securities but includes the actionable claim, growing crops, grass and things attached to or forming part of the land which is agreed to be severed before supply or under a contract of supply. “Services” means anything other than goods, money and securities but includes activities relating to the use of money or its conversion by cash or by any other mode, from one form, currency or denomination, to another form, currency or denomination for which a separate consideration is charged. Customs Duty These are levies charged when goods are imported into, or exported from, the country, and they are paid by the importer or exporter. Usually, these are also passed on to the consumer. Fiscal Deficit When the government's non-borrowed receipts fall short of its entire expenditure, it has to borrow money from the public to meet the shortfall. The excess of total expenditure over total non-borrowed receipts is called the fiscal deficit. Revenue Deficit The difference between revenue expenditure and revenue receipt is known as revenue deficit. It shows the shortfall of government's current receipts over current expenditure. Primary Deficit The primary deficit is the fiscal deficit minus interest payments. It tells how much of the Government's borrowings are going towards meeting expenses other than interest payments. Fiscal policy It is the government actions with respect to aggregate levels of revenue and spending. Fiscal policy is implemented through the budget and is the primary means by which the government can influence the economy. Monetary Policy This comprises actions taken by the central bank (i.e. RBI) to regulate the level of money or liquidity in the economy or change the interest rates. Inflation A sustained increase in the general price level. The inflation rate is the percentage rate of change in the price level. Capital Budget The Capital Budget consists of capital receipts and payments. It includes investments in shares, loans and advances granted by the central Government to State Governments, Government companies, corporations and other parties. Revenue Budget The revenue budget consists of revenue receipts of the Government and its expenditure. Revenue receipts are divided into tax and non-tax revenue. Tax revenues constitute taxes like income tax, corporate tax, excise, customs, service and other duties that the Government levies. The non-tax revenue sources include interest on loans, dividend on investments. Finance Bill The Bill produced immediately after the presentation of the Union Budget detailing the Imposition, abolition, alteration or regulation of taxes proposed in the Budget. Vote on Account The Vote on Account is a grant made in advance by the parliament, in respect of the estimated expenditure for a part of new financial year, pending the completion of procedure relating to the voting on the Demand for Grants and the passing of the Appropriation Act. Excess Grants If the total expenditure under a Grant exceeds the provision allowed through its original Grant and Supplementary Grant, then, the excess requires regularization by obtaining the Excess Grant from the Parliament under Article 115 of the Constitution of India. It will have to go through the whole process as in the case of the Annual Budget, i.e. through the presentation of Demands for Grants and passing of Appropriation Bills. Budget Estimates Amount of money allocated in the Budget to any ministry or scheme for the coming financial year. Revised Estimates Revised Estimates are the mid-year review of possible expenditure, taking into account the rest of expenditure, New Services and New instrument of Services etc. Revised Estimates are not voted by the Parliament, and hence by itself do not provide any authority for expenditure. Any additional projections made in the Revised Estimates need to be authorized for expenditure through the Parliament's approval or by Re-appropriation order. Re-appropriations Re-appropriations allow the Government to re-appropriate provisions from one sub-head to another within the same Grant. Re-appropriation provisions may be sanctioned by a competent authority at any time before the close of the financial year to which such grant or appropriation relates. The Comptroller & Auditor General and the Public Accounts Committee reviews these re-appropriations and comments on them for taking corrective actions. Outcome Budget From the fiscal year 2006-07, every Ministry presents a preliminary Outcome Budget to the Ministry of Finance, which is responsible for compiling them. The Outcome Budget is a progress card on what various Ministries and Departments have done with the outlays in the previous annual budget. It measures the development outcomes of all Government programs and whether the money has been spent for the purpose it was sanctioned including the outcome of the fund usage. Guillotine Parliament, unfortunately, has very limited time for scrutinising the expenditure demands of all the Ministries. So, once the prescribed period for the discussion on Demands for Grants is over, the Speaker of Lok Sabha puts all the outstanding Demands for Grants, Whether discussed or not, to the vote of the House. This process is popularly known as 'Guillotine'. Cut Motions Motions for reduction to various Demands for Grants are made in the Form of Cut Motions seeking to reduce the sums sought by Government on grounds of economy or difference of opinion on matters of policy or just in order to voice a grievance. Consolidated Fund of India All revenues raised by the Government, money borrowed and receipts from loans given by the Government ?ow into it. All Government expenditure other than certain exceptional items met from Contingency Fund and Public Account are made from this account. No money can be appropriated from the Fund except in accordance with the law. Contingency Fund of India A fund placed at the disposal of the President to enable him/her to make advances to the executive/Government to meet urgent unforeseen expenditure. Public Account Under provisions of Article 266(1) of the Constitution of India, Public Account is used in relation to all the fund flows where Government is acting as a banker. Examples include Provident Funds and Small Savings. This money does not belong to the government but is to be returned to the depositors. The expenditure from this fund need not be approved by the Parliament. Corporate Tax This is the tax paid by corporations or firms on the incomes they earn. Minimum Alternative Tax (MAT) The Minimum Alternative Tax is a minimum tax that a company must pay, even if it is under zero tax limits. Disinvestment By disinvestment, we mean the sale of shares of public sector undertakings by the Government. The shares of government companies held by the Government are earning assets at the disposal of the Government. If these shares are sold to get cash, then earning assets are converted into cash, So it is referred to as disinvestment.

Here are key terms you should know to understand the Budget

Indian shares fell for a second consecutive session on Wednesday, as investors stayed cautious a day before the government unveils its annual&nbsp;budget, but indexes still posted their best month since October amid signs of recovering earnings.

The broader NSE index fell 0.20 per cent to 11,027.70, but gained 4.72 per cent for the month, posting its second consecutive monthly gain.

The benchmark BSE index closed down 0.19 per cent at 35,965.02 but ended the month 5.6 per cent higher.

Indian shares fell for a second consecutive session on Wednesday, as investors stayed cautious a day before the government unveils its annual budget

Indian shares fell for a second consecutive session on Wednesday, as investors stayed cautious a day before the government unveils its annual budget, but indexes still posted their best month since October amid signs of recovering earnings. The broader NSE index fell 0.20 per cent to 11,027.70, but gained 4.72 per cent for the month, posting its second consecutive monthly gain. The benchmark BSE index closed down 0.19 per cent at 35,965.02 but ended the month 5.6 per cent higher.

Sensex, Nifty fall ahead of budget, but see best month since October

India is expected to unveil only modest stimulus at this week&#39;s budget, a Reuters poll of analysts showed, despite it being the last before the next election, with government spending likely limited by longer-term efforts to trim the fiscal deficit.

Fiscal consolidation was first proposed by Prime Minister Narendra Modi&#39;s Bharatiya Janata Party (BJP) government in its maiden budget in fiscal 2014/15, aiming to break a long line of Indian governments that preferred to borrow and spend.

But in following budgets, the timeframe for reaching a reduction to a 3.0 percent fiscal deficit target was pushed back.

The latest Reuters poll shows the government is expected to delay the timeframe for hitting that target by another year, for the third year in a row, due to setbacks in the economic outlook.

The median forecast from over 40 economists polled Jan 24-29 was for India&#39;s government to borrow 3.2 per cent of gross domestic product (GDP) in fiscal 2018-19.

&quot;As the current government will present its last full-year budget before the 2019 general elections, many in the market expect a heavier dose of populism. However, the government has limited financial resources to propose any targeted scheme for the poor,&quot; wrote Gautam Duggad, head of research at Motilal Oswal Securities, in a research note.

&quot;We also do not expect much relief on the tax front, except some reduction in the corporate tax rate for medium-sized companies.&quot;

The government&#39;s own economic survey presented to Parliament on Monday suggested that pushing further out the fiscal deficit target would give the economy some momentum.

For the current fiscal year, the target is 3.2 per cent and the government is unlikely to meet that as it has already overshot its full-year goal. With less than one quarter of the fiscal year left, the government is unlikely to meet its deficit target.

Three-quarters of the 40 economists polled, based in India, Singapore and Europe, said that fiscal consolidation is likely to be Finance Minister Arun Jaitley&#39;s dominant theme when he unveils his budget on Thursday.

Just under 10 per cent of survey respondents said he will focus on boosting subsidies while about 18 per cent expect a significant increase in borrowing and spending.

Among those expecting a more populist budget are economists that say the government will announce new subsidies, such as loan waivers for farmers, an increase in healthcare spending, a cut to taxes on fuel and a ramp up in rural housing schemes.

Some also said the focus on the potential budget provisions could address rising rural dissatisfaction shown by the increase in farmer protests and suicides across India.

&quot;We expect India&#39;s upcoming Union Budget to focus extensively on the agriculture sector, especially given that the government has only one year left in its current term and will want to boost its popularity before the next election,&quot; noted Kunal Kundu, India economist at Societe Generale.

With the Reserve Bank of India holding interest rates for now, demand for fiscal stimulus has increased after the ban of high-value currency notes in November 2016 and the implementation of a goods and services tax (GST) last year.

The economy, which likely marked its weakest pace of growth in four years in fiscal year ending in March, is still recovering from those two measures.

Shilan Shah, senior India economist at Capital Economics, a consultancy, wrote in a note to clients that the government is unlikely to meet its deficit targets for this year and next.

India&#39;s economy is forecast to grow by 6.6 per cent in the current fiscal year, which would be its weakest since before a new calculation was introduced in fiscal 2014-15, a Reuters poll of economists found earlier in January.

It is forecast to pick up to 7.3 per cent in 2018-19.

The government's own economic survey presented to Parliament on Monday suggested that pushing further out the fiscal deficit target would give the economy some momentum.

India is expected to unveil only modest stimulus at this week's budget, a Reuters poll of analysts showed, despite it being the last before the next election, with government spending likely limited by longer-term efforts to trim the fiscal deficit. Fiscal consolidation was first proposed by Prime Minister Narendra Modi's Bharatiya Janata Party (BJP) government in its maiden budget in fiscal 2014/15, aiming to break a long line of Indian governments that preferred to borrow and spend. But in following budgets, the timeframe for reaching a reduction to a 3.0 percent fiscal deficit target was pushed back. The latest Reuters poll shows the government is expected to delay the timeframe for hitting that target by another year, for the third year in a row, due to setbacks in the economic outlook. The median forecast from over 40 economists polled Jan 24-29 was for India's government to borrow 3.2 per cent of gross domestic product (GDP) in fiscal 2018-19. "As the current government will present its last full-year budget before the 2019 general elections, many in the market expect a heavier dose of populism. However, the government has limited financial resources to propose any targeted scheme for the poor," wrote Gautam Duggad, head of research at Motilal Oswal Securities, in a research note. "We also do not expect much relief on the tax front, except some reduction in the corporate tax rate for medium-sized companies." The government's own economic survey presented to Parliament on Monday suggested that pushing further out the fiscal deficit target would give the economy some momentum. For the current fiscal year, the target is 3.2 per cent and the government is unlikely to meet that as it has already overshot its full-year goal. With less than one quarter of the fiscal year left, the government is unlikely to meet its deficit target. Three-quarters of the 40 economists polled, based in India, Singapore and Europe, said that fiscal consolidation is likely to be Finance Minister Arun Jaitley's dominant theme when he unveils his budget on Thursday. Just under 10 per cent of survey respondents said he will focus on boosting subsidies while about 18 per cent expect a significant increase in borrowing and spending. Among those expecting a more populist budget are economists that say the government will announce new subsidies, such as loan waivers for farmers, an increase in healthcare spending, a cut to taxes on fuel and a ramp up in rural housing schemes. Some also said the focus on the potential budget provisions could address rising rural dissatisfaction shown by the increase in farmer protests and suicides across India. "We expect India's upcoming Union Budget to focus extensively on the agriculture sector, especially given that the government has only one year left in its current term and will want to boost its popularity before the next election," noted Kunal Kundu, India economist at Societe Generale. With the Reserve Bank of India holding interest rates for now, demand for fiscal stimulus has increased after the ban of high-value currency notes in November 2016 and the implementation of a goods and services tax (GST) last year. The economy, which likely marked its weakest pace of growth in four years in fiscal year ending in March, is still recovering from those two measures. Shilan Shah, senior India economist at Capital Economics, a consultancy, wrote in a note to clients that the government is unlikely to meet its deficit targets for this year and next. India's economy is forecast to grow by 6.6 per cent in the current fiscal year, which would be its weakest since before a new calculation was introduced in fiscal 2014-15, a Reuters poll of economists found earlier in January. It is forecast to pick up to 7.3 per cent in 2018-19.

