IT Voice February 2020 Edition

UNION BUDGET 2020-21 EXPECTATIONS V/S REALITY

IT Voice. In, the IT industry-based Journal is focused on pointing the CIOs, IT managers, IT staff, and surrounding professionals to the product and service options available to help them address their business challenges. We do this through our editorial features, columns, and new product coverage, across our editorial focus areas.
In this edition, we covered the Union Budget 2020-21. The budget announced by the FM focuses on three prominent themes which is aspirational India, economic development for all and caring society that is both humane and compassionate.
A highlight of the Budget is the proposal for a new scheme of taxation on personal IT where assesses can pay lower tax rates if they agree to forego all exemptions. Though this has attracted maximum attention, the fact is that to most taxpayers, it may not be as attractive as it appears. It may benefit those who do not claim deductions on housing loan repayments and who do not pay a large insurance premiums. The lower tax rates they will enjoy will be negated by the absence of these sizeable deductions for those who are already claiming them. If the taxpayers feel they are disappointed, it is understandable.
But savers and investors have reason to be happy as the insurance cover on bank deposits has been increased to 5 lakh from 1 lakh now. This will give them a measure of security in these uncertain times when bank frauds and defaults are becoming more frequent. But savers who are also investors have reason to complain as they will now be liable to pay tax on dividend income. The regressive dividend distribution tax has been abolished and with this, the reforms on the corporate tax front have taken another big step forward. In sum, there is nothing spectacular about this Budget which rides on optimistic growth estimates. Whether it flies or falls flat depends on how growth pans out in the economy in the next four quarters.
Budget 2020 and the finance minister’s speech has well- articulated India’s vision on not just being a leading provider of digital solutions, but one where technology id the bedrock of development and growth.Union budget also empowers the government to carry out its constitutional duties such as providing social justice and equality for all.
Rajasthan Chief Minister Ashok Gehlot presented the state budget for 2020-21 in the legislative assembly on February 20th,2020. The state government has allocated Rs 38,524 crore to education, Rs 18,530 crore to power, Rs 6,808 crore to PWD , Rs 8,794 crore to PHED and water resources and Rs 4,557 crore to CAD. Rajasthan’s total revenue receipts are estimated at Rs 1,73,404 crore and expenditure at Rs 1,85,750 crore. 75 crore startup fund has been announced in the budget. This fund will help in getting the youngsters to be Stablelist.
Resource allocation in the best the interest of the society and the country and allocating resources optimally for public welfare.