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{{Use dmy dates|date=December 2015}}
{{Use Indian English|date=December 2015}}
{{infobox government budget
| previous_budget = 2014 Interim-Union budget of India
| previous_year = 2014
| next_budget = 2015 Union budget of India
| next_year = 2015
| image = Emblem_of_India.svg
| imagesize = 100px
| caption = [[Emblem of India]]
| submitter = [[Arun Jaitley]], [[Finance Minister of India|Finance Minister]]
| date_submitted = 10 July 2014
| party = [[Bharatiya Janata Party]]
| url = {{url|http://www.indiabudget.nic.in}}
}}

The '''2014 Union Budget of India''' was presented by Finance Minister, [[Arun Jaitley]] on 10 July 2014,11 am.<ref>{{cite news|title=Expectation from union budget 2014-15|url=http://www.patrika.com/news/expectation-from-union-budget-2014-15/1017014|accessdate=10 July 2014|work=Patrika Group|date=10 July 2014|archive-url=https://web.archive.org/web/20140714142417/http://www.patrika.com/news/expectation-from-union-budget-2014-15/1017014|archive-date=14 July 2014|url-status=dead|df=dmy-all}}</ref> This was the first budget of [[Narendra Modi]] led [[National Democratic Alliance (India)|NDA government]].<ref>{{cite news|title=Union Budget 2014: Jaitley hands middle class its big tax break |url=http://indiatoday.intoday.in/story/union-budget-2014-arun-jaitley-tax-relief-higher-growth/1/370644.html|accessdate=10 July 2014|agency=India Today|date=10 July 2014}}</ref>

==Salient features of the budget==
*{{INRConvert|70.6|b}} provided for the development of [[Smart Cities in India]]
*{{INRConvert|10|b}} provided for irrigation
*5 New [[Indian Institutes of Technology|IITs]] and [[Indian Institutes of Management|IIMs]] and four new [[All India Institute of Medical Sciences|AIIMS]] in India.
*New airports scheme in tier 1 and 2 cities
*Schemes for development of sports across the country.

===Foreign Direct Investment===
*FDI cap in Defense and Insurance sector has been increased to 49% from 26%.
*FDI in real estate for low cost housing

===Personal tax and exemption limit===
* No changes in personal income tax slabs. But tax exemption limit has been increased to {{INRConvert|250|k}} from {{INRConvert|200|k}} for those below the age of 60. Income tax exemption limit for senior citizens has been raised to {{INRConvert|300|k}}.
* Investment limit under Section 80C has also been increased to {{INRConvert|150|k}} from the current {{INRConvert|100|k}}.
* Housing loan interest rate deduction limit has been increased to {{INRConvert|200|k}}.

