It has been 5 days since the Union Budget 2016 has been rolled out by Mr. Arun Jaitley. The Budget 2016 has been termed as pro-poor and pro-farmer budget. It has a lot of cheerful announcements for the middle-class people and farmers of the country. The budget has brought a relief for the small tax payers.
There was one announcement in the Budget that has made many things costlier. The Finance minister has announced a hike in the service tax from 14.5% to 15% that will make paid services like dining out, movies, etc. more costly.
Budget 2016: Full Coverage of Budget Speech
The Union Budget 2016 has levied an additional infrastructure cess on the cars. This would make buying cars costlier in India. To control the pollution by diesel cars, there will be 2.5% additional tax on all the diesel cars and 1% on small petrol cars.
The automakers including Maruti Suzuki, Hyundai, Honda, etc are going to hike the price of their cars.
There will be 15% excise duty on all the tobacco products. Check out what will be costlier and what will be cheaper for you. Plan your expenses accordingly.
Things going to be Costlier:
- Cigarettes, tobacco products, cigar
- Air travel, dining out, movies in cinema hall, and other paid services
- Branded clothes of more than Rs. 1000
- Gold jewelry and Silver
- Goods and services above Rs. 2 lakh in cash
- Aluminum foil
- Aerated water with sugar or any sweetening matter, and mineral water
- Cable car rides, ropeway
- Plastic bags
- Lottery tickets
- E-reading devices
- Legal services
- Imported golf cars
- Instruments for VoIP (Voice over Internet Protocol)
Things that will be Cheaper
- Solar lamp
- Broadband models, routers, and set-top boxes, CCTV cameras, and digital video recorder.
- Sterilized dialyzer
- Refrigerated containers
- Hybrid electric vehicles
- Hiring of folk artists for performance
- Low-cost houses with less than 60 square meter carpet area