No spending spree due in last Indian budget before elections: Poll

Since his election four years ago, Indian markets have welcomed Prime Minister Narendra Modi&#39;s campaign to mend patchy public finances and develop new areas of growth in Asia&#39;s third largest economy.

To keep investors&#39; confidence, however, Modi&#39;s government will need to be seen containing the fiscal deficit, while also increasing spending in key areas of the slowing economy.

Markets will be focused on how much India widens its fiscal deficit beyond the 3 per cent of gross domestic product projected for 2018/19.

A Reuters poll showed most economists expect a 3.2 per cent deficit as the government looks to increase investments in key areas such as agriculture to bolster its re-election prospects in elections due by 2019.

A modest widening of that nature would calm investors worried that the government may slip away from its judicious spending. Traders say bond yields could fall 10 to 15 basis points, while shares could hit new record highs. Gains could be more pronounced if India sticks to its 3.0 per cent target.

But a deficit above 3.2 per cent could hit shares and send bond yields up by 20-25 basis points, depending on the size of the blowout, on fears of populist policy ahead of next year&#39;s elections.

Markets remain nervous after the government&#39;s annual economic survey on Monday suggested &quot;a pause&quot; in fiscal consolidation, sending bonds plummeting.

&quot;I think the budget will be focused on both investors as well as the common man,&quot; said A Balasubramanian, chief executive officer at Aditya Birla Sun Life Asset Management, adding he expects a deficit of 3.2 per cent.

&quot;The government will take care so that the budget is neither inflationary nor fiscally less prudent.&quot;

A prudent budget could also soothe the Reserve Bank of India, which holds a policy review on Feb. 6-7 amid worries it could raise rates in coming months after inflation hit a 17-month high in December, well above its 4 per cent target.

CRITICAL JUNCTURE

Benchmark 10-year bond yields have fallen 135 bps and the NSE share index has surged 55 per cent since Modi took power in May 2014.

But a recent spike in inflation, tightening cash conditions, and worries about fiscal slippage have sent the 10-year bond yield up more than 80 basis points since July, the biggest move since the 2013 rupee crisis.

Stocks have been more resilient, gaining 4.9 percent this year and hitting records amid signs earnings are recovering after years of poor performance.

While investors expect some spending to support an economy that&#39;s expected to post its weakest growth in four years, they will want to see such stimulus is well-financed.

Growth has been hampered by rollout of the goods and service tax last year and the move to ban high value currency notes in late 2016, which hit tax revenues and increased the chances the fiscal deficit shortfall would hit 3.2 per cent target for the year to March.

An expected pickup in growth next fiscal year and state asset sales estimated to raise 1 trillion rupees ($15.74 billion) should boost tax revenues.

Despite an expected revenue increase, investors don&#39;t believe India will swing to profligacy, with a rally in oil prices likely to constrain government spending.

India imports 80 percent of its energy requirements, and the government may need to respond to higher crude prices like it did in October, by cutting fuel duties. The risk that such a contingency is needed could keep the government in check.

&quot;I believe that there is a high chance that fiscal discipline is more likely to be maintained in this budget,&quot; said Lakshmi Iyer, fixed income head at Kotak Mutual Fund.

Markets will be focused on how much India widens its fiscal deficit beyond the 3 per cent of gross domestic product projected for 2018/19.

