Discussion About 2015 Budget

The 2015 Budget aimed to boost entrepreneurship and ease of doing business in India through measures like a bankruptcy code, higher limits for foreign investment in certain sectors, and a more streamlined process for incorporating companies. These reforms were intended to promote growth and attract more investments into the country.

One of the notable changes introduced in the 2015 Budget was the simplification of the process for incorporating new companies. The budget proposed integrating the applications for obtaining a Permanent Account Number (PAN), Tax Deduction Account Number (TAN), and registration with the Employees' Provident Fund Organisation (EPFO) and Employees' State Insurance Corporation (ESIC) into a single form, making it easier for entrepreneurs to set up their businesses.

The 2015 Budget focused on improving the ease of doing business in India through initiatives like a comprehensive Bankruptcy Code, a public contracts resolution mechanism, and enabling provisions for companies to avail themselves of tax-related dispute resolution schemes. These measures were designed to simplify regulatory compliance and provide a more business-friendly environment.

The 2015 Budget proposed a reduction in the corporate tax rate from 30% to 25% over the next four years, starting from the next financial year. This move aimed to provide relief to companies and encourage more investments in the country.

One of the key initiatives for promoting entrepreneurship in the 2015 Budget was the establishment of a Self-Employment and Talent Utilisation (SETU) mechanism, which aimed to provide technical and financial support to start-ups and entrepreneurs. Additionally, the budget proposed a higher deduction for investments made in start-ups, further incentivizing entrepreneurial activities.

The 2015 Budget proposed an increase in the composite cap for foreign investment in the insurance and pension sectors from 26% to 49%, subject to certain conditions. This move aimed to attract more foreign investment and promote the growth of these sectors in India.

For individual taxpayers, the 2015 Budget increased the tax exemption limit on transport allowance and proposed additional deductions for contributions to the Swachh Bharat Cess and the Skill Development Fund. These measures aimed to provide some relief to individual taxpayers while also promoting government initiatives like Swachh Bharat Abhiyan and skill development programs.

The 2015 Budget introduced a new law to tackle black money stashed abroad, with provisions for a penalty of up to 90% on any undisclosed foreign assets or income. Additionally, the budget proposed a comprehensive new Indian law on black money to facilitate a more effective crackdown on tax evasion and illegal wealth.

The 2015 Budget allocated significant funds for infrastructure development, including investments in roads, highways, and railways. It also proposed tax-free bonds for projects in road, rail, and infrastructure sectors to attract more investments in these areas.

To promote financial inclusion, the 2015 Budget proposed an increase in the Reserve Bank of India's (RBI) Pradhan Mantri Jan Dhan Yojana (PMJDY) scheme, which aimed to provide universal access to banking facilities. Additionally, the budget proposed the creation of a Micro Units Development Refinance Agency (MUDRA) Bank to provide regulatory support and refinance facilities for micro-finance institutions.