Latest Expert Exchange Queries

GST Demo Service software link:
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Popular Search: cpt :: form 3cd :: articles on VAT and GST in India :: ARTICLES ON INPUT TAX CREDIT IN VAT :: due date for vat payment :: VAT Audit :: ACCOUNTING STANDARDS :: TDS :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARD :: TAX RATES - GOODS TAXABLE @ 4% :: empanelment :: list of goods taxed at 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: VAT RATES
Budget Extravaganza »
 Startup eco-system looks forward to the budget for addressing tax dilemma
 High time to prioritise non-tax revenue in the Budget
 Govt may abolish dividend distribution tax in budget
 Budget making in the GST era: paradigm shift
 Budget 2018: Section 80C limit may be increased
 Middle Class Can Hope For A Big Tax Relief In Budget 2018-19, Says Report
 Startup investors seek abolition of angel tax in Budget 2018-19
 Budget 2018 must avoid the temptation to bolster government revenues myopically
 How GST has taken away the wind out of the Union Budget presentation
 Seeks to amend certain customs notifications in pursuance to change made in Budget 2017-18.
 New look finance ministry team to frame contours of Budget 2018

Budget 2012: Govt mulls hiking excise duty to 12%
February, 14th 2012

The finance ministry is considering a proposal to increase excise duty from 10% to 12%, although still lower than the level before the 2008 financial crisis. The move, officials argue, is aimed at helping the government improve its fiscal situation but it is expected to push up the cost of almost all manufactured goods - from food products to consumer durables and automobiles.

While a rollback of the stimulus was expected in the last budget, finance minister Pranab Mukherjee surprised the industry and the market by sticking to 10% standard rate of central excise. His calculation was that his finances were healthy and some more support to the manufacturing sector would only help. Since then, the economy has turned more fragile, with industrial production rising in low single digits. The Centre's fiscal health is even more problematic. In addition, an increase in excise duty will add to the inflationary pressure, especially in the manufactured goods segment where prices rose by over 9% on last count.

Although a final decision is yet to be taken, sources in the government indicated that the move has been necessitated by a tight fiscal situation, which is expected to persist during the next financial year with the government in no position to prune the high subsidy bill. A decision on changing the key direct and indirect tax rates is taken at the level of the finance minister and the PM. Officials in the ministry have argued that should the economic condition deteriorate, the government can always reduce the duty.

In fact, through the current fiscal, officials in the Central Board of Excise and Customs were ruing the fact that Mukherjee chose not to increase rates in the last Budget and withdraw the stimulus at a time when the economy was healthier. Another argument being put forward is that the overall economic sentiment, although subdued, is better than what it was a few months ago. With inflation now coming down, interest rates are expected to start falling during the course of 2012-13. That is expected to boost sentiments, officials said.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Application Management Solutions Application Management System Application Management Software System Application Management Development Application Management Software Development

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions