Drinking will also become expensive from tomorrow, as 100 percent agri infra cess has been imposed on alcohol beverages in the budget. This cess is applicable to all alcohol products brandy, whiskey and Scotch etc.
Finance Minister Nirmala Sitharaman has announced to implement the new Agri Infra Development Cess from yesterday itself. According to this, drinking alcohol will also become expensive from tomorrow, as 100 percent agri infra cess has been imposed on alcohol beverages in the budget. This cess is applicable to all alcohol products brandy, whiskey and Scotch etc.
The Finance Minister said that while applying this cess, we have taken care that the customers do not have to put too much burden. 100% cess will also be applicable to Fermentand Beverages. Finance Minister Nirmala Sitharaman said that the Agri Infra Development Cess will come into force on 2 February 2021. Agri infra cess 2.5 percent gold has also been levied on silver. 35% of agri cess is applied on apple, 5% of fertilizer.
Significantly, in the General Budget 2021-22, the government has increased its expenditure on health. Excise and import duties have been raised on many products to compensate for this expense. Apart from this, Agri Infra cess has been imposed on many things, which is being implemented only from 2 February 2021. The excise duty on gold and silver has been cut in the budget. It has been reduced from 12.5% to 7.5%. Also, excise duty on gold-silver biscuits has been reduced. In such a situation gold is likely to be cheaper. However, with this, the government has imposed an agri infra cess of 2.5 percent on gold and silver. With this, the prices of gold and silver are expected to rise on an immediate basis.
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The government has increased the custom duty on selected auto parts, cotton, raw silk, solar equipment in the budget. This is likely to make vehicles as well as other items more expensive. But at the same time the excise duty on steel has been reduced to 7.5 percent. The government has imposed 17.5% agricultural infra cess on crude palm oil, 20% cess on crude soybean and sunflower oil. Along with this, agricultural infra cess of 35% has been imposed on apples, 5% on special fertilizers and 1.5% on coal. Due to this, these items are also likely to be expensive.