Since his election four years ago, Indian markets have welcomed Prime Minister Narendra Modi's campaign to mend patchy public finances and develop new areas of growth in Asia's third largest economy. To keep investors' confidence, however, Modi's government will need to be seen containing the fiscal deficit, while also increasing spending in key areas of the slowing economy. Markets will be focused on how much India widens its fiscal deficit beyond the 3 per cent of gross domestic product projected for 2018/19. A Reuters poll showed most economists expect a 3.2 per cent deficit as the government looks to increase investments in key areas such as agriculture to bolster its re-election prospects in elections due by 2019. A modest widening of that nature would calm investors worried that the government may slip away from its judicious spending. Traders say bond yields could fall 10 to 15 basis points, while shares could hit new record highs. Gains could be more pronounced if India sticks to its 3.0 per cent target. But a deficit above 3.2 per cent could hit shares and send bond yields up by 20-25 basis points, depending on the size of the blowout, on fears of populist policy ahead of next year's elections. Markets remain nervous after the government's annual economic survey on Monday suggested "a pause" in fiscal consolidation, sending bonds plummeting. "I think the budget will be focused on both investors as well as the common man," said A Balasubramanian, chief executive officer at Aditya Birla Sun Life Asset Management, adding he expects a deficit of 3.2 per cent. "The government will take care so that the budget is neither inflationary nor fiscally less prudent." A prudent budget could also soothe the Reserve Bank of India, which holds a policy review on Feb. 6-7 amid worries it could raise rates in coming months after inflation hit a 17-month high in December, well above its 4 per cent target. CRITICAL JUNCTURE Benchmark 10-year bond yields have fallen 135 bps and the NSE share index has surged 55 per cent since Modi took power in May 2014. But a recent spike in inflation, tightening cash conditions, and worries about fiscal slippage have sent the 10-year bond yield up more than 80 basis points since July, the biggest move since the 2013 rupee crisis. Stocks have been more resilient, gaining 4.9 percent this year and hitting records amid signs earnings are recovering after years of poor performance. While investors expect some spending to support an economy that's expected to post its weakest growth in four years, they will want to see such stimulus is well-financed. Growth has been hampered by rollout of the goods and service tax last year and the move to ban high value currency notes in late 2016, which hit tax revenues and increased the chances the fiscal deficit shortfall would hit 3.2 per cent target for the year to March. An expected pickup in growth next fiscal year and state asset sales estimated to raise 1 trillion rupees ($15.74 billion) should boost tax revenues. Despite an expected revenue increase, investors don't believe India will swing to profligacy, with a rally in oil prices likely to constrain government spending. India imports 80 percent of its energy requirements, and the government may need to respond to higher crude prices like it did in October, by cutting fuel duties. The risk that such a contingency is needed could keep the government in check. "I believe that there is a high chance that fiscal discipline is more likely to be maintained in this budget," said Lakshmi Iyer, fixed income head at Kotak Mutual Fund.

Budget to test investors' faith in Modi government

India&#39;s finance minister <a href="http://www.wionews.com/india-news/budget-2018-finance-minister-has-tough-task-to-choose-between-populism-fiscal-prudence-31344">Arun Jaitley will be presenting NDA&#39;s </a>last federal budget ahead of the elections next year amid mounting pressure to balance the fiscal deficit.

Jaitley had earlier tabled the &nbsp;<a href="http://www.wionews.com/business-economy/budget-to-test-investors-faith-in-modi-government-31327">Economic Survey on Monday targeting</a> a 7-7.5 per cent growth in 2018-19. The finance minister will, however, have to look at a number of things as presents his budget on Thursday in Parliament.

The budget would need to address housing, taxation, inflation and a roadmap for corporate India as the country aims to surge ahead of other economies in the near and long-term.

Monu Ratra, ED and CEO, India Infoline Housing Finance said: &quot;Considering the government`s vision to achieve Housing for All by 2022, we believe affordable housing development requires a long-term perspective supported by easy home finance at very affordable interest rates.&quot;&nbsp;

Getamber Anand, Chairman, CREDAI and CMD, ATS Infrastructure Ltd. said, &quot;The real estate opportunity to boost GDP mustn`t be missed by the finance ministry in this budget. We expect the government to increase the exemption limits for deduction of interest from the income of the middle class and salaried homebuyer.&quot;

Arjunpreet Singh Sahni, Executive Director, Solitaire Group.Pankaj Kumar Jain, Managing Director, KW Group said, &quot;We have a lot of expectations from this year`s budget as the real estate sector is completely marred by rising input cost and week buying sentiments. We expect the&nbsp;finance minister to announce a specific mechanism to regulate the cost of key raw materials like cement and steel to help the industry produce affordable housing units for the masses.

The finance minister will also be expected to provide a vision statement for the government&#39;s GST scheme with several traders still demanding more relaxation in several products across the board.

Siddharth Gupta, MD, Hicks India said, &quot;We expect the government to re-look at GST rates on medical devices since currently it is pegged at 12 per cent which could affect the overall cost structure of the healthcare sector and even a minor relief may result in delivery of affordable healthcare services to the wider population. Also, some basic products like thermometers and hot water bottles should be moved to tax slab of 5 from 18 per cent.&quot; 
&nbsp; 
Meanwhile, political parties are bracing for the budget with UPA chairperson Sonia Gandhi likely to chair a meeting of opposition leaders on Thursday to plan a joint strategy for the ongoing budget session.

West Bengal chief minister Mamata Banerjee has already declared the government will be presenting an &quot;election budget&quot;, with most other opposition parties of the same the view.

The budget would need to address housing, taxation, inflation and a roadmap for corporate India as the country aims to surge ahead of other economies

India's finance minister Arun Jaitley will be presenting NDA's last federal budget ahead of the elections next year amid mounting pressure to balance the fiscal deficit. Jaitley had earlier tabled the Economic Survey on Monday targeting a 7-7.5 per cent growth in 2018-19. The finance minister will, however, have to look at a number of things as presents his budget on Thursday in Parliament. The budget would need to address housing, taxation, inflation and a roadmap for corporate India as the country aims to surge ahead of other economies in the near and long-term. Monu Ratra, ED and CEO, India Infoline Housing Finance said: "Considering the government`s vision to achieve Housing for All by 2022, we believe affordable housing development requires a long-term perspective supported by easy home finance at very affordable interest rates." Getamber Anand, Chairman, CREDAI and CMD, ATS Infrastructure Ltd. said, "The real estate opportunity to boost GDP mustn`t be missed by the finance ministry in this budget. We expect the government to increase the exemption limits for deduction of interest from the income of the middle class and salaried homebuyer." Arjunpreet Singh Sahni, Executive Director, Solitaire Group.Pankaj Kumar Jain, Managing Director, KW Group said, "We have a lot of expectations from this year`s budget as the real estate sector is completely marred by rising input cost and week buying sentiments. We expect the finance minister to announce a specific mechanism to regulate the cost of key raw materials like cement and steel to help the industry produce affordable housing units for the masses. The finance minister will also be expected to provide a vision statement for the government's GST scheme with several traders still demanding more relaxation in several products across the board. Siddharth Gupta, MD, Hicks India said, "We expect the government to re-look at GST rates on medical devices since currently it is pegged at 12 per cent which could affect the overall cost structure of the healthcare sector and even a minor relief may result in delivery of affordable healthcare services to the wider population. Also, some basic products like thermometers and hot water bottles should be moved to tax slab of 5 from 18 per cent." Meanwhile, political parties are bracing for the budget with UPA chairperson Sonia Gandhi likely to chair a meeting of opposition leaders on Thursday to plan a joint strategy for the ongoing budget session. West Bengal chief minister Mamata Banerjee has already declared the government will be presenting an "election budget", with most other opposition parties of the same the view.

