Finance Minister Pranab Mukherjee today retained the rate of standard excise duty at 10 per cent in the Budget for 2011-12, giving a little respite to industry, which feared a rollback of stimulus measures. However, he has brought 130 items under the tax net by withdrawing exemptions granted
earlier, though the burden would only be of the order of 1 per cent. Most of these relate to the consumer goods sector.
The list of the items that will become cheaper and more expensive are as under:
Cheaper:
Mobile phones
LED lights
Printers
Paper
Soap
Battery driven vehicles
Home loans
Diapers and sanitary napkins
Homeopathic medicines
Yarn/Raw silk
Food
Stainless steel
Refrigeration system
Agriculture machinery-Tractors
Cement
Gas dispensers
Solar lanterns
Hybrid fuel kits
Bio-based Asphalt
Dearer:
Branded garments
Air-conditioned Bars & restaurants (serving liquor)
Air conditioned Hospitals
Air travel
Gold
Hotel services
(With PTI inputs)