{"id":159,"date":"2020-01-30T05:46:18","date_gmt":"2020-01-30T00:16:18","guid":{"rendered":""},"modified":"2026-09-03T16:47:24","modified_gmt":"2026-09-03T16:47:24","slug":"7-major-economic-reforms","status":"publish","type":"post","link":"https:\/\/www.legalsalaah.com\/blog\/7-major-economic-reforms\/","title":{"rendered":"Major Economic Reforms undertaken by Arun Jaitley"},"content":{"rendered":"
Arun Jaitley, energetic minister of finance and corporate affairs widely
\nknown for his political career passed away on 24th August 2019. He was a <\/span>MP of BJP<\/span> who worked hard
\nfor India\u2019s betterment during the first term of the BJP government.<\/span><\/o:p><\/span><\/font><\/div>\n
\u00a0<\/font><\/o:p><\/span><\/div>\n
In 5 years as minister of finance and corporate affairs, he always took
\npowerful decisions for the growth of the economy. India achieved 77th rank
\namong the world’s 190 Nations for ease of doing business during his tenure. He
\nboosted India’s economy which helped India to become 3 trillion dollar economy
\nand is expected to reach 5 trillion dollars in 5 years<\/span><\/o:p><\/span><\/font><\/div>\n
\u00a0<\/font><\/o:p><\/span><\/div>\n
Some major economic reforms introduced in Arun Jaitley’s tenure:<\/span><\/o:p><\/span><\/font><\/div>\n

<\/font><\/span><\/b><\/div>\n
1-\u00a0GST<\/b><\/font><\/span><\/span><\/div>\n

<\/font><\/div>\n
GST has been proved to be one of the greatest economic reforms of all
\ntime. It has bought ease to tax payment for millions in our country. Following
\nare the changes made through GST:<\/span><\/font><\/div>\n

<\/font><\/span><\/div>\n
–\u00a0<\/b><\/span>In India, every business is now bound to file
\n their tax returns and get\u00a0<\/span>GST Registration Online<\/a><\/b>. This
\n regulation has created a great impact on businesses. The strict rules and
\n heavy fines made this reform successful.<\/span><\/font><\/div>\n
– <\/b>Trade and commerce have become much easier
\n after GST.<\/font><\/span><\/div>\n
–<\/b> This has increased the rate of businesses in
\n India.<\/font><\/span><\/div>\n
\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n
2-<\/span>Udyog Aadhaar (MSME
\nRegistration)<\/span><\/font><\/b><\/div>\n

<\/font><\/span><\/b><\/div>\n
A 12 digit UIN (unique identification number) assigned by the Ministry
\nof MSME (Micro, Small, Medium, Enterprise) to all MSME enterprises for
\nregistration is called Udyog Aadhaar. This linking of aadhar number to MSME
\nregistration created the idea for Udyog Aadhar Registration in 2015.<\/span><\/o:p><\/span><\/font><\/div>\n

<\/span><\/font><\/div>\n
Udyog Aadhaar Certificate can provide with various benefits:<\/b><\/span><\/font><\/div>\n

<\/font><\/span><\/div>\n
–\u00a0<\/b><\/span>Business
\n loan<\/span><\/font><\/div>\n
–<\/b>ISO
\n CERTIFICATION government fees will be reimbursed.<\/font><\/span><\/div>\n
–<\/b>Government
\n fees on Barcode will be reimbursed.<\/font><\/span><\/div>\n
\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n
After this reform, the businessman is not required to go through a
\nlengthy process to get their registration done. They can instead provide these
\ndocuments and get their MSME registration done:<\/span><\/o:p><\/span><\/font><\/div>\n