Union budget 2018: Jaitley must address housing, inflation, taxes & GST, say experts

Ahead of the Budget, a survey has revealed that 87.5 per cent small and medium enterprises from the transport sector expect more projects to be announced such as Bharatmala road building programme, while 54 per cent of retail and e-commerce SMEs want a national retail policy.

The Dun &amp; Bradstreet SAP SME Survey on the Budget expectations of SMEs across various segments also found that 43 per cent respondents from the metal and mining sector want the government to expand profit-linked incentives to include capital-intensive industries. However, 88 per cent feel the government is likely to maintain a protectionist mindset, promoting indigenous manufacturing.

According to the survey, 56 per cent SMEs from the automotive sector expect the reduction in GST rates on ancillaries as suggested by Automotive Component Manufacturers Association of India, whereas 88 per cent expect encouraging steps towards Bharat Stage?VI adoption.

Besides, one out of three respondents from the industrial machine components segment want nil taxation for import of capital goods for technological upgradation and environment protection.

Moreover, 50 per cent respondents from the chemical and pharma sectors want government to change weighted deduction provisions to 200 per cent for R&amp;D in the budget.

On the professional services front, 48 per cent desire the benefit of presumptive taxation to be extended to Limited Liability Partnerships.

Among the retail and e-commerce respondents, 52 per cent prefer a Unified National Market for retail and FMCG sector combined while 88 per cent from the transport and logistics sector want logistic parks to be set up.

The survey highlighted a whopping 91 per cent of respondents endorsing the need of technology adoption with the support of encouraging government policies and schemes.

The study also found that SMEs view technology as an enabler for their business growth. Over 63.59 per cent stated that technology adoption is not a survival tactic but in anticipation of thriving growth, and hence is on the top of their priority list.

Besides, 29 per cent of respondents highlighted access to credit for SMEs as the most important change they expect from the budget. In addition, around 21 per cent expressed the need for the government to extend incentives for SME startups, while 20 per cent want no threshold for investment allowance on capital expenditure.&nbsp;

The study also found that SMEs view technology as an enabler for their business growth.

Ahead of the Budget, a survey has revealed that 87.5 per cent small and medium enterprises from the transport sector expect more projects to be announced such as Bharatmala road building programme, while 54 per cent of retail and e-commerce SMEs want a national retail policy. The Dun & Bradstreet SAP SME Survey on the Budget expectations of SMEs across various segments also found that 43 per cent respondents from the metal and mining sector want the government to expand profit-linked incentives to include capital-intensive industries. However, 88 per cent feel the government is likely to maintain a protectionist mindset, promoting indigenous manufacturing. According to the survey, 56 per cent SMEs from the automotive sector expect the reduction in GST rates on ancillaries as suggested by Automotive Component Manufacturers Association of India, whereas 88 per cent expect encouraging steps towards Bharat Stage?VI adoption. Besides, one out of three respondents from the industrial machine components segment want nil taxation for import of capital goods for technological upgradation and environment protection. Moreover, 50 per cent respondents from the chemical and pharma sectors want government to change weighted deduction provisions to 200 per cent for R&D in the budget. On the professional services front, 48 per cent desire the benefit of presumptive taxation to be extended to Limited Liability Partnerships. Among the retail and e-commerce respondents, 52 per cent prefer a Unified National Market for retail and FMCG sector combined while 88 per cent from the transport and logistics sector want logistic parks to be set up. The survey highlighted a whopping 91 per cent of respondents endorsing the need of technology adoption with the support of encouraging government policies and schemes. The study also found that SMEs view technology as an enabler for their business growth. Over 63.59 per cent stated that technology adoption is not a survival tactic but in anticipation of thriving growth, and hence is on the top of their priority list. Besides, 29 per cent of respondents highlighted access to credit for SMEs as the most important change they expect from the budget. In addition, around 21 per cent expressed the need for the government to extend incentives for SME startups, while 20 per cent want no threshold for investment allowance on capital expenditure.

Union Budget 2018: SMEs expect more projects, lower taxes

Finance minister Arun Jaitley will unveil Union Budget 2018-19 on Thursday. With investors expecting increased investment in key areas, such as e-commerce, healthcare, education, and agriculture; reduction in tax slabs, improvement of tech infrastructure, and data security remain the key concerns for the Information Technology (IT) sector.

Here are some expectations from the sector, ahead of this year&#39;s Union Budget:

Acer

&quot;India as a country imports a large number of electronic goods from neighbouring countries. There should be a focus to substitute imports with domestic manufacturing. This can again be achieved with attractive tax slabs. We have some success in that field but the value addition is still low. There is a need to provide an edge to domestic manufacturing. Similarly, there are a lot of low-end items being imported, and if produced locally they present a good opportunity to indigenous companies by providing local employment. We hope this budget would be sympathetic towards the sector so as to resurrect the affected businesses again. Overall, we are hopeful for the new budget to create a conducive environment for new job creation, exports and future economic growth of the country,&quot; said CFO, Acer, Alok Dubey.

