Budget 2006

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Mohit

Mohit

Forerunner
hey guys .. just starting this new thread to discuss the effect of the budget that was presented by our FM today on tech products and electronics .. Do post what stuff is likely to get cheaper and what will be dearer .. For starters I heard Branded PC's will be cheaper. Do post/discuss all you know here.
 
i too hope for the same goldie .. with so much of duties n craps on pc parts things are really expensive out here.
 
From what i saw in the afternoon....computers were gonna cost more...also packaged software was gonna cost more...

Dvd drives, mp3 n mpeg players were gonna cost less..
 
aah so we can expect millions of more computers with pirated software .. lol anyways s/w is my last worry for now.

somebody do confirm if PC's are going to cost more or less.
 
Exemption from excise : DVD, Flash and combo drives

and for those intrested 16% Excise duty may be cut from small cars... :) they gonna get cheaper n cigarettes goin up 5%
 
One of the Highlights of the Budget 2006

Increase in excise duty on computers

tat means they r gona cost more

Excise duty to reduced the on aerated drinks to 16 per cent from 24%. On cars,Excise duty to reduced to 16 per cent, but only for small cars. A small car, for this purpose, will mean a car of length not exceeding 4,000 mm and with an engine capacity not exceeding 1,500 cc for diesel cars and not exceeding 1,200 cc for petrol cars. I am confident that industry will seize the opportunity to make India a hub for the manufacture of small and fuel-efficient cars.

8 per cent Excise duty imposed on packaged software sold over the counter. Customized software and software packages downloaded from the internet will be exempt from this levy.

Fully exempt from excise duty DVD Drives, Flash Drives and Combo Drives.

Since leather and footwear are thrust sectors, I propose to exempt from excise duty two vegetable tanning extracts, namely, quebracho and chestnut. Footwear carrying a retail sale price up to Rs.250 is already exempt from excise duty. I propose to reduce excise duty on footwear with a retail sale price between Rs.250 and Rs.750 from 16 per cent to 8 per cent.

Excise duty on ready-to-eat packaged foods and instant food mixes, like dosa and idli mixes, will be reduced from 16 per cent to 8 per cent.

To promote the use of energy efficient lamps, Excise duty on compact fluorescent lamps reduced from 16 per cent to 8 per cent.

Paper finds widespread use in education as well as in packaging. In order to encourage capacity addition, reduction on excise duty on specified printing, writing and packing paper from 16 per cent to 12 per cent.

The good news is that there will be no change in the rates of personal income tax or corporate income tax.

To round off, to increase in the excise duty on cigarettes by about 5 per cent and also on pan masala , gutkha etc..

EDIT:Ice creams also exempted frm duties ....ummmmmmmmm.....
 
From a mail I received:

Javed Tapia, President, Red Hat Indian Subcontinent says

"Overall this budget shows confidence in the current strength of the

economy.

The increased investment in education and the emphasis on rural

infrastructure are both good moves from a longer terms perspective.

Specifically for the IT Industry the imposition of 8% excise duty on

packaged software is a dampener and will cause an increase in prices of

legal software. Also the imposition of excise duty of 12% on computers

needs to be studied from an impact perspective since the FM has said that

there will be no increase in cost due to this."
 

