PRESENTED BY JUGUNU JEROME

BUDGET PROFILE

India Budget

The Union Budget of India also called the general India budget is presented each year on the last working day of march. The budget is presented by the Finance Minister of India in Parliament. Budget is most economic event in the country which outlines all the economic planning of the Government of India for the next year. It is not only important for corporates but for individuals from all sections of the society.

Origin and History The first general budget of India was presented by the India's first Finance Minister Sir R.K. Shanmugham Chetty on November 26, 1947. Since then, 28 Union Finance Ministers have been presenting the budget every year. Initially, much attention was given to the agricultural sector but as later on, the focus shifted to the other sectors including the industrial, financial and other sectors.

Passing of Budget

The annual India budget has to be passed by the House of the parliament before it can come into effect on April 1, the start of India's financial year. The Indian parliament has one month to review and modify the government's budget proposals. If by April 1, the parliamentary discussion of the budget has not been completed, the budget as proposed by the minister of finance goes into effect and subject to modifications after the parliamentary review

State Level Budget Each state government maintains its own budget, prepared by the state's minister of finance in consultation with appropriate officials of the central government. Primary control over state finances rests with the state legislature in the same manner as at the central government level. State finances are supervised by the central government, however, through the Comptroller and the Auditor General of India; the latter reviews State Government accounts annually and reports the findings to the appropriate state governor for submission to the State's Legislature. The Central and State Budgets consist of a budget for current expenditures, known as the budget on revenue account, and a capital budget for economic and social development expenditures

Separate Budget for Railway and Postal Department The Indian Railways, the largest Public-Sector Enterprise, and the Posts and Telegraph Departments have their own budgets, funds, and accounts. The appropriations and disbursements under their budgets are subject to the same form of parliamentary and audit control as other government revenues and expenditures.

AREAS OF FOCUSS AGRICULTURAL & INFRASTRUCTURE

INTRODUCTION

NATIONAL MISSION FOR PROTEIN SUPPLIMENT

Mission for Protein Supplement is being strengthened. To improve productivity in the dairy sector, a Rs 2,242

crore project is being launched with World Bank assistance. To broaden the scope of production of fish to coastal aquaculture, apart from fresh water aquaculture, the outlay in 2012-13 is being stepped up to Rs 500 crore.
Suitable allocations are also being made for poultry,

piggery and goat rearing.

subsidies
An agricultural subsidy is a governmental subsidy

paid to farmers and agribusinesses to supplement

their income, manage the supply of agricultural

commodities, and influence the cost and supply of such commodities.

 Nutrient Based Subsidy (NBS) has improved the

availability of fertiliser.
Government to move towards direct transfer of cash

subsidy to people living below poverty line in a phased manner for better delivery of kerosene, LPG and fertilisers.

infrastructure

INTRODUCTION
Lack of adequate infrastructure is a major constraint on

our growth. The strategy we have followed so far is to increase investment in infrastructure through a combination of Public Private Partnership. 2012-2013 Union Budget is a blessing to the infrastructural sector. Infrastructural sector will get a big boost with Rs.50 lakh crore investment announcement.

Cont.
Government also increased allocation of Rs.25,360 crore

towards the National Highways Development Programme, an increase of about 14% over the previous year. It has been decided to make irrigation, terminal markets, common infrastructure in agricultural markets, soil testing laboratories and capital investment in fertilizer sector eligible for Viability Gap Funding.

cont.
The government has approved guidelines for establishing

joint venture companies by defence public sector undertakings in PPP mode. It has announced the setting up of infrastructure debt funds to tap the overseas markets for long tenor pension and insurance funds. Tax free bonds for Rs. 30,000 crore were announced for financing infrastructure projects.

Public private partnership

Public-private partnership (PPP) describes a

government service or private business venture which is funded and operated through a partnership of government and one or more private sector companies in which the private party provides a public service or project and assumes substantial financial, technical and operational risk in the project.

EFFECTS AFTER BUDGET 2012-2013

CUTTING SMALL BUSINESS TAX RATES GROWTH OF THE INDUSTRIES INFRASTRUCTURAL CHANGES

EXEMPTIONS CERTAIN PREVIOUS TAXES

AFTER BUDGET 2012-2013

Railway staff seek hike in budgetary support Thousands of railway employees marched to Parliament, demanding adequate budgetary support from the government to save the fund-starved national transporter.
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How Budget 2012 enhances your savings kitty Despite the new tax slabs, don't look for ways to splurge as you may end up spending more on your bills due to the hike in service taxes and duties.

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Rajasthan janta feels budget aam, Pranab fails to woo Contrary to the optimism that the Union Budget 2012-13 will reach out to the common man and the annual exercise will have something in favour of industry, finance minister Pranab Mukherjee seems to have failed to please either of the constituents.
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Economic Survey: Cautious Basu sees growth over 2-yr period Failure to roll out reforms and the sovereign debt crisis in Europe hurt economic expansion in the current fiscal but it is expected to rebound in the next two years, the finance ministrys chief economic advisor Kaushik Basu said on Thursday.

2012-13 Budget

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