Highlights
10% surcharge on Income Tax: Across-the-board hike in I-T for individuals whose salary was above Rs 60,000 per annum.
A 10% surcharge was also levied on corporate tax.
Incomes from UTI and mutual funds were exempted from I-T.
ESOPs and sweat equity offered to employees was to be double taxed.
Interest on loan for self-occupied property ceiling was raised from Rs 30,000 to Rs 75,000.
Housing loans became cheaper: 2% cut in interest rates for small investors. Depreciation for new housing units was raised from 20% to 40%.
Gold deposit scheme: Exempt from I-T.
Diesel prices hiked by Re. 1.
Long-term capital gains sale of shares/securities reduced to 10% from 20%.
Expansion of tax base through one-of-six criteria in another 19 cities.
Agriculture outlay increased by 34.5%.
10% surcharge on customs duty on imported goods.
Duty rates on telecom equipment cut from 30% to 25%.
Other computer devices such as micro assemblies (except motherboards), storage devices, CD-ROMs, optical fibres, ICs cut to 5%.
Major boost to IT industry to put India on the information superhighway.
{{/usCountry}}Major boost to IT industry to put India on the information superhighway.
{{/usCountry}}Agriculture outlay increased by 34.5%.
74% FDI in pharma sector okayed.
Hike in deduction limit of medical insurance premia to Rs 15,000 from Rs 10,000 earlier.
Tax deduction for treatment of specific diseases was raised to Rs 60,000 while upper ceiling of sum insured under Mediclaim was hiked to Rs 5 lakh.
Modvat exemption limit hiked from 95% to 100%.
11% hike in defence outlay.
Inland letters costlier.