Highlights of the Budget 2006
# GDP Growth Likely To Be 8.1% in 2006-07
# Govt To Aim For 10% Economic Growth
# Record 34,000 MW To Be Added Under 10th Plan
# Foodgrains Output Likely To Be 209.3 MT In 2006-07
# Rs 944 cr Grant Given For Irrigation In Bharat Nirman
# Rural Employment To Get Rs 14,300 cr
# Urban Renewal Mission Gets A Grant Of Rs 4,595 cr
# National Rural Health Mission To Get Rs 8207 cr
# Rs 100 cr Fund To Help Tea Growers
# 82 Power Projects To Be Completed In 1-2 years
# Boost To Apparel Parks
# Textile Allocation Increased to Rs 535 cr
# Food Processing To Be Treated As Priority Sector
# 2% Credit On Farm Loans
# 87,000 Houses To Be Build
# 10,600 Villages To Be Provided With Electricity
# 96% of Golden Quadrilateral To Be Completed By June 2006
# Govt To Fund Disaster Rehabilitation
# To Double Farm Loans In 3-Years
# Allocation For Education Up 31.5% to Rs 24,115 cr
# RIDF Gets Rs 4000 cr For Rural Roads
# Increased Funding For Repair Of Water Bodies
# Limit of FII investment in govt securities hiked
# Continued Focus On Non-Conventional Energy
# Customs duty cut on zinc
# Duty cut on iron ore
# Duty cut on vital drugs
# Cut in peak customs duty
# Proposal to privatise coal mining
# Excise on specific footwear cut to 8% from 16%
# Excise duty on cigarettes increased by 5%
# Duty cut on naphtha, intermediates, polymers
# Peak customs rate cut
# Customs duty cut on textile machinery
# Excise on all manmade fibres and yarn halved to 8%
# Excise duty on small cars cut to 16% from 24%
# Duty for DTA clearance by EOUs
# Gross Budget Support up 20.4% at Rs 1,72,720 cr
# Allocation for Education up 31.5% to Rs 24,115 cr
# Reduction in duty on bulk chemicals
# Promotion of IT-enabled sectors
# Higher spend on e-governance initiatives
# Boost for power sector in J&K
# Higher allocation for J&K reconstruction
# Dereserve coal blocks for power projects
# 50 mn additional rural telephone connections
# 1000 km expressways on BOT basis
# To consider taking Hyderabad Metro under NURM plan
# To remove 10% cap on overseas invst by Mutual Funds
# No FBT on Superannuation Fund upto Rs 1 lakh/employee
# Excise duty abolition on branded foods
# Excise duty on CFC reduced to 16%
# Reduction of FBT on business conveyance
# Removal of NHB from section 54EC
# FBT on tour & travel expenses reduced to 5%
# Inclusion of Fixed Deposits under Section 80C
# Extension of tax breaks under Section 80IA
# STT hiked by 25%
# Short Term Transaction tax hiked by 25%
# Cess on domestic crude hiked by Rs 700/tonne
# Greater thrust on agriculture, irrigation
# Duty exemption to DVD driver, storage media manufacturers
# Increase in excise duty on computers

Basically a very balanced budget.

Lot of emphasis of agriculture and rural development which is good for the country.

Also some disappointment for tech guys coz computers dearer......

Also for smokers , coz cigarettes gonna get dearer my dear.....hehehehe

Overall a Good Budget
 
Overall a good budget in my opinion. Increased the pensions, increased the service tax since its very high paying, vat already is there, cars are cheaper, combo drives are cheaper. Lot of scope for a lot for earning the government through indirect taxes and that does not include excise. No increase in direct taxes. Metro rail to be introduced and a higher budget allocation for the defence. Makes provisions to get electricity for 40000 thousand villages. Necessiates and stresses over the increasing disparity between haves and have nots

No change in excise for the fuel so fuel prices still stay high. Does need to give better budget allocation for unemployment. In implementation, its good. Better implementation needed IMHO

But overall a happy budget :)
 
Saiyan said:
anyidea about the taxes on bikes:P... am gonna buy 1 by the 1st week of april:D
Click to expand...

I think taxes have been reduced on metals so maybe you could have a bit cheaper bike:) DOnt expect lots of rate differences
 
source::rediff

How these items will fare after the Budget?

What's dearer
Package software
Computer games
Windows software
Cigarettes
Imported vanaspati
Imported Scrap Steel

What's cheaper
AIDS, cancer drugs
Small cars
Flash Drives
DVD Drives
Packaging machines
Printing paper
LPG stoves
Naphtha
Footwear
Bulk plastics
Aerated drinks
Instant food
Mineral products
Condensed milk
Ice cream
 
damn.... Only small car prices are going down.

Dad was planning to buy a new car.... :( .

Customs has gone up by 2.2%. Damn fools.
 
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