Union Finance Minister Nirmala Sitharaman on Friday presented her maiden Budget for 2019-20 in Lok Sabha. This is Sitharaman’s first budget in the second term of Narendra Modi government, for the fiscal year 2019-20. In her speech, Sitharaman said, with the verdict of the Lok Sabha Polls 2019, the people of India have validated their two goals for the country’s future, ‘national security’ and ‘economic growth’.
Sitharaman announced that there will be no changes in personal income tax rates. The government hiked the excise duty on fuel, increased taxes rate for super rich and provide additional tax relief for home loan holders. Talking about the economy, she said that from 1.85 trillion dollars in 2014, India’s economy has reached 2.7 trillion US dollars and we can very well reach 5 trillion dollars in the next few years. Sitharaman added the Indian economy will grow to become a 3 trillion dollar economy this year itself.
Check the List of goods/services for which prices will rise up and fall down.
Goods/Services that will go Expensive:
- Petrol-diesel, gold, ACs, cashew nuts, cigarettes will now be expensive.
- An increase in import tariffs will likewise increase the prices of many commodities.
- Auto parts, synthetic rubber, PVC, tiles will also become expensive.
- Tobacco products and cigarettes have become costlier.
- Besides gold, silver and silver ornaments have become costlier.
- Optical fiber, stainless products, original metal fittings, frames, and accessories to become costlier.
- ACs, loudspeakers, video recorders, CCTV cameras, vehicle horns, etc. have become costlier.
Goods/Services that will become Cheaper:
- Home Loan will be cheaper.
- Electric cars will have fewer taxes and will also provide a tax benefit to the buyer.
- Commodities including utensils, lamps, brief-cases, passenger bags, sanitary wares, bottles, containers, utensils used in kitchen utensils will be cheaper.
- Daily use items like mattresses, beds, frames of glasses, bamboo, soaps, shampoos, hair oils, toothpaste, detergents will be cheaper.
- Pasta, mayonnaise, incense, salted, dry coconut, sanitary napkins, Wool and woolen thread will be cheaper.
Earlier in the day, before the Budget presentation, Sitharaman was seen holding the budget documents wrapped in a red cloth, the traditional ‘bahi khaata’ way, unlike her predecessors who carried a briefcase. Chief Economic Advisor K. Subramanian said that it was a departure from “slavery of western tradition”. The red cloth symbolizes the ‘bahi khaata’ traditionally used in every Indian business set-up to maintain accounts.