Budget 2015: Salaried class wants I-T exemption limit to be raised to Rs 3 lakh, says survey

Hike in personal income tax exemption limit to Rs 3 lakh, deduction for housing loans up to 5 lakh and upward revision in the allowance for medical reimbursement are among the main expectations of salaried individuals from the Union Budget 2015, the first full-fledged budget from the Narendra Modi government, according to an ASSOCHAM survey released on Thursday. 

An overwhelming 92 per cent of the salaried individuals, both men and women, said the government needs to increase the tax bracket from the current Rs 2.50 lakh to at least Rs 3 lakh so that more money is left in the hand of the common man/woman. While the wholesale price index inflation has gone into negative, there are still a host of items of common household use, like fruits, pulses and vegetables, which have witnessed an annual inflation between 8 and 12 per cent per cent during January 2014 and January 2015. 

"Thus, the high prices of these items are still a cause of concern for the common people and the Budget must address the issue," ASSOCHAM Secretary General D S Rawat said, while releasing the survey. 

The salaried income people also want that the tax exemption limit for women should be raised to at least Rs 4 lakh p.a. Besides, the limit for exemption on saving instruments like fixed deposits, national saving certificates and public provident funds should also be raised to Rs 2.50 lakh so that savings at the household level get a boost. 

The survey was conducted in major places such as Delhi, Mumbai, Kolkata, Chennai, Ahmedabad, Hyderabd, Pune, Chandigarh, and Dehradun, among others. About 500 salaried class employees from the different sectors were covered by the survey from each city on an average. 

"The Finance Minister should increase the 80C deduction limit to Rs 2.50 lakh. With the advent of new investment schemes such as Sukanya Samriddhi Yojana and equity-oriented pension funds, the limit seems very condensed and needs to be inflated to Rs 2.50 lakh in Budget 2015-16. The government may consider increasing the exemption limit to even higher to Rs 3 lakh to promote investments and encourage saving among taxpayers," highlighted the majority of respondents. On top of it, a separate deduction should be allowed for the premium paid for the insurance policies to encourage insurance which has a very low penetration at present. 

Gold imports are declining and hence the government may reduce import duty by around 2 to 4 percent. At present the import duty is 10 percent and reducing it to around 4 to 5 percent should make prospective buyers happy, said nearly 88% of the respondents. 

At present, the limit of deduction of interest on housing loan is Rs 1.50 lakh per annum. This should be increased to Rs 5 lakh to boost the housing sector as also give relief to the middle class families, added 78% of the respondents. 

To encourage investments in infrastructure during the 12th plan period, the deduction under 801A (4) "profit-linked incentives in the form of 100% deduction of income in SEZ development" must be continued, said Rawat. 

Nearly 82% of the salaried class said that it is necessary to have a separate deduction of Rs 50,000 for the payment towards annuity or pension plans. Deduction of the amount paid towards annuity plans u/s 80CCC and NPS u/s 80CCD also comes under the threshold limit of section 80C. Section 80C is already is flooded with various savings and investment schemes and with the new kind of equity-oriented pension plans, it becomes utmost necessary to have a separate deduction of Rs 50,000 for the payment towards annuity or pension plans.

Source : The Economic Times

Bonanza for Telangana employees

In a move that will almost double the salaries of Telangana employees, the state government announced implementation of the pay hike recommended by the pay revision commission (PRC) with a fitment of 43%. 

Chief minister K Chandrasekhar Rao said at a press conference on Thursday that the pay panel, headed by special chief secretary to the government K Pradeep Chandra, was the first PRC of Telangana. 

"Ours is an employee-friendly government. We have recognised the employees' role in realisation of statehood. The notification of the implementation of pay hike will be issued on Friday which is regarded as goddess Lakshmi's day," said the chief minister. 
The pay hike, which results in an additional burden of Rs 6,500 crore to the exchequer, will be implemented with retrospective effect from June 2, 2014 - the day Telangana was formed. The chief minister said that the arrears would be deposited in the employees' general provident fund (GPF) account which fetches 8.5% interest. The revised salaries will reach the employees beginning this March. 

The announcement led to jubilation in the Secretariat and employees celebrated by bursting fire crackers. Over 3.5 lakh government staff will enjoy the benefit. 

"We thank the chief minister for the PRC implementation. We know this would a burden on the exchequer. We assure that the employees will work hard to enhance revenue for the government," chairman of Telangana Non-Gazetted Officers' (TNGO) Association, S Devi Prasad Rao, said. 

