By Somali K Chakrabarti
cools as budget scrutiny picks
devil is in the fine print
A day post Budget, newspapers are rife with Budget analysis, the uncertainty is over and market is up again.
With India having been hailed as a ‘bright spot’ amidst a slowing global economy by IMF, the budget focus has been on
- Ensuring macro-economic stability and prudent fiscal management.
- Boosting on domestic demand
- Continuing with the pace of economic reforms and policy initiatives to change the lives of people for the better.
Budget has different impact for different people. Here are some Budget Haiku to highlight a few key features of the Budget 2016.
Fiscal caution spurs
anticipation for lower
As the government sticks to a fiscal deficit target of 3.5% for fiscal 2015, market experts are of the view that RBI may ease interest rates further in the next monetary policy to spur demand.
Roads to join remote
markets with farms to ease the toil
for tillers of soil
Focus on highways and roads to connect remote villages with cities will give the farmers better access to the markets, where there goods are sold.
Freedom from tax for
first three years for startups will help
lower entry barrier
To give a boost to startups for generating employment, the budget allows for tax exemption for the first three years of inception of a startup. This would ease the entry barriers and empower entrepreneurship.
Pay more for travel,
car, branded attire, less in your
kitty when you retire
Air fare, Cars , branded garments, locally made mobiles, smart watches, cigarettes and aerated drinks will be costlier.
Until now, NPS was completely taxable on maturity (on retirement), while EPF was not. PF schemes enjoyed the tax status of exempt-exempt-exempt (EEE), meaning no tax on contribution, interest or at withdrawal).
To bring about parity in New Pension Scheme and other retirement schemes, the government has decided to impose tax at the time of withdrawal on 60 per cent of the contributions made after 1 April, 2016, to EPF and other schemes. The setback for the salaried class has met with strong reactions on social media.
With no major negative announcements, and the budget being considered as inclusive and neutral. the market has surged again.
Lei: A wreath for your soul is a string of short poems reflecting on nature, life, illusion and inspiration.
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