==Budget 2014: Highlights of Finance Minister Arun Jaitley’s Budget speech==
{{columns-list|colwidth=30em|
# Two years of sub-five per cent growth has led to challenges to the economy
# Green shoots of recovery seen in global economy
# Slow decision making has resulted in loss of opportunity
# We look forward lower level of inflation
# Will usher in policy regime that will usher in higher growth, low inflation
# Aim to achieve 7-8 per cent economic growth rate in next 3-4 years
# Will leave no stone unturned to create a vibrant India
# Budget proposes Plan expenditure of {{INRConvert|5.75|t}} for the current ficsal
# Anti-poverty programmes will be targeted well.
# We need to revive growth particularly in manufacturing sector and infrastructure
# There is urgent need to generate more resources
# Should we allow economy to suffer because of indecisiveness and populism
# Task before us is challenging
# We must continue to be watchful of CAD
# Target of 4.1 per cent fiscal deficit is daunting but accepting it as a challenge <ref>{{cite web |title=FM Maintains FY15 Fisc Deficit Target At 4.1%|url=http://www.btvin.com/videos/watch/7925/fm-maintains-fy15-fisc-deficit-target-at-4.1%25|publisher=[[Bloomberg TV India]]}}</ref>
# Finance Minister emphasizes on fiscal prudence, need to generate more resources.
# Iraq crisis having impact on oil prices
# We must address the problem of black money fully
# We must take bold steps to enhance economic activity
# Expenditure Management Commission will be constituted to look at expenditure reforms
# We are for minimum government, maximum governance
# Overall subsidy regime will be reviewed, especially food and oil. Marginalised sections and SC/ST to be protected
# New urea policy will be formulated
# We have no option but to take some bold steps to spurt economy; these are only the first steps and are directional
# This govt will not ordinarily change policies retrospectively which creates a fresh liability
# All future indirect transfers under the retro tax regime will be scrutinised by a high level committee of CBDT before action is taken
# We are committed to providing stable tax regime which is investor friendly
# Govt to set up a high-level Committee to interact with industry to bring about changes in tax laws if required
# FM Proposes to enhance the scope of income tax settlement commission.
# Govt proposes to strengthen authority for advance ruling in tax, set up more benches
# Transfer pricing regulations for residents and non-residents being done
# FDI in Defence sector raised to 49 per cent
# Finance Minister Arun Jaitley takes 5-minute break; Lok Sabha adjourned for 5 minutes
# Financial stability is foundation of rapid recovery
# Our domestic manufacturing is still at nascent stage
# Manufacturing units will be allowed to sell their products through retail and e-commerce
# Budget proposes 49 per cent FDI in insurance through FIPB route.
# Our Banking system needs to be further strengthened. Need to infuse {{INRConvert|2.4|t}} in our banks
# Bank capital to be raised through retail sale of shares; Govt to continue to hold majority in PSU banks
# Govt proposes to provide finance to 500,000 landless farmers through [[National Bank for Agriculture and Rural Development|NABARD]]
# Will examine proposal to give additional autonomy to banks and make them more responsible
# E-visa to be introduced at 9 airports in the country
# Govt proposes to set up 100 [[Smart Cities in India]]. Govt to provide {{INRConvert|70.6|b}} for development of such cities
# Public sector banks need {{INRConvert|2.4|t}} equity to conform with Basel-III norms by 2018
# {{INRConvert|50|c}} set aside for indigenous cattle breed and blue revolution for inland fisheries
# We expect PSUs to invest {{INRConvert|2479.41|b}} this fiscal
# Infrastructure Investment Trust being set up to finance infra projects and reduce burden on banks
# Total sanitation by 2019
# Budget proposes {{INRConvert|10|b}} for Pradhanmantri Krishi Seechai Yojana to improve irrigation facility
# National multi-scale programme ‘[[Skill India]]’ to be introduced