Latest Expert Exchange Queries

GST Demo Service software link:
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Popular Search: empanelment :: form 3cd :: ACCOUNTING STANDARDS :: ACCOUNTING STANDARD :: Central Excise rule to resale the machines to a new company :: ARTICLES ON INPUT TAX CREDIT IN VAT :: due date for vat payment :: TDS :: VAT RATES :: articles on VAT and GST in India :: VAT Audit :: TAX RATES - GOODS TAXABLE @ 4% :: list of goods taxed at 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: cpt
Budget Extravaganza »
 Seeks to amend certain customs notifications in pursuance to change made in Budget 2017-18.
 New look finance ministry team to frame contours of Budget 2018
 How presenting the Budget early seems to be paying off already
 Budget advancement helps Centre, states start spending early
 Five things that you can expect from the Mumbai civic budget today
 GST all set for July 1 rollout but casts shadow on state budgets
 Income-Tax collection revised in Rajasthan budget
 No new taxes likely in Maharashtra Budget
 H.P. budget devoid of any financial prudence
 GST, demonetisation todecide budget priorities
 Railways to come up with mini-budget tomorrow

Budget stays at Rs 141,703 crore
August, 04th 2009

India's defence expenditure during 2009-10 remains unchanged from Rs 141,703 crore ($28 billion) allocated in the interim budget earlier this year - which was a hike of 34 percent over the previous year.

Finance Minister Pranab Mukherjee, while presenting the budget in the Lok Sabha, had a word of cheer for soldiers and junior commissioned officers (JCOs), saying their pensions would be enhanced. However, the officer cadre, which had led the "one-rank-one-pay" (OROP) demand, has been ignored.

In presenting the interim budget on February 16, Mukherjee had justified the 34 percent hike by saying a security "threshold has been crossed" with the Mumbai terror attacks.

"We are going through tough times," Mukherjee had said at the time, adding: "The Mumbai terror attacks have given an entirely new dimension to cross-border terrorism. A threshold has been crossed. Our security environment has deteriorated considerably."

Of the allocation for the fiscal that began April 1, plan expenditure for defence has been pegged at Rs.86,879 crore against Rs 73,600 crore for the financial year just ended March 31.

This includes Rs.54,824 crore for capital expenditure as against Rs 41,000 crore in the revised estimates for 2008-09.

In real terms, however, the budgetary hike works out to little over 23 percent as the revised expenditure for 2008-09 has been placed at Rs 114,600 crore against the allocation of Rs 91,681 crore.

As in past years, the 1.1 million strong Indian Army has received the lion's share of 41 percent or Rs 58,648 crore, with the Indian Navy being allocated Rs 8,322 crore and the Indian Air Force Rs 14,318 crore.

The army's allocation is even larger than the Rs 54,824 crore that has been set aside for capital expenditure for all three services.

However, in the case of capital expenditure, the bulk of this - almost Rs.20,000 crore - has been set aside for the air force, against Rs.17,767.95 crore for the army and Rs.11,873.73 crore for the navy.

What remains to be seen is how much of this will actually be spent by the time the fiscal ends March 31, 2010, as the armed forces returned Rs.7,000 crore of the Rs.48,007 allocated for capital expenditure for 2008-09.

For the army, the budgetary hike - minus the allocation for capital expenditure - works out to a little less than Rs.10,000 crore over the revised estimates of Rs.48,195 crore. The original allocation for the army in the 2008-09 proposals was Rs.36,270 crore.

For the navy, the hike is a mere Rs.288 crore over the revised estimates of Rs.8,034 crore for the fiscal just ending but a rise of Rs.901 crore over the original allocation.

For the air force, the hike works out to Rs.1,109 crore over the revised estimates Rs.12,199 crore for the closing fiscal against an original allocation of Rs.10,855 crore.

Of its allocation, the army will spend a staggering Rs.36,081 crore or 64 percent on pay and allowances. The navy has set aside Rs.2,850 crore or 34 percent on this count and the air force Rs.4,880 crore or 34 percent.

Taken together, the three services will see Rs.43,811 crore or nearly 54 percent going toward pay and allowances.

The budget has also allocated Rs.21,790 crore for pensions, Rs.4,757 for the Defence Research and Development Organisation (DRDO) and Rs.832 crore for defence ordnance factories.

Curiously enough, while Mukherjee said that the enhanced pensions would annually cost the government Rs.2,100 crore, there was no mention of this in the budget documents.

"The decision will benefit more than 12 lakh jawans (soldiers) and JCOs. Certain benefits being extended to war wounded and other disabled pensioners are also being liberalised," Mukherjee said.

Stating that the country owed a deep dept of gratitude to "our valiant ex-servicemen", the minister said the committee headed by the cabinet secretary on OROP had submitted its report and the committee's recommendations have been accepted.

"On the basis of these recommendations, the government has decided to substantially improve the pension of pre-1.1.2006 defence pensioners below officer rank (PBOR) and bring pre-10.10.1997 pensioners on par with post 10.10.1997 pensioners. Both these decisions will be implemented from 1st July 2009, resulting in enhanced pension for more than 12 lakh jawans and JCOs.

"These measures will cost the exchequer more than Rs.2,100 crore annually. Certain pension benefits being extended to war wounded and other disabled pensioners are also being liberalised," Mukherjee said.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - Our Vision

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions