Finance Minister Nirmala Sitharaman on Monday tabled the Union Budget 2021 in Parliament. While Sitharaman kept the Income Tax slabs unchanged, she imposed an additional agriculture cess on petrol and diesel. However, the new cess will not have any impact on the price of these petroleum products for general consumers.
"An agriculture Infrastructure and Development Cess (AIDC) of Rs 2.5 per litre has been imposed on petrol and Rs 4 per litre on diesel. For other duties and cess, as revised, consequent to imposition of AIDC) on these items refer to part B. Overall there would be no additional burden on the consumer," the Budget document stated.
Sitharaman also proposed to impose import duty on components of mobile phones and chargers, to enhance local value addition.
The finance minister announced review of 400 exemptions in customs duty including those applicable on the mobile devices segment.
"For greater domestic value addition, we are withdrawing a few exemptions on part of chargers and sub-parts of mobiles. Further, some parts of mobile rate will move from nil rate to moderate 2.5 per cent," Sitharaman said in her Budget speech.