New Delhi, Feb 29: Finance Minister Arun Jaitley on Monday present his third Union Budget in the Parliament.
Read more: Highlights Of Union Budget 2016
In the Budget, Minister offered sops for small and marginal income tax payers and hiked the surcharge by 3 per cent on earnings above Rs 1 crore.
Minister also announced measures for small taxpayers, though no change in 'current tax slab' was made.
Here are the list of items which become costly.
Government announced that all branded garments will be costly as excise duty will be imposed.
As pollution cess of 1% will be levied on small petrol, CNG and LPG vehicles, price of new cars will go up. 2.5 per cent cess will be charged on diesel cars while on SUV cars it will be 1 per cent.
All tobacco products except biddis will be expensive now. Government increases Excise duty by 10-15%.
Jewellery will be costly as 1% excise duty has been imposed in the Budget
Airport and banking
Airport and banking service will be costly now as government announces 5% Krishi Kalyan cess on all taxable services. This also includes beauty treatment, advertising, credit card/ debit card , construction, insurance, telecomm / advertising/ online communications and cab taxi.
Electricity will be costly soon as Government has increased clean energy cess from Rs 200/tonne to 400/tonne on coal, lignite and peat.
Except above items, one has to cough up more money to buy mobile phones. Watching movies at theater will be costly too.
Cheaper items and how one can save money
- General insurance schemes will be cheaper as service tax will be be exempted now
- You will have to pay less for refrigerated containers as customs duty has been reduced
- A new health protection scheme for health cover upto 1 lakh per family has been announced by the govt.
- Taking up a new job, you are lucky as the govt will pay EPF contribution of 8.33% for all new employees for 1st three years.
- If you are earning Rs 5 lakhs, you will get an increased tax rebate of Rs 3000.
- If you are paying rent and do not own a house, you get a tax relief of up to Rs 60,000 by way of HRA.
- Apart from these, Dialysis equipments and Braille Paper will also be cheaper