Industry And Cluster | News & Insights

Brief highlights of Union Budget- 2020.

Published: February 3, 2020

Author: TEXTILE VALUE CHAIN

National Textile Mission proposed with a Rs 1,480 cr allocation.
With the focus on economic development, entrepreneurship, which has been the spirit of India is being given high value. A better environment for growth will be provided by opening portals to assist new entrepreneurs. Investment clearance, cells will also be set up to help with the funding process. Electronic manufacturing is in focus and different measures will be taken to enhance the local production. The Government will also launch e-marketplaces which will open various opportunities for SMEs.
A total of Rs. 27,300 crore is also allocated to industry and commerce which will also give a boost to the start-up story in India. Loknedra Ranawat, Founder & CEO, Wooden Street’.
Makes entrepreneurs’ lives easier with new investment clearance cell.
Lowest in the world: Corporate tax for existing companies slashed to 22%
Imports under the Free Trade Agreements on the rise; Customs duty will be raised on items such as footwear & furniture.
We wish to turn every district into an export house.
In a boost to MSMEs, turnover threshold for audit raised to Rs 5 crore from Rs 1 crore.
Govt asks banks to extend restructuring MSME NPAs for one more year, which has a deadline of March, 2020.
Unveils new scheme to provide subordinate debt to MSMEs.
Over 5 lakh MSMEs have benefited from debt restructuring.
Gap Funding to Warehousing sector provisioned in the budget today will grossly increase the supply of modern logistics facilities in India. With the soaring demand of modern warehouses by e-commerce players in the economy, there is clear dearth of such facilities. Further Geo-tagging of warehouses, will empower decision makers to plan the distribution of warehouses by corporates. Ajit Panda, Founder & CEO, Spaciya Advisors.
National Logistics Policy will be revealed soon. It will focus on making MSMEs more competitive, says.
100 more airports to be developed by 2025.
Rs 1.7 lakh crore provided for transport infrastructure in 2020-21.
Those earning up to Rs 5 lakh in a year will pay no tax.
New income tax rates will be optional, says.
Income tax rates will be significantly reduced for those who forego reliefs, exemptions.
Income between Rs 12.5-15 lakh will now be taxed at 25%.
Tax rate of 30% on income above Rs 15 lakh will be continued.