In the latest Budget Speech by the Finance Minister of India Mr. Pranab Mukherjee, several financial changes would be introduced. This announcement would reveal the financial planning of the Minister and the fact whether or not his policies would be effective in keeping a check over rising inflation, bringing back money stashed overseas and keep fiscal deficit in check. Another point to consider while planning for the Indian Budget is to ensure that the economic growth of the country is on track while withdrawing the stimulus measures.
New Amendment in Custom duty-2011 is important information that every trader is keen to know. These amendments bring in several changes with the New Excise Tariff-2011 and New Custom Duties 2011 that directly affect the business of the importers and exporters. Following are some of the points that would be discussed in the New Excise Tariff-2011:
Rate structure for goods (except petroleum)
CENVAT or Central Value-added Tax is announced during the New Indian Budget session. This announcement takes care of the standard rate of CENVAT for non-petroleum goods. Whether the taxes for the coming year will be increased or reduced is determined with this announcement. The excise duties on almost all the products like cement, fertilizers, Multi Utility Vehicles, and so on, except petroleum are determined.
The rates of excise duties on petroleum products are announced in this section. This would decide exactly where the price of branded and unbranded petroleum products like Motor Spirit (petrol) and HSD (diesel) would stand after the announcement.
The tax amendments on all forms of Tobacco such as branded non-manufactured tobacco and tobacco refuse, branded, hookah or gudaku tobacco, chewing tobacco, preparations containing chewing tobacco, jarda scented tobacco, snuff and its preparations, tobacco extracts and essences etc; smoking tobacco, cut tobacco, smoking mixtures etc. would be announced.
Clean Energy Cess
Clean Energy Cess is the duty imposed on and collected as a duty of excise from coal mines products like coal, lignite and peat produced in India.
Withdrawal of exemptions/ concessions
This section deals with the announcements of withdrawals of the existing exemptions or concessions.
This is the most awaited section and every trader wishes to see his products in this category. In this section, those products that are fully exempted from excise duty are listed.
These are some of the section of the New Amendment in Custom duty-2011. The New Excise Tariff-2011 on all these products and more are disclosed during the Finance Minister’s Budget Speech in February. These changes don’t just affect the big business tycoons, but they also affect the lives of common people. To know more about the new budget announcements of 2011 – 2012 log on to the website of Infodrive India. The company provides Live Budget updates every year.