DataWind

&quot;In the upcoming budget, we are hoping for some relief in terms of the Goods and Services Tax (GST) from the government. As we have always stated, DataWind aims to fill the gap between conventional and smart education by providing affordable devices and internet connectivity. Tablet PCs carried a five percent sales tax before the implementation of GST. Due to tax rebates in certain Indian states, as part of Make-in-India, the five percent was waived. In the last financial year, we have seen a steep rise due to GST from zero percent to 18 percent. The GST rate for 7&quot; tablets is also at disparity with 6&quot; smartphones, which have a 12 percent, while both sets of products carry the same functionality. This made educational tablets costlier and unaffordable among low-income groups. We look forward to reduction in GST on low-cost educational tablets from 18 percent to five percent and if possible remove it completely. We are hopeful that the process of GST refunds gets expedited thus helping to run the business with ease,&quot; said CEO and President, DataWind, Suneet Singh Tuli.

Verizon Enterprise Solutions

&quot;The Government of India has made great strides to foster the growth and development of the Indian IT and telecommunication sector, strengthening the economic and digital transformation in the country. As the industry grapples with competition caused by digital disruption, we hope that the Union Budget 2018-19 will take into consideration key issues such as reforms in the telecom regulatory framework via industry consultation as part of new National Telecom Policy - 2018 deliberations to promote legal certainty, predictability and global consistency which will further foster innovation and investments in the IT and telecom sector. The key to success of the Digital India initiative also lies in making the necessary reforms to the tax structures including GST that have played an integral role in developing the country&#39;s economic prowess,&quot; said head of ASPAC Public Policy and Regulatory Counsel, Verizon Enterprise Solutions, Priya Mahajan.

Kaspersky Lab

&quot;Looking at the current situation and the government initiatives like digitization in India, it is expected that the budget which is soon to be announced will focus a lot more on creating funds to battle the growing concern of cyber security in India. Cybersecurity according to me deserves to be in the top five list of concerns in India,&quot; said General Manager, Kaspersky Lab (South Asia), Shrenik Bhayani.

Teradata India

&quot;Budget 2018 assumes significance as it comes post two historical reforms made by the government, demonization and the implementation of GST. It is great to finally see digitization assume its rightful importance and all-pervasive relevance for more effective governance in our robust economy. The government is already paying heed to the rise of disruptive technologies such as automation, advanced analytics, blockchain, internet of things, artificial intelligence and machine learning, and we hope that it facilitates the adoption of some of these technologies both, for itself to improve governance and citizen services as well as by industry and enterprise to hasten the development of new products and services. We are also looking forward to new measures by the government that will fuel the growth of innovation and R&amp;D in India and further enhance ease-of-doing-business,&quot; said MD, Teradata India, Souma Das.

NetApp India

&quot;In the past few years, The Indian Government has initiated a series of initiatives, directed at driving overall change for the positive in the economy, and results are sure to follow suit. One positive impact, for example, is the fact that The World Bank now ranks India as one of the top 100 nations in terms of business friendliness, a significant jump of 30 points from the preceding year. I believe more success and impact is yet to come. The upcoming budget will be an important one, as it will be expected to provide the booster to this forward direction. This government has demonstrated that it values technology led governance for transparency and efficiency. A stronger thrust on research and development that enables more indigenous innovation and increased investments in future technologies will be welcome. I do believe that we will see more of citizen-focused and friendly decisions, and initiatives to bolster investment in India,&quot; said President, NetApp India and SAARC, Anil Valluri.

On a related note, the Union Budget will be presented on February 1.

This will be the last full-fledged budget to be presented by the Narendra Modi-led government, and the first one post the rollout of the GST.

