Union Finance Minister Nirmala Sitharaman, during her presentation of the Union Budget 2025, declared significant relief for salaried individuals by stating that individuals earning up to Rs 12 lakh would not have to pay any income tax.
However, that’s not all; she additionally declared reductions in customs rates for specific items such as mobile phones, chargers, and a few cancer medications.
It has also been announced that customs duties on gold and silver will be reduced to 6 percent, and those on platinum will be lowered to 6.4 percent. The Finance Minister also suggested eliminating the basic customs duty (BCD) on ferronickel and blister copper.
After Union Budget 2025 is presented, here’s what gets cheaper and what gets expensive:
What gets cheaper
- Cancer and chronic disease medications: 36 essential drugs entirely exempt from basic customs duties.
- Electronic products: The FM declared a cut in BCD (basic customs duty) to 5 percent for open cells and various components.
- Cobalt powder, waste and scrap from lithium-ion batteries, as well as lead, zinc, and 12 additional critical minerals are exempt from Basic Customs Duty (BCD).
- EVs: 35 more items for EV battery production and 28 more items for mobile phone battery production will be included in the exempted capital goods list.
- Leather jacket, shoes, belt, purse
What gets expensive
- Flat Panel Displays: BCD rose from 10% to 20%, affecting televisions and mobile devices.
- Social Welfare Surcharge: Exemption lifted on 82 tariff lines presently subjected to cess.