While the 10th PRC headed by PK Agarwal had recommended 29% fitment in its report submitted in July 2013, Telangana employees demanded 69% and a minimum monthly wage of Rs 15,000. 

The government constituted the Pradeep Chandra committee to look into the demands of employees. After several rounds of consultations with representatives of various employee associations including TNGO and Telangana Gazetted Officers' Association (TGO), the committee recommended the pay hike formula. 

The chief minister said that he hurried to announce the new pay since a notification was expected any moment for the state legislative council elections due in March. Once the notification is issued, the government could not have implemented the hike since the poll code will not allow it. 

While there is no mention about the demand of the minimum wage of Rs 15,000, the CM said that the PRC would look into pending anomalies in the salary structure. "We hope that this issue would be addressed by the panel and employees will get their due," said chairman of commercial tax employees' joint action committee, T Vivek. 
Source : Times of India

Important Proposals for General Budget to Finance Minister – AIRF

AIRF has sent suggestions for General Budget to Finance Minister Shri Arun Jaitley.

Suggestions for the General Budget 2015-16

A.I.R.F.
All India Railwaymen’s Federation
4, State Entry Road, New Delhi – 110055

No.AIRF/60

Dated: January 20, 2015

Hon’ble Finance Minister,
Ministry of Finance,
(Government of India),
New Delhi

Dear Sir,
Sub: Suggestions for the General Budget 2015-16

All India Railwaymen’s Federation(AIRF), representing more 1.3 million Railwaymen, being the largest and oldest organization of the Railwaymen in India, wish to put-forth following important suggestions to be considered favourably while finalizing General Budget proposals for the Financial Year 2015-16:-

1. Railwaymen are always termed as “Second Line of Defence” in our country. While National Pension Scheme(NPS) was introduced w.e.f. 01.01.2004 for all the Central Government Employees, however, Defence personnel have since been exempted from this scheme and are covered by the Old Traditional Pension Scheme/Family Pension Scheme with full social security.

AIRF is also struggling hard from the day-one to exempt the Railwaymen also from the NPS, and ultimately the then Hon’ble Minister for Railways Shri Mallikarjun Kharge on persuasions of the AIRF had recommended this issue to the then Hon’ble Finance Minister vide his letter No.2012/F(E)III/1/4-Part dated 29th March, 2014. AIRF, therefore, urges that, necessary provision to this effect may be made in the ensuing General Budget, so as to cover all the Railwaymen, irrespective of their date of appointment under Old Pension/Family Pension Scheme.

2. The BJP in the election campaign of the 16th Lok Sabha had repeatedly assured to raise ceiling limit of Income Tax adequately. It may be appreciated that, due to market inflation, the actual value of the “Rupee” has devaluated to the greatest extent as the Dearness Allowance being paid to compensate the devaluation the rupee has already crossed 107%. Therefore, it would be highly appreciated, if ceiling limit of the Income Tax is raised to at least Rs.5 lakh.

3. Education and medical facilities are gradually going out of reach of the common man because of business type institutions and private hospitals. The public education system and medical facilities have deteriorated over the years, due to inadequacy of funds being allocated under these heads. There being urgent need of augmenting education and medical facilities for the common man, allotment of funds under these heads needs to be raised to 6% and 4% of the GDP respectively.

4. In the wake of Hon’ble Prime Minister of India’s announcement at Varanasi on 25th December, 2014, while celebrating “Good Governance Day”, that different railway stations of the Indian Railways shall be augmented for the purpose of skill development, adequate fund allocation needs to be made for this purpose, so that necessary facilities are created on the earmarked railway stations for this purpose.

5. In the Rail Budget for the year 2009-10, 2010-11, 2011-12, the then Hon’ble Minister for Railways made announcement for establishment of Medical/Technical Institutions on certain important Railheads, but on account of paucity of funds, these welfare schemes could not see the day of light. Therefore, with a view to augment educational facilities of medical and technical education, some funds may be provided from the General Budget for this purpose.

6. Indian Railways being the lifeline of the country urgently need adequate budgetary support from the General Budget to augment the services as also to run this organization more safely and efficiently. It may also be appreciated that, since Indian Railways is a government organization, no Dividend and Lease Charges should be recovered from the Railways.

7. Indian Railways employ more than 13 lakh employees, and the former Hon’ble Minister for Railways had also announced “Own Your House Scheme”. Therefore, that scheme should be launched, so as to provide them house well before their retirement.

