Finance Minister Arun Jaitley presented the Union budget 2017-2018 in Lok Sabha today. Jaitley said the demonetisation move by Prime Minister Narendra Modi on November 8, 2016 will not have a lasting impact on the economy. Jaitley said a joint budget including the Railway Budget. Railways will focus on passenger safety, capital works and cleanliness.
Income Tax rate for annual income between Rs 2.5 lakh to 5 lakh reduced to 5% from 10%. Zero tax liability for people with annual income of Rs 3 lakh. Surcharge of 10% on individuals earning between Rs 50 lakh to Rs 1 crore. Tax liability of Rs 2,500 for annual income between Rs 3 lakh and 3.5 lakh. No tax for Rs 4.5 lakh annual income if using exemption under 80C of I-T Act. These proposals mean 50% savings in income for someone earning up to Rs 5 lakh
Jaitley also announced that the budget allocation for welfare of women and children under various ministries will be increased to Rs 1,84,632 cr.