The Union Budget will be presented on February 1

Finance minister Arun Jaitley will unveil Union Budget 2018-19 on Thursday. With investors expecting increased investment in key areas, such as e-commerce, healthcare, education, and agriculture; reduction in tax slabs, improvement of tech infrastructure, and data security remain the key concerns for the Information Technology (IT) sector. Here are some expectations from the sector, ahead of this year's Union Budget: Acer "India as a country imports a large number of electronic goods from neighbouring countries. There should be a focus to substitute imports with domestic manufacturing. This can again be achieved with attractive tax slabs. We have some success in that field but the value addition is still low. There is a need to provide an edge to domestic manufacturing. Similarly, there are a lot of low-end items being imported, and if produced locally they present a good opportunity to indigenous companies by providing local employment. We hope this budget would be sympathetic towards the sector so as to resurrect the affected businesses again. Overall, we are hopeful for the new budget to create a conducive environment for new job creation, exports and future economic growth of the country," said CFO, Acer, Alok Dubey. DataWind "In the upcoming budget, we are hoping for some relief in terms of the Goods and Services Tax (GST) from the government. As we have always stated, DataWind aims to fill the gap between conventional and smart education by providing affordable devices and internet connectivity. Tablet PCs carried a five percent sales tax before the implementation of GST. Due to tax rebates in certain Indian states, as part of Make-in-India, the five percent was waived. In the last financial year, we have seen a steep rise due to GST from zero percent to 18 percent. The GST rate for 7" tablets is also at disparity with 6" smartphones, which have a 12 percent, while both sets of products carry the same functionality. This made educational tablets costlier and unaffordable among low-income groups. We look forward to reduction in GST on low-cost educational tablets from 18 percent to five percent and if possible remove it completely. We are hopeful that the process of GST refunds gets expedited thus helping to run the business with ease," said CEO and President, DataWind, Suneet Singh Tuli. Verizon Enterprise Solutions "The Government of India has made great strides to foster the growth and development of the Indian IT and telecommunication sector, strengthening the economic and digital transformation in the country. As the industry grapples with competition caused by digital disruption, we hope that the Union Budget 2018-19 will take into consideration key issues such as reforms in the telecom regulatory framework via industry consultation as part of new National Telecom Policy - 2018 deliberations to promote legal certainty, predictability and global consistency which will further foster innovation and investments in the IT and telecom sector. The key to success of the Digital India initiative also lies in making the necessary reforms to the tax structures including GST that have played an integral role in developing the country's economic prowess," said head of ASPAC Public Policy and Regulatory Counsel, Verizon Enterprise Solutions, Priya Mahajan. Kaspersky Lab "Looking at the current situation and the government initiatives like digitization in India, it is expected that the budget which is soon to be announced will focus a lot more on creating funds to battle the growing concern of cyber security in India. Cybersecurity according to me deserves to be in the top five list of concerns in India," said General Manager, Kaspersky Lab (South Asia), Shrenik Bhayani. Teradata India "Budget 2018 assumes significance as it comes post two historical reforms made by the government, demonization and the implementation of GST. It is great to finally see digitization assume its rightful importance and all-pervasive relevance for more effective governance in our robust economy. The government is already paying heed to the rise of disruptive technologies such as automation, advanced analytics, blockchain, internet of things, artificial intelligence and machine learning, and we hope that it facilitates the adoption of some of these technologies both, for itself to improve governance and citizen services as well as by industry and enterprise to hasten the development of new products and services. We are also looking forward to new measures by the government that will fuel the growth of innovation and R&D in India and further enhance ease-of-doing-business," said MD, Teradata India, Souma Das. NetApp India "In the past few years, The Indian Government has initiated a series of initiatives, directed at driving overall change for the positive in the economy, and results are sure to follow suit. One positive impact, for example, is the fact that The World Bank now ranks India as one of the top 100 nations in terms of business friendliness, a significant jump of 30 points from the preceding year. I believe more success and impact is yet to come. The upcoming budget will be an important one, as it will be expected to provide the booster to this forward direction. This government has demonstrated that it values technology led governance for transparency and efficiency. A stronger thrust on research and development that enables more indigenous innovation and increased investments in future technologies will be welcome. I do believe that we will see more of citizen-focused and friendly decisions, and initiatives to bolster investment in India," said President, NetApp India and SAARC, Anil Valluri. On a related note, the Union Budget will be presented on February 1. This will be the last full-fledged budget to be presented by the Narendra Modi-led government, and the first one post the rollout of the GST.

Budget 2018: Tech sector hopes for reduction in tax slabs

Finance Minister Arun Jaitley will tomorrow present the current NDA government&#39;s fifth and arguably his toughest Budget yet as he seeks to address agriculture distress, create jobs and boost growth while at the same time stick to fiscal prudence.

Also read: <a href="http://www.wionews.com/business-economy/budget-to-test-investors-faith-in-modi-government-31327" target="_blank">Budget to test investors&#39; faith in Modi government</a>

The Budget, in view of upcoming assembly polls in eight states - including three major states ruled by the BJP - and general elections next year, may see new rural schemes and stepping up of funding towards existing programmes like MNREGA, rural housing, irrigation projects and crop insurance.

With the recent elections in Gujarat indicating erosion of BJP&#39;s rural vote base, Jaitley may also unveil incentives for the farm sector.

Small businesses, which have traditionally formed the core support base of the BJP, too may get some sops to ease pain caused to them due to chaotic rollout of the Goods and Services Tax (GST) and demonetisation.

There is also an expectation that common man may get some relief in income tax by way of a raise in the exemption limit.

Also on Jaitley&#39;s menu may be upping spending on infrastructure projects like highways and modernisation of railways to boost economic growth that is at a four-year low.

But he has to do all this while sticking to the road map of narrowing one of Asia&#39;s largest budget deficits, as failing which, India may fall on the wrong side of global investors and credit rating agencies which had late last year handed out a rare sovereign upgrade.

The target Jaitley had previously set out was to lower the fiscal deficit to 3.2 per cent of the GDP in the current fiscal and to 3 per cent in 2018-19, the Budget for which he would present in the Lok Sabha tomorrow.

Prime Minister Narendra Modi seemed to have already lowered expectations of mass voter swaying announcements when he indicated that the Budget may not be resort to populism and that it was a myth that common man wants sop.

This will be India&#39;s first post-GST and is being keenly watched to see what Jaitley does to boost growth in Asia&#39;s third-largest economy.There are talks that tax break on capital gains from stock investments may go and it remains to be seen if Jaitley will finally show some movement on his 2015 promise to lower corporate tax rate to 25 per cent from 30 per cent over four years.

He has to manoeuvre all this within limited scope of tinkering with tax rates given that central excise duty, which was levied on goods manufactured in the country, and service tax have both been subsumed in the GST and he no longer has the sole power to fix rates on them.

Also constraining him would be the rise in global oil prices, which can stoke inflation as well as widen current account deficit.

Some kind of incentives to boost exports of certain sectors may be announced while there may be announcements for start-ups as well as for promoting entrepreneurship.

There have been mixed signals on deficit target, with Chief Economic Adviser Arvind Subramanian earlier this week stating that a pause in the fiscal consolidation plan can&#39;t be ruled out while Niti Aayog vice chairman Rajiv Kumar saying the government is likely to stick to the target.

In the first eight months of 2017-18, fiscal deficit reached 112 per cent of the target, stoking fears of a fiscal slippage. The shortfall was largely due to reduced dividends from government companies, which the government looks to bridge through stake sale in state-owned firms like HPCL.

Scrapping the colonial-era tradition of presenting the Budget at the end of February, Jaitley had for the first time presented the annual accounts on February 1 last year.