SWACHH BHARAT KOSH OPERATIONAL GUIDELINES

Finance Ministry issued operational guidelines for the scheme of Swachh Bharat, these rules are into force with immediate effect…

SWACHH BHARAT KOSH OPERATIONAL GUIDELINES
1. Short Title and Commencement: These will be called Swachh Bharat Kosh Operational Guidelines, 2014 and will come into force with immediate effect.

2. Objective of Setting-up the Fund (Kosh):
Individuals and philanthropists have expressed interest in contributing to efforts to achieve the objective of Clean India (Swachh Bharat) by the year 2019. The Swachh Bharat Kosh has been set up to facilitate channelization of philanthropic contributions and Corporate Social Responsibility (CSR) funds towards this cause.

3. Governing Council:
The Swachh Bharat Kosh (henceforth called Kosh) would be administered by a Governing Council chaired by Secretary, Department of Expenditure. Other Permanent members will be Secretary (Planning), Secretary (Drinking Water and Sanitation), Secretary (Urban Development), Secretary (Housing and Urban Poverty Alleviation), Secretary (Rural Development), Secretary (Panchayati Raj) and Secretary (School Education and Literacy). Departmental Secretaries from Tourism, Culture or any other department would be invited as and when their
proposals are being deliberated.

4. Secretariat:
The Governing Council would be assisted by a division to be set up in the     Department of Expenditure, which will serve as its secretariat, headed by an
Administrator, at the Joint Secretary level.

5. Bank Account & Receipt of Contribution:
a) Contributions from companies and philanthropists shall be received in a single bank account opened in the State Bank of India, Central Secretariat Branch, North Block, New Delhi. The bank account will be operated jointly by the Administrator and the Chief Controller of Accounts, Ministry of Finance.
b) Donations into the Kosh may be made through online payments through net banking, or by debit and credit cards or Cheque/Demand Draft.
c) The donor would receive an automated, digitally signed receipt of the contributions. Besides, the following mode of acknowledgement with regard to receipt of donations will be adopted:

http://finmin.nic.in

Nomination of SAS / MPKBY Agents for honouring them during the function of Launch of Kisan Vikas Patra (KVP)

NPS is far beneficial than Government Pension

NPS is far beneficial than Government Pension

NPS is far beneficial than Government Pension – Comparison of New Pension Scheme (National Pension Scheme) and Central Government Pension

The Central Government employees who have joined after 1/1/2004 and are put under National Pension Scheme (NPS) have been demanding abolition of NPS and have been persuading the Central Government to make the government pension scheme applicable to them.

This only exhibits their ignorance of the fact that the New Pension Scheme is highly lucrative and make the government employees who joined after 1/1/2004 far richer than the government employees who enjoy government pension scheme. By doing so they are in the process of ruining the great fortunes that lies in store under New Pension Scheme. Let me compare both the scheme:

Benefits under NPS

Let me take a case of Upper Division Clerk(UDC) who joins government service in 2014 at the age of 25 and renders 35 years of service till attaining 60 years of age. He / She gets 3% annual increment every year and gets one promotion every 10 year under M.A.C.P. Although he / she is likely to get 14 to 20% increase in D.A every year as per Consumer Price Index I just take 12%(assuming 6 + 6%) 2 times D.A in a year

