What's up and what's down
FE Report | Tuesday, 10 June 2008
Prices of a number of items might change due to fiscal measures proposed in the new budget for 2008-09, beginning July 1.
The prices of powdered milk, handicraft items, fish and poultry feed, MS rod, 1500 to 1800 cc microbus, reconditioned car, life-saving drugs, dates, printing paper, fertiliser, seed and agriculture machinery and computer are expected to come down.
Prices of sugar, luxury vehicles, cigarette, tobacco, pictorial and drawing books, satellite channel services, repairing and servicing, printed papers, SIM card are expected to increase.
Newspaper and private TV channel advertisement cost might go up as the government proposed to deduct 3.0 per cent tax at source on payable bills.
In the case of capital machinery, Finance adviser proposed to reduce the customs duty on equipment used in cultivation like irrigation pumps, diesel engine and tractors to 3.0 per cent from various existing rates.
The government has proposed to introduce four-tier duty structure for facilitating local manufacturing sector.
The import of capital machinery will be cheaper as the finance adviser proposed to reduce duty to 3.0 per cent from existing 5.0 per cent.
Duty slab for raw materials has been proposed as 3.0, 7.0, 12.0 and 25 per cent instead of 10.0, 15.0 and 25 per cent.
To facilitate the import of industrial raw materials, Dr. Aziz proposed the downward adjustment of the duty slab.
Operating cost of dairy and poultry industry might decline as the proposed budget offered some special fiscal incentive.
The government proposed withdrawal of VAT at the production stage of hand made biscuits and fabrics produced from artificial fibre and thread using handloom to provide impetus to the small, labour-intensive and employment-friendly industries. These incentives will help reduce prices of those items.
Price of electronic cash register (ECR) will fall as the finance adviser proposed to exempt all duties and taxes on import of the item.
To encourage expansion of telecom infrastructure sub sector Dr. Aziz proposed tax holiday facility.
The prices of powdered milk, handicraft items, fish and poultry feed, MS rod, 1500 to 1800 cc microbus, reconditioned car, life-saving drugs, dates, printing paper, fertiliser, seed and agriculture machinery and computer are expected to come down.
Prices of sugar, luxury vehicles, cigarette, tobacco, pictorial and drawing books, satellite channel services, repairing and servicing, printed papers, SIM card are expected to increase.
Newspaper and private TV channel advertisement cost might go up as the government proposed to deduct 3.0 per cent tax at source on payable bills.
In the case of capital machinery, Finance adviser proposed to reduce the customs duty on equipment used in cultivation like irrigation pumps, diesel engine and tractors to 3.0 per cent from various existing rates.
The government has proposed to introduce four-tier duty structure for facilitating local manufacturing sector.
The import of capital machinery will be cheaper as the finance adviser proposed to reduce duty to 3.0 per cent from existing 5.0 per cent.
Duty slab for raw materials has been proposed as 3.0, 7.0, 12.0 and 25 per cent instead of 10.0, 15.0 and 25 per cent.
To facilitate the import of industrial raw materials, Dr. Aziz proposed the downward adjustment of the duty slab.
Operating cost of dairy and poultry industry might decline as the proposed budget offered some special fiscal incentive.
The government proposed withdrawal of VAT at the production stage of hand made biscuits and fabrics produced from artificial fibre and thread using handloom to provide impetus to the small, labour-intensive and employment-friendly industries. These incentives will help reduce prices of those items.
Price of electronic cash register (ECR) will fall as the finance adviser proposed to exempt all duties and taxes on import of the item.
To encourage expansion of telecom infrastructure sub sector Dr. Aziz proposed tax holiday facility.