The Budget presentation was advanced by a month to ensure that proposals take effect from April 1, the beginning of the new financial year.

Also, the nearly century-old tradition of having a separate budget for the railways was scrapped and merged with the general budget.

The Union Budget 2018-19 would be the last full Budget of the BJP-led NDA government before the 2019 general elections. As per the practice, a vote-on-account or approval for essential government spending for a limited period is taken in the election year and a full-fledged budget presented by the new government.

While P Chidambaram had presented the previous UPA government&#39;s vote-on-account in February 2014, Jaitley had presented a full budget in July that year.

The Budget for 2018-19 will be the first budget post implementation of the GST regime.

Even though independent India&#39;s biggest tax reform of GST was implemented from July 1, the Budget for 2017-18 (April- March), had followed the practice of tax revenue projections under the heads of customs duty, central excise and service tax alongside direct tax numbers.

With excise duty and service tax being subsumed in the GST, the classifications in the forthcoming budget may undergo change.

While a new classification for revenues to be accrued from GST will be included in the Budget for the next fiscal, for the current year two sets of accounting may be presented, one for actual accruals during April-June for excise, customs and service tax, and the other for July-March period for GST and customs duty.

The Budget, in view of upcoming assembly polls in eight states - including three major states ruled by the BJP - and general elections next year, may see new rural schemes and stepping up of funding towards existing programmes like MNREGA, rural housing, irrigation projects and crop insurance

Finance Minister Arun Jaitley will tomorrow present the current NDA government's fifth and arguably his toughest Budget yet as he seeks to address agriculture distress, create jobs and boost growth while at the same time stick to fiscal prudence. Also read: Budget to test investors' faith in Modi government The Budget, in view of upcoming assembly polls in eight states - including three major states ruled by the BJP - and general elections next year, may see new rural schemes and stepping up of funding towards existing programmes like MNREGA, rural housing, irrigation projects and crop insurance. With the recent elections in Gujarat indicating erosion of BJP's rural vote base, Jaitley may also unveil incentives for the farm sector. Small businesses, which have traditionally formed the core support base of the BJP, too may get some sops to ease pain caused to them due to chaotic rollout of the Goods and Services Tax (GST) and demonetisation. There is also an expectation that common man may get some relief in income tax by way of a raise in the exemption limit. Also on Jaitley's menu may be upping spending on infrastructure projects like highways and modernisation of railways to boost economic growth that is at a four-year low. But he has to do all this while sticking to the road map of narrowing one of Asia's largest budget deficits, as failing which, India may fall on the wrong side of global investors and credit rating agencies which had late last year handed out a rare sovereign upgrade. The target Jaitley had previously set out was to lower the fiscal deficit to 3.2 per cent of the GDP in the current fiscal and to 3 per cent in 2018-19, the Budget for which he would present in the Lok Sabha tomorrow. Prime Minister Narendra Modi seemed to have already lowered expectations of mass voter swaying announcements when he indicated that the Budget may not be resort to populism and that it was a myth that common man wants sop. This will be India's first post-GST and is being keenly watched to see what Jaitley does to boost growth in Asia's third-largest economy.There are talks that tax break on capital gains from stock investments may go and it remains to be seen if Jaitley will finally show some movement on his 2015 promise to lower corporate tax rate to 25 per cent from 30 per cent over four years. He has to manoeuvre all this within limited scope of tinkering with tax rates given that central excise duty, which was levied on goods manufactured in the country, and service tax have both been subsumed in the GST and he no longer has the sole power to fix rates on them. Also constraining him would be the rise in global oil prices, which can stoke inflation as well as widen current account deficit. Some kind of incentives to boost exports of certain sectors may be announced while there may be announcements for start-ups as well as for promoting entrepreneurship. There have been mixed signals on deficit target, with Chief Economic Adviser Arvind Subramanian earlier this week stating that a pause in the fiscal consolidation plan can't be ruled out while Niti Aayog vice chairman Rajiv Kumar saying the government is likely to stick to the target. In the first eight months of 2017-18, fiscal deficit reached 112 per cent of the target, stoking fears of a fiscal slippage. The shortfall was largely due to reduced dividends from government companies, which the government looks to bridge through stake sale in state-owned firms like HPCL. Scrapping the colonial-era tradition of presenting the Budget at the end of February, Jaitley had for the first time presented the annual accounts on February 1 last year. The Budget presentation was advanced by a month to ensure that proposals take effect from April 1, the beginning of the new financial year. Also, the nearly century-old tradition of having a separate budget for the railways was scrapped and merged with the general budget. The Union Budget 2018-19 would be the last full Budget of the BJP-led NDA government before the 2019 general elections. As per the practice, a vote-on-account or approval for essential government spending for a limited period is taken in the election year and a full-fledged budget presented by the new government. While P Chidambaram had presented the previous UPA government's vote-on-account in February 2014, Jaitley had presented a full budget in July that year. The Budget for 2018-19 will be the first budget post implementation of the GST regime. Even though independent India's biggest tax reform of GST was implemented from July 1, the Budget for 2017-18 (April- March), had followed the practice of tax revenue projections under the heads of customs duty, central excise and service tax alongside direct tax numbers. With excise duty and service tax being subsumed in the GST, the classifications in the forthcoming budget may undergo change. While a new classification for revenues to be accrued from GST will be included in the Budget for the next fiscal, for the current year two sets of accounting may be presented, one for actual accruals during April-June for excise, customs and service tax, and the other for July-March period for GST and customs duty.

Budget 2018: Finance Minister has tough task to choose between populism, fiscal prudence

budget-india

Budget India, News on Budget India, stories on Budget India, articles on Budget India, Budget India stories at Wion, Budget India news, Budget India latest news

budget india