YEAR	D.A. assumed @ 12% Per annum	PAY + GRADE PAY with 3% annual increment	D.A	TOTAL	Total Monthly Subscription (employee and Govt)	Annual Subscription	AnnualAppreciationof Investments @ 8.7% Only	TOTAL PENSION WEALTH
2014	107%	9910	10604	20514	4102	49224	2320	51,544
2015	119%	10210	12150	22360	4471	53652	7012	1,12,208
2016	131%	10520	13781	24301	4860	58320	12511	183039
2017	143%	10840	15501	26341	5268	63216	18903	265158
2018	155%	11170	17314	28484	5696	68352	26290	359800
2019	167%	11510	19222	30732	6146	73752	34779	468331
2020	179%	11860	21229	33089	6618	79416	44487	592234
2021	191%	12220	23340	35560	7112	85344	55546	733124
2022	203%	12590	25558	38148	7630	91560	68097	892781
2023	215%	12970	27886	40856	8172	98064	82293	1073138
2024*	227%	14130	32075	46205	9240	110880	98589	1282607
2025	239%	14560	34798	49358	9872	118464	117170	1518241
2026	251%	15000	37650	52650	10530	126360	138041	1782642
2027	263%	15450	40634	56084	11216	134592	161433	2078667
2028	275%	15920	43780	59700	11940	143280	187596	2409543
2029	287%	16400	47068	63468	12694	152328	216809	2778680
2030	299%	16900	50531	67431	13486	161832	249371	3189883
2031	311%	17410	54145	71555	14312	171744	285614	3647241
2032	323%	17940	57946	75886	15178	182136	325893	4155270
2033	335%	18480	61908	80388	16078	192936	370601	4718807
2034*	347%	21060	73078	94138	18828	225936	421184	5365927
2035	359%	21700	77903	99603	19920	239040	478101	6083068
2036	371%	22360	82956	105316	21064	252768	541139	6876975
2037	383%	23030	88205	111235	22248	266976	610878	7754829
2038	395%	23730	93734	117464	23492	281904	687954	8724687
2039	407%	24450	99512	123962	24792	297504	773068	9795259
2040	419%	25190	105546	130736	26148	313776	866975	10976010
2041	431%	25950	111845	137795	27560	330720	970498	12277228
2042	443%	26730	118414	145144	29028	348336	1084535	13710099
2043	455%	27540	125307	152847	30570	366840	1210066	15287005
2044*	467%	29640	138419	168059	33612	403344	1348977	17039326
2045	479%	30530	146239	176769	35354	424248	1501283	18940857
2046	491%	31450	154420	185870	37174	446088	1668876	21055821
2047	503%	32400	162972	195372	39074	468888	1853953	23378662
2048	515%	33380	171907	205287	41058	492696	2057162	25928520
2049	527%	34390	181235	215625	43126	517512	2280169	28726201

* MACP / Promotion Years

(A) Therefore, the total pension wealth of a government servant who joined in 2014 and retiring under New Pension Scheme shall at the time of his retirement be Rs. 2,87,26,201/-

(B) 60% of the lump-sum pension wealth which he / she will be getting on retirement:
Rs.1,72,35.720

(C) 40% invested in an annuity scheme which he / she can receive before 70 years:
Rs.1,14,90,481

(D) Earned Leave Encashment: Rs. 215625 x 10 months : Rs. 21,56,250

TOTAL of (A) (B) (C) and (D) will be Rs. 3,08,82,451

Death Gratuity:

Although not entitled for retirement gratuity, but eligible for Death Gratuity If died during the service

Monthly Pension:

At the assumed Interest at the rate of 8.7% per annum on the other 40% of pension wealth of Rs.1,14,90,481 invested in annuity shall fetch
monthly pension of at least : Rs.83,306/ –

Not only this, before he / she attains the age of 70 he / she can withdraw the remaining 40% of his pension wealth of Rs. 1,14,90,481/- which if invested in Fixed Deposit of a nationalised bank can fetch interest and take care of not only of his wife and children but his descendants also for generations to come.

This is just a tip of the iceberg. If we consider the other 4 pay commission benefits that materialize on 1/1/2016, 1/1/2026, 1/1/2036 and 1/1/2046 which a NPS pensioner who joins as UDC shall be getting before his retirement in 2049,his total pension wealth will be undoubtedly double the above amount which comes to more than Rs.5 crores. While a person who joins as U.D.C. gets this much, one will be rocked out of stupor to know what a Group A officer who renders 35 years of service may get – undoubtedly his total pension wealth will be more than Rs.10 crores.

Benefits under Central Government Pension Scheme

Now let us see what will be the retirement benefits of the above person if he / she is put in government pension scheme:

1.Gratuity for 16.5 months :

Rs.2,15,625 x 16.5 months = Rs.35,57,812/- Restricted to Rs.10,00,000

2. Earned Leave Encashment:

Rs. 215625 x 10 months : Rs.21,56,250

3. Pension Commutation:

Rs.17195 x 40% = Rs.6878 x 12 x 8.194 years Rs 6,76,300

Total Benefits under Central Government Pension Scheme: Rs.38,32,550

4. GPF Balance:

As it is a general tendency of the government servants to withdraw from GPF frequently, there will be very little left at the time of retirement

5. Monthly pension

i) Rs.34390 / 2 = Rs.17195 (basic pension being 50% of pay and grade pay Less 40% of basic pension towards commutation (Rs 6878) which will be restored after 15 years

Balance basic pension is Rs. 10317

ii) DA @ 527% of basic pension of Rs.17195 = Rs. 90617 (subject to increase in DA every 6 months based on consumer price index)

Total pension is Rs.1,00,934 per month.

