The final Union Budget 2024-25 is set to be presented on July 23. The interim budget for 24-2025 was launched in February, and now India is expecting some changes in the final budget, according to reports.
According to the officials, the centre might propose changes in the customs rules to remove heavy anomalies, retain certain exceptions, and improve compliance. These crucial measures can boost domestic manufacturing, enable hassle-free and appropriate compliance, and curb tax leakages.
The ease of the tax may be seen in the products that are inputs for electronics, copper tubes and pipes, ferroalloys, textile staple fibres, and certain chemical preparations. The government has prepared a list of products subject to lower import duty, which will be presented by Nirmala Sitharaman on July 23 at 11 A.M.
The upcoming budget might not favour some items, such as furniture, jewellery, petrochemicals, and medical equipment. However, the officials have not provided clear information. Once the budget 2024-25 is finalised, a clear announcement will be made.
The official also indicated that India has rolled out some measures to encourage local manufacturing, such as production-linked incentives (PLI) schemes, higher import tariffs and closer monitoring of goods imported into India.
“The customs duty structure has been impacted for a number of products on account of exemptions, free trade agreements and interventions at all stages,” said Bipin Sapra, partner, EY India. “The inverted duty so created discourages Make in India, and an urgent sectoral review is needed to prevent this from happening.”
Now, wait for the final budget 2025 to see what changes are made to the interim budget 2025.