<\/span><\/font><\/div>\n
1. Aadhar number<\/span><\/o:p><\/span><\/font><\/div>\n
2. Business name<\/span><\/o:p><\/span><\/font><\/div>\n
3. Nature of business<\/span><\/o:p><\/span><\/font><\/div>\n
4. Owner’s name<\/span><\/o:p><\/span><\/font><\/div>\n
5. Bank account details<\/span><\/o:p><\/span><\/font><\/div>\n
\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n
3.)<\/span><\/b>\u00a0Jan Dhan Yojna<\/b><\/span><\/o:p><\/span><\/b><\/font><\/div>\n
\u00a0<\/font><\/o:p><\/span><\/div>\n
This reform was done and citizens of India have a bank account. It was
\none of the most successful reforms during Arun Jaitley’s tenure. Currently,
\nmore than 35.4 crore bank account under Jan Dhan yojana has been <\/span>opened<\/font><\/span>.<\/span><\/o:p><\/span><\/font><\/div>\n
\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n
4.)\u00a0No
\nincome tax for those having Income up to ?5 lacs<\/span><\/b><\/o:p><\/span><\/b><\/font><\/div>\n

<\/span><\/b><\/font><\/div>\n
During Budget 2019, Arun Jaitley introduced Zero Income tax on income
\ntax up to 5 lacs which was previously 3 lacs. This reform gave relaxation to
\nthe small businessman and helped them skip heavy taxes. The government also
\nincreased the rebate from a limit of Rs. 2500 to a limit of Rs. 12500. This
\nadvanced will be given to the taxpayer having an annual turnover of up to 5
\nlacs.\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n
\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n
\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n
5.)\u00a0Reduction
\nof GST on Real Estate<\/b><\/span><\/o:p><\/span><\/b><\/font><\/div>\n
\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n
GST is tremendously reduced on real estate in the view of planning
\n\u201chousing for all by 2022\u201d in the 34th council meeting. This gave a boost to the
\nsale of real estate. The rates changes as follows:<\/span><\/o:p><\/span><\/font><\/div>\n
\u00a0\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n\n\n\n\n\n
<\/p>\n
Type of real estate<\/span><\/b><\/o:p><\/span><\/font><\/div>\n<\/td>\n
<\/p>\n
GST slashes from<\/span><\/b><\/o:p><\/span><\/font><\/div>\n<\/td>\n<\/tr>\n
<\/p>\n
Under construction<\/span><\/o:p><\/span><\/font><\/div>\n<\/td>\n
<\/p>\n
12% to 5%<\/span><\/o:p><\/span><\/font><\/div>\n<\/td>\n<\/tr>\n
<\/p>\n
Affordable houses<\/span><\/o:p><\/span><\/font><\/div>\n<\/td>\n
<\/p>\n
8% to 1%<\/span><\/o:p><\/span><\/font><\/div>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n
\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n
\u00a0<\/span><\/o:p><\/span><\/font><\/div>\n
6.) Banning
\nof Unregulated Deposit Schemes<\/span><\/b><\/o:p><\/span><\/b><\/font><\/div>\n
\u00a0<\/font><\/o:p><\/span><\/div>\n
Banning of unregulated deposit was introduced by the Lok Sabha on 31st
\nJuly 2019 to protect people from getting cheated by the fraud financial schemes
\nsuch as Sharda chit fund in Bengal.<\/span><\/o:p><\/span><\/font><\/div>\n
\u00a0<\/span><\/b><\/o:p><\/span><\/font><\/div>\n
7.)
\nDemonetization<\/span><\/b><\/o:p><\/span><\/b><\/font><\/div>\n
\u00a0<\/font><\/o:p><\/span><\/div>\n
This reform was the biggest reform in decades done to reduce corruption,
\nTerror-funding, fake currency, and black money. Demonetization was about
\nbanning 500 and 1000 rupees notes and brings in new notes to the economy in
\n2016. This came as a huge thud because it was informed in the evening that the
\nnotes will be meaningless after midnight. Over time this promoted digital India
\nand made payment much easier by promoting online transactions.<\/font><\/span><\/o:p><\/span><\/div>\n

<\/font><\/span><\/div>\n

<\/font><\/span><\/div>\n","protected":false},"excerpt":{"rendered":"

Some major economic reforms introduced in Arun Jaitley’s tenure..<\/p>\n","protected":false},"author":1,"featured_media":371,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[22],"tags":[],"class_list":["post-159","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance-banking"],"yoast_head":"\nMajor Economic Reforms undertaken by Arun Jaitley<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalsalaah.com\/blog\/7-major-economic-reforms\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Major Economic Reforms undertaken by Arun Jaitley\" \/>\n<meta property=\"og:description\" content=\"Some major economic reforms introduced in Arun 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