Budget 2023: What has become cheaper and what is costlier now?
Budget 2023: In a big boost to domestic consumption, Finance Minister Nirmala Sitharaman has slashed custom duties, cesses and surchanges on several items including toys bycles, automobiles and elctronic items which are set to become cheamer from the next financial year. Items whose prices wil increase include gold, cigarette, silver utencils, jewellery and imported goods.
The announcement was made by FM Sitharaman in her Budget 2023 speech. This was her last full budget of the arendra Modi 2.0 government.
"A simplified tax structure with fewer tax rates helps in reducing compliance burden and improving tax administration. I propose to reduce the number of basic customs duty rates on goods, other than textiles and agriculture, from 21 to 13. As a result, there are minor changes in the basic custom duties, cesses and surcharges on some items including toys, bicycles, automobiles and naphtha," the Budget statement read.
"To avoid cascading of taxes on blended compressed natural gas, I propose to exempt excise duty on GST-paid compressed bio gas contained in it. To further provide impetus to green mobility, customs duty exemption is being extended to import of capital goods and machinery required for manufacture of lithium-ion cells for batteries used in electric vehicles."
"As a result of various initiatives of the Government, including the Phased Manufacturing programme, mobile phone production in India has increased from 5.8 crore units valued at about ` 18,900 crore in 2014-15 to 31 crore units valued at over ` 2,75,000 crore in the last financial year. To further deepen domestic value addition in manufacture of mobile phones, I propose to provide relief in customs duty on import of certain parts and inputs like camera lens and continue the concessional duty on lithium-ion cells for batteries for another year."
TV: Similarly, to promote value addition in manufacture of televisions, I propose to reduce the basic customs duty on parts of open cells of TV panels to 2.5 per cent.
Diamonds: India is a global leader in cutting and polishing of natural diamonds, contributing about three-fourths of the global turnover by value. With the depletion in deposits of natural diamonds, the industry is moving towards Lab Grown Diamonds (LGDs) and it holds huge promise. To seize this 29 opportunity, I propose to reduce basic customs duty on seeds used in their manufacture.
Electric kitchen chimney: To rectify inversion of duty structure and encourage manufacturing of electric kitchen chimneys, the basic customs duty on electric kitchen chimney is being increased from 7.5 per cent to 15 per cent and that on heat coils for these is proposed to be reduced from 20 per cent to 15 per cent.
Here is a full list:
Items that will become cheaper
- Electric Vehicles
Items that will become expensive
- Electronic Chimneys in Household
-- Silver Utensils
-- Imported Goods
Stock Market Today LIVE Updates: Indian equity benchmarks Sensex and Nifty50 built on their intraday gains as Finance Minister Nirmala Sitharaman rose to present the Budget in Parliament. This Budget, the first in Amritkal, is a blueprint for the next 25 years, said Sitharaman in her Budget speech. The Indian economy is estimated to expand seven per cent despite a slowdown across the world, the finance minister added.
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