Mobile phones will be costlier with the Budget proposing a 2% special auxiliary duty on import of populated printed circuit boards (PCBs). The total allocation for rural, agriculture and allied sectors has been pegged at ₹187,223 crore.
The budget 2017-18 is out, and if you are still wondering where is the long list of products that have become costlier or cheaper then here is the reason why. The prices of products depend upon indirect taxes and this year because of the fact that the proposed GST is expected to be rolled out soon, the Finance Minister left indirect taxes mostly untouched.
Only a few minor changes in duties on tobacco products, solar panels and circuit for mobile phones, the central government did not make any changed on indirect taxes, charges, and duties.
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While excise duty on pan masala has been hiked to 9% from 6% currently, and that on unmanufactured tobacco to 8.3% from 4.2%, the same on the filter and non-filter cigarettes of all length was also hiked.
Mobile phones will be costlier with the Budget proposing a 2% special auxiliary duty on import of populated printed circuit boards (PCBs).
The Finance Minister ruled out the abolition of Minimum Alternate Tax (MAT) on companies but allowed them a carry forward facility for 15 years instead of 10 years to allow them MAT credit.
In a bid to boost the rural and informal sectors hurt by the note ban, the Budget raised the target for agriculture credit during the coming year to a record ₹10 lakh crore that will ensure the flow of credit to under-serviced areas.
The Budget provided for ₹9000 crore under the Crop Insurance Scheme and proposed to set up a dedicated micro-irrigation fund under NABARD with an initial corpus of ₹5,000 crore.
The total allocation for rural, agriculture and allied sectors has been pegged at ₹187,223 crore, which is 24% higher than the previous year. In a bid to boost infrastructure spending, the Minister proposed a total of ₹ 1,31,000 crore towards capital and development expenditure of railways which includes ₹55,000 crore provided by the government.
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In the road sector, the allocation for highways has been stepped up to ₹64,900 crore against ₹57,976 crore in Budget Estimates of 2016-17.
For the transportation sector as a whole, including rail, road and shipping, the Budget provides for ₹2,41,387 crore in FY18. "This magnitude of investment will spur a huge amount of economic activity across the country and create more job opportunities," Jaitley said.
