1.  BUDGET 2015 INDIRECT TAXES © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77

2.  The service tax rate increased to 14% from 12.36% (with no EC\SHEC) applicable from date to be notified. Further the govt may impose a Swachh bharat cess (date to be notified) on all or certain taxable services @ 2% of the value of such taxable services.  Service tax exemption on services provided by MF agents or distributor of AMCs i.e Service tax in respect of mutual fund agents and mutual fund distributors services shall be paid by AMC or, as the case may be, by the mutual fund receiving such services and it also include lottery agent (reverse charge mechanism).  GST to be introduced from APRIL 1, 2016 with rate of 16% or more. © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77

3. EXCEPTIONS TO NEGATIVE LIST  Access to amusement facility.  Admission to entertainment event of concerts,non recognised sporting events,pageants music concerts and award functions if the amt charged is above Rs 500.  Carrying out of processes such as job work for production or manufacture of alcoholic liquor for human consumption.  Service provided by govt to business entities,unless specifically exempt shall become taxable (only once this is amended). © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77

4.  Excise duty rounded off to 12.5% from 12.36% (with no EC\SHEC).  Tariff rate of excise duty in goods falling under Chapter sub-heading 2523 29 (WHICH IS ON CEMENT) is being increased from Rs 900 per tonne to 1,000 per tonne. © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77

5.  Excise duty on cigarettes hiked by 25 percent for cigarettes of length not exceeding 65 mm.  Excise duty hiked by 15 percent for cigarettes of other lengths.  Duties brought down on Leather footwears costing above Rs 1000 to 6% from 12%.  Excise duty is restructured on certain goods such as wafers for use in the manufacture of integrated circuit (IC) modules for smart cards from 12 percent to 6 percent, inputs for use in the manufacture of LED lamps from 12 percent to 6 percent, specified raw materials for use in the manufacture of pacemakers to nil, solar water heater and system from 12.5 percent to nil and Tablet computers from 12 percent to 2 percent. © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77

6.  Customs duty on commercial vehicles increased to 40 percent from the current 10 percent.Duty on imported commercial vehicles has been hiked to 20 per cent from 10 per cent earlier.  Custom duty on 22 items reduced (To be notified).  Customs duties on certain inputs like metal parts, insulated wires and cables, refrigerators compressor parts, compounds used in catalytic converters, sulphuric acid for use in manufacture of fertilizers and compounds of video cameras have been reduced. © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77

7.  Basic customs duty is being reduced on certain raw materials used in lathe machines from 7.5 percent, to 2.5 percent, medical video endoscopes from 5 percent to 2.5 percent, telecommunication grade optical fiber cables from7.5 percent to nil and LCD/LED TV panels from 10 percent to nil.  CVD and SAD are being fully exempted on specified raw materials for use in the manufacture of pacemakers.  SAD is reduced in metal scrap of iron and steel, copper, brass and aluminum from 4 percent to 2 percent to address problem of CENVAT credit accumulation. © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77

8.  For inputs for use in the manufacture of LED driver and MCPCB for LED lights, fixture and LED lamps SAD is reduced from 4 percent to nil.  Basic customs duty is increased for metallurgical coke. © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77

9.  Import tax on iron and steel increased to 15 percent from 10 percent.  Import tax on metallurgical coke increased to 5 percent from 2.5 percent. © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77

10. EXPENSIVE ITEMSCHEAPER ITEMS Cigarettes and other tobacco products Leather footwear priced above Rs 1,000 per pair Completely built imported commercial vehicles Mobile phones, LED/LCD panels, LED lights and LED Lamps CementSolar Water heater Aerated, flavoured drinks and packaged water Pacemakers, ambulance and ambulance services Plastic bags and sacksTablet computers Business and executive class air travel Agarbattis Visit to amusement and theme park Microwave ovens,Refrigerator compressor Music concertsPeanut butter, packaged fruits and vegetables Lottery, Liquor, chit fundVisit to museums, zoos and national parks SUMMARYSUMMARY © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77

11. Thank-You © SUTARIA ASSOCIATES, CHARTERED ACCOUNTANTS 23, Satyam Shopping Centre, 2nd Floor, M.G Road, Ghatkopar (E), Mumbai - 77