After the death of government servant say after 67 years, spouse can take only 60% of the basic pension i.e.Rs.17195 x 60% = Rs.10317 plus D.A.at the prevailing rates. After spouse’s death children are unlikely to draw the pension as they would have already crossed the age limit. Thus, unlike the dependents of NPS pensioners, there will be nothing left for financial security of the dependents of the government pensioners .

Thus it is unwise on the part of government servants who have joined after 1/1/2004 to demand for abolition of NPS scheme and grant of government pension.

Mr.M.Dorai
Deputy Director
ESIC Model Hospital,
Bangalore (Ministry of Labour, Government of India) is the author of this Article.

HIGHLIGHTS OF THE RAILWAY BUDGET – 2014-15

Achievements / Initiatives

·         Major landmark achievement in National Project of Kashmir –

·         State of Meghalaya and capital of Arunachal Pradesh to be on Railway Map by this fiscal.

·         Gauge Conversion of strategically important 510 km Rangiya – Murkongselek line in Assam to be completed by this fiscal.

·         XIth Five Year Plan Targets exceeded in New Lines (2,207 km) , Doubling (2,758 km) and Electrification (4,556 km), Production of Diesel  (1,288) & Electrical (1,218) Locos and Acquisition of Wagons (64,875)

·         Dedicated Freight Corridors on the Eastern and Western Routes – leading to strategically critical capacity augmentation.

·         Railways met from its own means the total additional impact of Rs one lakh crore due to implementation of 6^th Pay Commission

·         In 2013-14, 1532 km of New Lines, Doubling and Gauge Conversion commissioned.

·         Production commenced at the new factories – Rail Wheel Plant, Chhapra ; Rail Coach Factory, Rae Bareli ; and Diesel Component Factory, Dankuni.

·         Specially designed coaches for adverse weather condition for rail travel in Kashmir.

·         Successful development of Corrosion resistant, lighter wagons with higher pay-load and speed potential upt 100kmph.

·         Railways sportspersons dominate national events by winning titles in 23 disciplines and runners up in 9 disciplines. In various international championships a total of 2 Gold, 4 Silver and 3 Bronze Medals won.

·         Unigauge Policy started in 1992 has converted 19,214 km to Broad Gauge, benefitting several States including Gujarat, Rajasthan, Madhya Pradesh, Maharashtra, Karnataka, Uttar Pradesh, Assam and Tamil Nadu.

Measures for improving Safety & Security

·         No unmanned Level Crossing.   A total of 5,400 unmanned level crossings eleiminated – 2,310 by manning it and 3,090 by closure / merger / construction of ROBs or RUBs.

·         Improved audio – visual warning to road users in advance of approaching trains.

·         Induction of indigenously developed Train Collision Avoidance System

·         Development of ‘crashworthy’ coaches

·         In last five years, offering employment to over one lakh persons in Group C categories and to 1.6 lakh persons in erstwhile Group D categories.

·         Provision of Vigilance Control Device in all locomotives

·         Various measures to prevent fire incidents on trains –

Ø  Fire retardant materials

Ø  Multi-tier protection for electric circuits

Ø  Portable fire extinguishers in coaches

Ø  Induction based cooking to replace LPG in pantry cars

Ø  Intensive checks against explosives and inflammable materials.

Financial Health

·         Rail infrastructure by cost sharing arrangement with State Governments; Karnataka, Jharkhand, Maharashtra, Andhra Pradesh and Haryana agreed to several projects

·         Several Public Private Partnerships (PPP) projects are in the pipeline.

·         FDI being enabled to foster creation of world-class rail infrastructure.

·         Rail Land Development Authority raised Rs 937 crore so far.

Modernisation and Technology Induction

·         High Speed Trains

Ø  Joint feasibility study by India and Japan for Mumbai – Ahmedabad Corridor to be co-financed by Japan International Cooperation Agency

Ø  Business Development Study by SNCF for Mumbai – Ahmedabad corridor.

·         Semi- High Speed Projects

Ø  Exploring low cost option of speeds 160- 200 kmph on select routes

Green Initiatives

·         Railway Energy Management Company becomes functional. Windmill and solar power plants to be set up with 40% subsidy from Ministry of New & Renewable Energy.

·         200 Stations, rooftops of 26 buildings and 2,000 level crossing gates to be covered.

·         Railways bagged 22 out of 112 awards given by the Government.

