What the Budget does
Exemption from customs duty on specified parts of set top boxes and specified raw materials for use in the IT/ electronic hardware industry.
Reduction in customs duty on convergence products from 10% to 5%.
No change in the corporate income tax rates.
No change in the rate of surcharge and dividend distribution tax.
Impact on sector
The exemption of customs duty will bring broadcasting equipment like set top boxes on par with rates applicable on telecom equipment and provide a fillip to the DTH industry that uses set top boxes.
It will also encourage domestic production of set top boxes.
Source:http://specials.rediff.com/money/2008/feb/29budsec1.htm
Exemption from customs duty on specified parts of set top boxes and specified raw materials for use in the IT/ electronic hardware industry.
Reduction in customs duty on convergence products from 10% to 5%.
No change in the corporate income tax rates.
No change in the rate of surcharge and dividend distribution tax.
Impact on sector
The exemption of customs duty will bring broadcasting equipment like set top boxes on par with rates applicable on telecom equipment and provide a fillip to the DTH industry that uses set top boxes.
It will also encourage domestic production of set top boxes.
Source:http://specials.rediff.com/money/2008/feb/29budsec1.htm
