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Budget 2016: Where it surprised, where it disappointed

Finance Minister Arun Jaitley presented his Union Budget in Parliament today. Here are some of the things that took us by surprise, and some that let us down

Published: Feb 29, 2016 11:04:28 AM IST
Updated: Feb 29, 2016 02:27:46 PM IST
Budget 2016: Where it surprised, where it disappointed

Finance Minister Arun Jaitley presented his Union Budget in Parliament today.

 Where Jaitley Surprised

•    No increase in Service Tax
•    No changes to Long Term Capital Gains tax on equities
•    Redressal mechanism for infrastructure projects
•    Stayed with the fiscal consolidation road map
•    Steps to open up the road transportation sector (abolish permit raj over time)
•    Reduced corporate tax for new companies
•    High net worth dividend earners (earning more than Rs 10 lakh as dividend income) to pay additional 10 percent tax
•    STT increased
•    Domestic tax amnesty scheme announced

Where he disappointed

•    Not a bold budget
•    No out of the box measures to boost growth
•    Public sector investment may not be enough to kick start the investment cycle
•    Just Rs 25,000 crore for PSU bank recapitalisation; seen as inadequate
•    No major announcement on banking sector reforms
•    Infra cess on cars (they will now turn costlier, especially diesel cars which carry a higher cess)
•    No across the board reduction in corporate tax that was keenly anticipated
•    Divestment target on the lower side, raises concerns about revenue mobilisation
 
Forbes India Budget stories:
Here are the new tax proposals announced by FM Jaitley
Budget 2016: Reactions
Budget 2016: Where it surprised, where it disappointed
Union Budget 2016: Highlights

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