New Delhi, Jul 6: While presenting on the Indirect taxes as part of the Union Budget 2009-10, the Finance Minister, Pranab Mukherjee announced changes in Custom Duty rates on various items. While the Set top boxes are set to get costlier, the LCD TVs and Monitors along with mobile accessories are going to cost less.
He recalled that in 2006 the set top boxes enjoyed a full exemption from basic customs duty it was to enable their free import for the smooth introduction of the Conditional Access System (CAS). However, now that the production capacity has come up in the country, there will be basic customs duty of 5 per cent on set top boxes. A move like this is bound to help the manufacturers of the country.
He announced reduction in the basic customs duty on LCD panels from 10 per cent to 5 per cent to support indigenous production of LCD televisions.
"The electronic hardware industry has a strong potential for creating employment especially in the SME sector. I intend to reduce the basic customs duty on LCD panels from 10 per cent to five per cent to support indigenous production of LCD televisions," Pranab Mukherjee said.
Further, he proposed to reintroduce the same rate that was available to accessories, parts and components imported for the manufacture of mobile phones for another year till. This means that the mobile accessories like the LCD screens will become cheaper.