Highlights of duty changes announced by Chidambaram today

[K.Karthik Raja]

Highlights of duty changes announced by Chidambaram today
Tuesday, Apr 29

NEW DELHI - Following are the highlights of the changes made to
direct and indirect tax changes announced by Finance Minister P.
Chidambaram Lok Sabha today:
.
INDIRECT TAX
* Imposes export duty of 8,000 rupees per 1 tn on basmati rice.
Minimum export
price of basmati rice cut to $1,000 a tn from $1,200.
* Imposes 12% ad valorem duty on retail sale of cement priced at 250
rupees per
50 kg bag or above. Earlier, cement priced above 250 rupees/bag
attracted a
specific duty of 600 rupees.
* Basic customs duty on pig iron, sponge iron, granules and powders,
ingots, billets, HR coils, CR coils, bars, rods and wires cut to nil
from 5%.
* Exempts import of TMT bars and structurals from 14% counterveiling
duty.
* Basic customs duty on metallurgical coke, ferro alloys and zinc cut
to
zero from 5%.
* Imposes 15% export duty on specified primary forms and semi-finished
products and HR coils and sheets.
* Imposes 10% export duty on specified rolled products including CR
coils,
sheets pipes and tubes.
* Imposes 5% export duty on galvanised steel in coil and sheet form.
* Customs duty on skimmed milk powder cut to 5% from 15% for a tariff
rate
quota of 10,000 tn per annum.
* Customs duty on butter oil cut to 30% from 40%.
* Customs duty on cut and polished coloured gemstones and rough
synthetic
gemstones reduced to zero from 5%.
* Basic customs duty on newsprint cut to 3% from 5%.
* Basic customs duty on tapioca starch raised to 50% from 30%.
* Exempts electric scooter, three-wheelers from excise duty.
* Exempts replaceable kits in water filters from excise duty.
.
DIRECT TAX
* Tax breaks for software tech parks under 10A of IT Act extended to
Mar 2010.
* Tax breaks for export units under 10B of IT Act extended till Mar
2010.
* To extend tax breaks under 80IB of IT Act to three under-
construction PSU
refineries if they start production by Mar 2012.
.
End
.