The Union Finance Minister presented her 7th straight budget on Tuesday, July 23. Many crucial announcements were made. One of the pertinent announcements made was surrounding taxation. The FM in her budget is a reduction of Basic Custom Duty or BCD, on different objects.
What will get cheaper?
The BCD on flex or banner has been increased. Taxes on steel and copper will be reduced. The tax on shrimp will be reduced by 5 per cent. In addition, the FM also announced a simplification of the TDS regime. This has resulted in mobile phones, chargers and personal computers getting cheaper.
In addition, the government also reduced the TDS levied on E-commerce operations from 1 per cent to 0.1 per cent, this could potentially bring about a reduction in online shopping expenses for end customers.
And most importantly, the 3 cancer medicines have been exempted from custom duties, making these vital medicines cheaper.
Custom duty on gold and silver has also been reduced to 6 per cent and platinum to 6.4 per cent.
BCD on Oxygen-ferrous copper will also be reduced. In addition, BCD on 25 essential minerals has also be reduced.
What will get expensive?
Amonium nitrate, which is used in making explosives, will get dearer. In addition, the custom duty on Flex or banners used for political and social messaging will only get costlier as the BCD on it has been raised from 10 per cent to 25 per cent.
Exported telecom equipment will also get costlier.
In addition, the FM also announced the simplification of the TDS regime, which affects millions throughout the country. The FM announced measures to reduce litigation on the front and changed the SOP on TDS compliance. FM also announced simplification of TDS for charities.
In addition, the 5 per cent TDs will be merged with the 2 per cent and and the 20 per cent.
