The budget for the upcoming year is going to be presented during the first week of February 2017. Quite a lot of citizens are finding it difficult to tackle the acute cash crunch with the present demonetization move as taken by the ruling Govt. After all, don 't we all not have the privilege to take charge of our daily activities, without any hassles? Pre-budget consultations The Finance Minister, Mr. Arun Jaitley is gearing up to catch with the pre-budget consultations this Saturday. Discussions were being held for certain early implementation of GST as well as certain steps to boost exports and the economy. GST stands for Goods and Services Tax. There is a concept named inverted duty tax. An inverted duty structure impacts the domestic industry. The main reason is that the manufacturers would have to pay a higher sum in terms of duty towards the purchase of raw materials. While the finished product costs way lesser even in terms of paying the duty. Issues relating to easing out the current cash crunch will also be discussed at length at the Union Budget 2017. In other words, a lot of people residing in the nation are not able to withdraw money from the ATMs. Steps to reduce limitations on cash withdrawal due to demonetization will also be raised. Other major areas of discussion at the Budget 2017 There are two other areas of interest that would be discussed at the Union Budget 2017 These are: Converging of Rail budget Plan and Non-plan expenditure would further be replaced with Revenue and Expenditure Classification Snippets pertaining to the Railway budget are as follows: The merger of the Railway budget with the General budget will definitely not have any adverse implications. This will be a positive outcome as the exchequer support to the national transporter will increase because of the move. The Railway minister Mr. Suresh Prabhu will not present a separate rail budget for the fiscal year 2017-18 in the coming budget session. Railways usually take the monetary assistance from the Finance Ministry and have to pay dividends for the amount that is taken. It is apparently estimated that railways have to pay a sum of Rupees 9,500 crore as dividends year after year. Post the merger of rail budget with general budget, the railway ministry need not shell out this amount anymore. This huge subsidy can, in turn, be passed on to the consumers. Reduced tax implications for the Current budget You will be quite happy to discover that the Govt. is proposing to reduce tax implications. Both direct, as well as indirect taxes, will considerably be reduced, for the consumers. Reduced tax implications can smoothen the running of businesses in a smooth and effective manner. Budget 2017 can thus be a boost to the economy. More and more start-up companies can emerge from this move. The reduced tax structure can give a leeway for better discounts and freebies to customers. Demonetization move is mainly aimed at making India a cash-less economy Developed countries like the US, UK, and Australia are cashless economies. It is the plastic money that is ruling the roost. Cards are accepted even at train stations or bus depots. Mr. Modi is looking at making India a cashless economy. More and more capital intensive industries are encouraged to move in the cashless route. Even auto drivers take cash cards or paytm 's as against liquid currency. The poor will also benefit from the move, in the longer run.The demonetization move is also aimed at removing cross-border terrorism. Implementation of Swachh Bharat schemes The Government is planning to allocate funds to each ministry towards the Swachh Bharat Scheme. The scheme will be presented in the Budget 2017. The scheme is mainly aimed at making India an open defecation free nation. The scheme also aims at providing better sanitation facilities and supply of clean drinking water to all households residing in the country. The Union Budget 2017 updates also indicate launch of improved drinking water facilities in rural areas. As per the Union Budget 2017 updates, it is apparently decided to pre-pone the budget 2017 to February 1st as against the end of the month. This is to ensure speedier implementation of policies and programs aimed at making the nation a brighter one. Keep yourself glued to the television to get a hindsight view of Union Budget 2017 updates and analysis.
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