to provide training and support for employment
# {{INRConvert|2|b}} set aside for the [[Statue of Unity|Sardar Patel statue]] project in Gujarat
# [[Deen Dayal Upadhyaya Gram Jyoti Yojana]] to be launched to augment power supply in rural areas
# Pension scheme for senior citizens being revived
# Govt committed to providing 24×7 power supply to all homes
# {{INRConvert|505.48|b}} proposed for SC development
# EPFO will launch a unified account scheme for portability of Provident Fund accounts
# Govt proposes to set up committee to examine how to utilise large funds lying unused in postal schemes
# Govt approves minimum monthly pension of {{INRConvert|1|k}} per month under EPS-95 scheme run by EPFO
# Committee will be set up to examine how unused money in postal schemes can be utilised
# Govt announces schemes for disabled persons; to set up 15 new Braille press and revive 10 existing ones
# {{INRConvert|143.89|b}} provided for [[Pradhan Mantri Gram Sadak Yojana]].
# Govt to launch ‘[[Beti Bachao, Beti Padhao]]’ scheme; sets aside {{INRConvert|1|b}} for it
# Crisis Management Centres for women to be set up at all government hospitals in NCR region
# Govt increases wage ceiling for EPFO schemes to {{INRConvert|15|k}} from existing {{INRConvert|6.5|k}} per month
# {{INRConvert|36|b}} provided for safe drinking water in 20,000 habitations in villages facing problem of impure drinking water
# Budget proposes [[National Housing Banking programme]]; sets aside {{INRConvert|80|b}}
# {{INRConvert|2.29|t}} allocated for Defence budget.
# 4 more [[AIIMS]] in [[Andhra Pradesh]], [[West Bengal]], [[Vidharba]] and [[Purvanchal]] are under consideration; {{INRConvert|5|b}} provided
# Each state where there is no AIIMS will be added in the coming years
# Govt proposes to add 12 more medical government colleges
# 5 new IIMs and 5 new IITs proposed to be set up
# ‘Kisan’ TV channel to be launched by DD at cost of {{INRConvert|1|b}}: {{INRConvert|1|b}} for Community radio stations proposed
# FM proposes National Rural Internet and Technology Mission; {{INRConvert|5|b}} set aside.
# Metro rail services to be launched in Lucknow and Ahmedabad{{INRConvert|1|b}}; {{INRConvert|1|b}} set aside for it.
# Budget proposes to set up agri-infrastructure fund at a cost of {{INRConvert|1|b}}; two more agri-research institutes in Jharkhand and Assam
# FM announces {{INRConvert|1|b}} for modernisation of madrasas
# Govt sets aside {{INRConvert|2|b}} for setting up of agriculture university in Andhra Pradesh and Rajasthan, and horticulture university in Haryana, Telangana
# {{INRConvert|1|b}} provided for providing soil card to every farmer
# Govt committed to achieve 4 per cent farm growth; to use new technologies to boost crop yields
# {{INRConvert|5|b}} price stabilisation fund to be set up
# Govt sets aside {{INRConvert|1|b}} for initiating scheme to provide a [[soil health]] card and {{INRConvert|560|m}} for soil testing labs.
# No change in income tax rate; personal income tax exemption limit raised from {{INRConvert|200|k}} to {{INRConvert|250|k}}.
# Education cess for all tax payers including corporates will continueRestructuring Food Corporation of India to be taken up on priority
# Budget proposes {{INRConvert|2|b}} for setting up 2000 producers’ organisations across the country
# Investment limit under 80C raised from {{INRConvert|100|k}} to {{INRConvert|150|k}}
# There is need to examine financial architecture of SME sector
# Kakinada port and adjoining area to be developed
# {{INRConvert|100|b}} venture capital fund to be set up for MSME sector
# Trade facilitation centres will be set up at a cost of {{INRConvert|500|m}} to help handloom development
# Definition of MSME to be revised for high capital ceiling
# India has emerged as the largest PPP market in the world
# ₹00 cr provided for 6 more textile clusters in Rae Bareily, Lucknow, Surat, Bhagalpur, Mysore and Tamil Nadu.
