Budget Highlights 2013

 BUDGET HIGHLIGHTS 2013

• No changes in Income Tax rates or slabs, Rs 2000 credit for those earning up to Rs 5 lakh per annum.
• Surcharge of 10% on Rs 1 crore plus income earners
• Surcharge on corporate taxes increased.
• Education cess to continue
• Imposes 5-10% surcharge on local companies income above Rs 10 crore
• Immovable Property transaction: TDS of 1% to be levied on transactions above Rs 50 lakh.
• STT rates cut on equity futures to 0.01% from 0.017%
• 1 per cent TDS on sale of immovable property, not applicable to agricultural land.
• To levy CTT on non agri futures at 0.01%
• Direct Tax Code remains work in progress
• Modified GAAR to come into effect from April 1st 2016
• No change in peak basic customs duty
• Extend tax benefit to electrical vehicles
• Customs duty unchanged for non agri products
• To levy 2% customs, CVD on coal imports
• Higher customs duty on set top boxes
• Duty cut on leather, leather good machines
• Exempts imported ships and vessels from duty
• Excise duty on SUVs raised from 27% to 30%. Will not apply to SUVs registered as taxis
• Excise duty raised by18% for cigarettes
• All AC restaurants will have to pay service tax whether or not they serve alcohol.
• Increase in import duty on high end motor vehicles from 75% to 100%; and on motor cycles from 60% to 75%
• Luxury imported items to be cost more
• Mobile phones, priced above Rs 2000, get more expensive
• 100 per cent Customs Duty on luxury cars
• Set Top box import duty raised
• Gold duty free limit raised to Rs 50,000 for men and to Rs 1 lakh for women travelers
• Cut abatement rate on expensive homes to 75%
• One time amnesty scheme for service tax defaulters
• Lower securities transaction tax on mutual fund payouts
• Donation made to National children’s fund to be fully exempt
• Royalty tax hiked to 25% from 10%
• Zero custom duty for electrical machinery
• Cut abatement rate on expensive homes to 75%