·         ‘Green Curtains’ along the track close to major stations; Pilot work at Agra and Jaipur

·         Coverage of Bio-toilets in 2,500 coaches and would be increased progressively.

Passenger Friendly Initiatives

·         Overwhelming public response to e-booking of ticket

·         On-line tracking of exact location and running of train movements

·         51 Jan-Ahaar outlets for Janta Meals ; 48 passenger escalators commisionsed at stations and 61 more being installed ; air-conditioned EMU services in Mumbai from July 2014 ; information display system in important trains to indicate stations & arrival time.

·         ‘Upgradation’ scheme extended to AC Chair Car and Executive Chair car passengers.

Demand Management through Dynamic Pricing

·         Premium AC Special train introduced in Delhi – Mumbai Sector with shorter advance reservation period and dynamically varying premium over tatkal fare

Enhancing Market Share

·         Clearing missing links in Carrying Capacity + 8 tonne routes; freight train speeding ; upgradation of rolling stock ; increasing length of trains ; tariff and incentive schemes to encourage traffic to rail and minimizing empty running.

Rail Tariff Authority

·         Independent Rail Tariff Authority set-up to advise on fixing of fares and freight, to engage all stake-holders

Information Technology

·         Initiatives taken include – proliferation of cash accepting Automatic Ticket Vending Machines ; ticketing on mobile phones in unreserved segments ; system update on PNR status; online booking of retiring rooms at important stations ; online booking of meals for selected en-route stations ; introduction of e-forwarding note and electronic transmission of railway receipts for freight customers

Revenue Freight Traffic

·         Loading target of 1047 Million Tonnes for 2013-14 would be surpassed

·         Empty Flow Discount Scheme to be implemented

·         Carrying Capacity + 9 tonne + 1 tonne routes being planned

·         Easing of some restrictions on movement of imported commodities through Containers

·         Carrying capacity of 20 feet containers increased by 4 tonnes

·         Parcel Terminals & Special Parcel Trains with scheduled timings.

·         New policy on parcels to encourage transportation of milk.

·         New concept of ‘hub and spoke’ for parcel business

·         Third party warehousing in Special Parcel Terminals envisaged.

Financial Performance 2012-13

·         Loading of 1,008 Million Tonnes surpassed the R.E. target of 1,007 Million Tonnes

·         Paid full dividend Rs 5,389 crore to General Exchequer

·         90.2% Operating Ratio in 2012-13

·         Repayment in full with interest of Rs 3,000 crore loan from the Government

·         Railway Fund Balances of Rs 2,391 crore

Financial Performance 2013-14

·         Loading Target raised to 1,052 Million Tonne from B.E. 1,047 Million Tonne.

·         Freight Earnings Target revised to Rs 94,000 crore from B.E. Rs 93,554 crore

·         Stringent Financial control exercised and Ordinary Working Expenses pegged only at Rs 560 crore higher than Budget Estimates, despite various post-budgetary factors

·         Plan Outlay revised to Rs 59,359 crore

·         Operating Ratio likely to be 90.8%

·         Fund Balances to continue to grow to Rs 8,018 crore

Budget Estimates 2014-15

·         Loading target of 1,101 Million Tonnes

·         Gross Traffic Receipts targeted at Rs 1,60,775 crore with Passenger Earnings (Rs 45,255 crore), Goods (Rs 1,05,770 crore), Other Coaching & Sundry Earnings (Rs 9,700 crore)

·         Ordinary Working  Expenses placed at Rs 1,10,649 crore, higher by Rs 13,589 crore

·         Pension Outgo budgeted at Rs 27,000 crore against Rs 24,000 crore for 2013-14

·         The entire Dividend of Rs 9,117 crore to General Exchquer will be paid

·         Fund Balances likely to be Rs 12,728 crore.

·         Operating Ratio budgeted at 89.8%

Annual Plan 2014-15

·         Annual Plan envisaged at Rs 64,305 crore with a Budgetary Support of Rs 30,223 crore , Internal Resources of Rs 10,418 crore and Extra Budgetary Resources of Rs 19,805 crore

·         New Surveys : 19 New Lines & 5 Doubling

New Services

Ø  New Trains

·         17 Premium trains

·         38 Express trains

·         10 Passenger trains

·         4 MEMU

·         3 DEMU

Ø  Extension and Increase in frequency

·         3 Extension of trains

·         3 increase in frequency

Source: http://pib.nic.in/archieve/rbudget2014highlight.htm