# Govt sets aside {{INRConvert|500|m}} for Pashmina Production programme in Jammu & Kashmir
# 1,620-km Ganga inland waterway development from Haridwar to Haldia to be completed in 6 years at a cost of {{INRConvert|42|b}}
# Selective Expressways parallel to industrial corridors to be taken up
# Ultra modern super critical power projects to be set up
# New airports to be developed through PPP mode
# Coal linkages to be rationalised to reduce power cost
# {{INRConvert|42|b}} set aside for Jal Marg Vikas project on river Ganga connecting Allahabad to Haldia
# {{INRConvert|5|b}} provided for ultra modern solar power plants in Rajasthan, Tamil Nadu and Ladakh in Jammu and Kashmir.
# Use of piped cooking gas to be promoted on mission mode
# CRT TVs exempted from customs duty to help poor
# Basic custom duty on LCD and LEDs below 19 inch reduced to zero from 10 per cent
# Changes in Mines and Mineral Regulation and Development Act to be introduced; royalty on minerals to be reviewed to enhance revenue for states
# Modern monetary policy framework needed; govt to put in place such framework in close consultation with RBI
# Govt proposes developing 15,000 km additional gas pipeline through PPP mode.
# Clarification on tax treatment of foreign funds to be announced
# Govt agrees in principle on consolidation of PSU banks
# Banks will be permitted to raise long term funds without regulatory hindrances.
# RBI to frame policy for licensing of small banks, differential banks
# Govt to take up pending insurance reforms bill that provides for 49 pc FDI
# Govt to revitalise small saving scheme; special scheme to encourage saving for girl child education and marriage to be introduced
# PPF investment limit increased to {{INRConvert|150|k}} from current {{INRConvert|100|k}}
# {{INRConvert|1|b}} technology development fund proposed in budget
# Govt sets aside {{INRConvert|22.5|b}} to improve weather infrastructure
# {{INRConvert|1|b}} allocated for War Memorial and war museum at Princess Park, near India Gate in Delhi
# {{INRConvert|500|m}} provided for setting up of a National Police Memorial
# {{INRConvert|1|b}} allocated for preserving heritage characters of cities like Mathura and Agra
# Govt sets aside {{INRConvert|1|b}} for inter-linking of rivers
# Govt announces {{INRConvert|1|b}} for development of Archaeological sites; Gaya to be developed as world class tourist spot
# Integrated Ganga mission to be set up; {{INRConvert|20.39|b}} provided in Budget
# {{INRConvert|500|m}} set aside for modernisation of Ghats in places like Varanasi and Patna
# NRI fund for conservation of river Ganga to be set up
# {{INRConvert|2|b}} upgrading indoor and outdoor stadium in Jammu and Kashmir – both in Jammu and Kashmir Valley
# Budget proposes to set up sports university in Manipur
# {{INRConvert|1|b}} set aside for training on sportspersons for the Asiad Games
# {{INRConvert|5|b}} provided for rehabilitation of displaced Kashmiri migrants
# {{INRConvert|1|b}} set aside for development of organic farming in north east region
# {{INRConvert|2|b}} provided for power reforms, {{INRConvert|5|b}} for water reforms in Delhi
# Govt to provide {{INRConvert|10|b}} for rail connectivity in north east region
# Govt announces “Arun Prabha” channel for NE region; will be 24×7 channel
# Non-plan expenditure pegged at {{INRConvert|12198.92|b}} for 2014-15, including fertilizer subsidy and defence spending
# Gross tax receipts pegged at {{INRConvert|13645.24|b}}; non-tax revenue {{INRConvert|2125.05|b}}; capital receipt {{INRConvert|730|b}} in 2013-14
# Income tax exemption limit for senior citizens raised from {{INRConvert|250|k}} to {{INRConvert|300|k}}
# Exemption on payment of income tax on interest paid on loans for self occupied houses raised to {{INRConvert|200|k}} from {{INRConvert|150|k}}
# 10-year tax holiday to be extended to companies that start power generation by March 31, 2017
# Investment allowance of 15 per cent for three years will be allowed to manufacturing companies which invest {{INRConvert|250|m}} in plant and machinery
# Concensional rate of 15 per cent on dividends to continue
# Govt to review revised Direct Taxes Code taking into account comments from stakeholders
# Direct tax proposals to involve sacrifice of {{INRConvert|222|b}}
}}
..

