FM proposes to increase FDI limit in insurance

Bengaluru: The Union Budget came out with some sound proposals to boost the growth of services sector, which contributes more than 50 percent of Indian GDP. In a bid to push FDI inflows, the Finance Minister proposed to increase the FDI limit in insurance sector to 74 per cent from 49 per cent now. Similarly, the budget proposed to extend tax holiday for startups another one year apart from allowing formation of one person company with low compliance burden. Similarly, the budget also proposed to provide some relief to badly hit aviation sector by allowing tax holiday for aircraft leasing business.

· FDI limit in insurance sector to increase to 74% from 49%.

· Aviation gets a leg up as FM proposes tax holiday for aircraft leading business

· Centre also plans to monetise more airports by selling stake to private companies

· To boost startup ecosystem, the budget proposes to extend tax holiday for startups by one year

· FM proposes to allow formation of one person companies with no restriction on paid-up capital and turnover

· One person company can also be opened by non-resident Indians

· India to set up Deep Ocean Research with a proposed allocation of Rs 4,000 crore