Tax exemption limit raised to Rs.180,000

NEW DELHI, INDIA: Finance Minister Pranab Mukherjee, while presenting the Union Budget for the Financial Year 2011-12 in Parliament on Monday said that the tax exemption limit has been raised to Rs.180,000 from Rs.160,000. 

He added that in order to curb huge deficits, there was a need to define the nature of public expenditure.

"The exact definition of planned and non-planned expenditure needs to be revisited," Mukherjee said while presenting the budget for 2011-12.

He stressed the need for effective management of public expenditure for bringing it in line with the objectives of the fiscal consolidation process.

According to him, a committee under C. Rangarajan, chairman of the prime minister's economic advisory council, had been set up to look into the issue.