==Reactions==
*Former [[Prime Minister of India]], [[Manmohan Singh]] reacted on budget saying that "Budget lacks road-maps".<ref>{{cite news|title=No roadmap in budget : Manmohan|url=http://www.patrika.com/news/budget-is-visionless-manmohan/1017118|accessdate=11 July 2014|work=Patrika Group|date=10 July 2014|archive-url=https://web.archive.org/web/20140714020943/http://www.patrika.com/news/budget-is-visionless-manmohan/1017118|archive-date=14 July 2014|url-status=dead|df=dmy-all}}</ref>
*The [[Communist Party of India (Marxist)]] accused the budget as "a recipe for further enriching the rich and impoverishing the poor. "<ref>{{cite web | url=http://cpim.org/content/union-budget-7 | title=On Union Budget | publisher=Polit Bureau of the Communist Party of India (Marxist) | date=10 July 2014 | accessdate=11 July 2014 | archive-url=https://web.archive.org/web/20140714110201/http://www.cpim.org/content/union-budget-7 | archive-date=14 July 2014 | url-status=dead }}</ref>
*Former [[Chief Minister of Delhi]], [[Arvind Kejriwal]] stated that "it was a directionless budget with no steps to bring down inflation in the country".<ref>{{cite web|title=Arvind Kejriwal reacted to the general budget saying that it was a directionless budget|url=http://arvindkejriwal.co.in/arvind-kejriwal-reacted-to-the-general-budget-saying-that-it-was-a-directionless-budget/|website=www.arvindkejriwal.co.in|accessdate=11 July 2014}}</ref>
*[[Sharad Yadav]] reacted on budget saying that "This Budget shows we are standing where we were. It's like distributing toffees".
*[[Sonia Gandhi]] said that Arun Jaitley copied the policies of congress government.<ref>{{cite news|title=जेटली ने ज्यादातर कांग्रेस की योजनाओं को कॉपी किया है|url=http://www.patrika.com/reactions/sonia-gandhi/1017094|accessdate=11 July 2014|work=Patrika Group|archive-url=https://web.archive.org/web/20140714131846/http://www.patrika.com/reactions/sonia-gandhi/1017094|archive-date=14 July 2014|url-status=dead|df=dmy-all}}</ref>
*[[Rajeev Shukla]] stated that "This budget is intended for corporate sector and rich people. There is nothing in budget for common man"
*[[Sudheendra Kulkarni]]: Smart new cities are welcome. But far bigger challenge is to make old cities smarter. Possible only with Good Governance Reforms.<ref>{{cite web|title=Twitter / SudheenKulkarni: Smart new cities are welcome|url=https://twitter.com/SudheenKulkarni/status/487215648867512320|website=www.twitter.com|accessdate=11 July 2014|ref=10 July 2014}}</ref>
*[[Sunil Duggal]]: The Union Budget 2014-15 was going to be a tough balancing act for Finance Minister Mr. Arun Jaitley, given the precarious state that the Economy was in.<ref>{{cite web|title=Post Budget Reactions |url=http://www.adgully.com/post-budget-reactions-union-budget-2014-a-boon-for-the-economy-58288.html|website=www.adgully.com|accessdate=11 July 2014}}</ref>
* President of [[FICCI]], Sidharth Birla stated that "The FM has set the ground for repair of the economy. There has been a mix of both short-term and long-term measures geared towards boosting confidence of all key constituents."<ref>{{cite news|title=Budget 2014-15: India Inc reactions|url=http://www.business-standard.com/article/companies/budget-2014-15-india-inc-reactions-114071100185_1.html|accessdate=13 July 2014|agency=business-standard|date=July 11, 2014}}</ref>
* President of [[Confederation of Indian Industry|CII]], [[Ajay S. Shriram]] stated that "It has covered many aspects of the population and that is big plus. The finance minister has looked at policies from 2-3 year view and this is a positive direction for higher economic growth."<ref>{{cite news|title=Budget 2014 positive, implementation will be ke|url=http://articles.economictimes.indiatimes.com/2014-07-10/news/51301282_1_ajay-s-shriram-infra-projects-dcm-shriram-ltd|accessdate=11 July 2014|agency=Times of India|publisher=Economic times|date=Jul 10, 2014}}</ref>

==See also==
*[[Union budget of India]]
*[[Railway Budget]]

==References==
{{reflist}}

==External links==
* [https://web.archive.org/web/20140714231342/http://indiabudget.nic.in/ub2014-15/bag/bag1.pdf Budget at a glance]

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2014 Union budget of India - Revision history

MetaBOT at 18:29, 8 July 2023