Jagran Josh Logo
  1. Home
  2.  |  
  3. Economy Current Affairs |  

Interim Union Budget 2014-15 Tax Proposal

Feb 17, 2014 18:28 IST

Interim Budget 2014-15 was presented in the Lok Sabha by Union Finance Minister, P Chidambaram on 17 February 2014. This was the 83rd budget of the Union Government and 9th personal budget by Chidambaram as Finance Minister. In the union budget 2014-15, the Finance Minister left untouched the   direct taxes.

Following changes in some indirect tax rates are proposed

• States to partner in development so as to enable the Centre to focus on Defence, Railways, National Highways and Tele-communication.
• The Excise Duty on all goods falling under Chapter 84 & 85 of the Schedule to the Central Excise Tariff Act is reduced from 12 percent to 10 percent for the period up to 30 June 2014. The rates can be reviewed at the time of regular Budget.
• To give relief to the Automobile Industry, which is registering unprecended negative growth, the excise duty is reduced for the period up to 30 June 2014 as follows:

 Category

Percent

Small Cars, Motorcycle, Scooters and Commercial Vehicles

from 12 to 8 percent

SUVs

from 30 to 24 percent

Large and Mid-segment Cars

From 27/24 to 24/20 percent

• It is also proposed to make appropriate reductions in the excise duties on chassis and trailors. The rates can be reviewed at the time of regular Budget
• To encourage domestic production of mobile handsets, the excise duties for all categories of mobile handsets is restructured. The rates will be 6 percent with CENVAT credit or 1 percent without CENVAT credit.
• To encourage domestic production of soaps and oleo chemicals, the custom duty structure on non-edible grade industrial oils and its fractions, fatty acids and fatty alcohols is rationalized at 7.5 percent.
• To encourage domestic production of specified road construction machinery, the exemption from Counter Vailing Duty (CVD) on similar imported machinery is withdrawn.
• A concessional custom duty 5 percent on capital goods imported by the Bank Note Paper Mill India Private Limited is provided to encourage domestic production of security paper for printing currency notes.
• The loading and un-loading, packing, storage and warehousing of rice are exempted from Service Tax.
• The services provided by cord blood banks are exempted from Service Tax.

 Category

Percent

Small Cars, Motorcycle, Scooters and Commercial Vehicles

from 12 to 8 percent

SUVs

from 30 to 24 percent

Large and Mid-segment Cars

From 27/24 to 24/20 percent

Is this article important for exams ? Yes181 People Agreed
Read more Current Affairs on: Interim Budget 2014-15 , tax proposals

DISCLAIMER: JPL and its affiliates shall have no liability for any views, thoughts and comments expressed on this article.

Latest Videos

Register to get FREE updates

    All Fields Mandatory
  • (Ex:9123456789)
  • Please Select Your Interest
  • Please specify

  • ajax-loader
  • A verifcation code has been sent to
    your mobile number

    Please enter the verification code below

Newsletter Signup
Follow us on
This website uses cookie or similar technologies, to enhance your browsing experience and provide personalised recommendations. By continuing to use our website, you agree to our Privacy Policy and Cookie Policy. OK