[mkh]

Hi Folks
One of the most important events all people wait for- the Budget 2010 is underway, lets see what it holds for all
As of now the FM has started the budget speech- do post any info that you get live here.
Current Update:
State of the economy better
Process of building a simple tax system is near completion
Direct tax code to be implemented from April 1, 2011: Ernst & Young
This has a lot of implications on tax benefits we get, only a year more to go!!!

[bharanidharang]

Excise duty on large cars, SUVs raised to 22%, up 2%

Source: economictimes.com

[sdp1975]

Tax slabs have been changed - great news for salaried folks.

[mkh]

10% tax for income between Rs 1.6-5 lakh ( was 1.5 to 3 lakhs now)

Nil tax for Rs 1.6 lakh income ( was 1.5 lakhs now)

More disposable income in hand of people means boost to spending? More cars, houses

[Jaggu]

Fuel prices to go up Excise duty and duty on crude is up!

Large cars, SUV/MUV duty goes up!

Reva also gonna be costly, 4% duty imposed on electric vehicles.

[SamtheLeo]

latest update

Income up to Rs 1.6 lakh - nil Income above Rs 1.6 lakh and up to Rs 5 lakh - 10 per cent
Income above Rs 5 lakh and up to Rs 8 lakh - 20 per cent
Income above Rs 8 lakh - 30 per cent.

[dar3dev|l]

Originally Posted by Jaggu

Fuel prices to go up Excise duty and duty on crude is up!

Large cars, SUV/MUV duty goes up!

Reva also gonna be costly, 4% duty imposed on electric vehicles.

why do they want to impose duty on electric vehicles ?? Aernt thy much ecofriendly then the petrol and diesel ones ? IMO with no duty on electric vehicles, companies would be encouraged to manufacture more electric vehicles which means less pollution

[mkh]

Originally Posted by Jaggu

Fuel prices to go up Excise duty and duty on crude is up!

Large cars, SUV/MUV duty goes up!

Reva also gonna be costly, 4% duty imposed on electric vehicles.

But i saw this-
Partial rollback of excise duty on large cars??

[Jaggu]

@dar3dev|l: consider the EV's bought by hotels and other industries. Numbers are high and zilch tax. So why not tax a lil.
@mkh: roll back to previous, which is higher

[mkh]

Originally Posted by Jaggu

@dar3dev|l: consider the EV's bought by hotels and other industries. Numbers are high and zilch tax. So why not tax a lil.
@mkh: roll back to previous, which is higher

gotcha- part of the stimulus exit plan...pay more for buying more
Key point for gen consumer-
Upto 50K savings for Taxable Income of 8 Lacs- cool!

[isldhn]

Peak Excise duty hiked from 8 to 10%. Duty on Smoking and non smoking tobacco products raised. So Tobacco products to cost more :-(

Opposition stages walkout following hike on petro products. I guess they did not find any other point to stage a walkout

Central excise on LED lights halved to 4%. Expect more LED treatment in Cars and Bikes from now on ;-)

[dar3dev|l]

Originally Posted by Jaggu

@dar3dev|l: consider the EV's bought by hotels and other industries. Numbers are high and zilch tax. So why not tax a lil.

for our government, it really doesnt take time to turn that "lil" to "lil too much"

IMO it will take time for the numbers to increase, but at least have that interest created in the end users mind and take a step forward towards a better env to breathe

[xenxer]

Originally Posted by mkh

gotcha- part of the stimulus exit plan...pay more for buying more
Key point for gen consumer-
Upto 50K savings for Taxable Income of 8 Lacs- cool!

But what he has done is . He has given the consumers money in their hand to spent more. Which ever tax he have exempted from income he is getting it back from excise tax and all. Hence a person buying the car or fill fuel is going to pay the extra income tax he got from this budget back to govt. So no difference :-)

[mkh]

Originally Posted by xenxer

But what he has done is . He has given the consumers money in their hand to spent more. Which ever tax he have exempted from income he is getting it back from excise tax and all. Hence a person buying the car or fill fuel is going to pay the extra income tax he got from this budget back to govt. So no difference :-)

Will a person fill that much fuel and buy that many cars that he/she ends up paying 4K a month???( using my example of 8 lacs income) Not really - its more about getting from corporates. If a person spends more, companies earn more and the tax companies pay is more,so thats the cycle.
And no compulsion to spend more - just keep it with you

[xenxer]

Originally Posted by mkh

Will a person fill that much fuel and buy that many cars that he/she ends up paying 4K a month??? Not really - its more about getting from corporates. If a person spends more, companies earn more and the tax companies pay is more..so thats the cycle..
And no compulsion to spend more - just keep it with you

I was not talking about an individual .. its an overall. And you said "companies earn more and the tax companies pay is more" So who is ending up paying the tax for the companies its you who are giving them to pay.. That's why the prices are increased. So its any way a balance.

After all they are politicians. They do it in a way to make the maximum voters happy and get more vote without much affecting the revenue.

Its a cycle. You get but they get it from you in some other way. Simple