2015 · Q55
Which one of the following statements with regard to the Union Budget of India for the year 2015-2016 is not correct?
current-eventseconomy-business-news
- AIndia Financial Code to be introduced soon in the Parliament
- BAllocation in defence sector is kept unchanged at around 5% of GDP
- CA Student Financial Aid Authority will be instituted
- DNo change in the rate of personal income tax
Explanation
The 2015-16 Budget speech did propose an Indian Financial Code, a Student Financial Aid Authority, and left personal income-tax rates unchanged. But defence spending in 2015-16 was about 1.7 to 1.8 percent of GDP, far below 5 percent, as reported in the press at the time. Hence the statement keeping defence allocation at around 5 percent of GDP is the one that is not correct.