Union Budget 2011- The Good and The Bad

The Good

Excise duty to be reduced from 10% to 5% on parts of specified machinery.

Surcharge for companies cut to 5 per cent, from 7.5 per cent.

Citizens over 80 years to have exemption limit of Rs 5 lakh.

Special incentives for hybrid vehicle makers if manufacturing done in India to be positive for auto companies.

Crude palm used in sports exempted from customs duty to be positive for palm oil companies.

Duty reduced on hybrid & electric cars along with batteries imported for such vehicles.

Senior Citizen Age Limit reduced from 65 years to 60 years for Income Tax purposes.

Naina Lal Kidwai: The green orientation of the budget is a welcome positive.

Basic customs duty on agricultural machinery reduced to 4.5 per cent from 5 per cent.

Uday Kotak: Direct investment in Indian Mutual Funds by any foreigner is a big move.

Uday Kotak: MFs allowed to raise money from foreign investors is pathbreaking.

Uday Kotak: Budget is positive for equity markets.

Uday Kotak: Lower fiscal deficit target is commendable.

No import duty on ship parts positive for SCI.

Tax exemption limit for senior citizens raised to Rs 2.5 lakh from 2.4 lakh.

Basic food and fuel and precious stones, gold and silver jewellery to be exempted from central excise duty.

Nominal 1 per cent central excise duty on 130 items entering the tax net.

LED to cost less.

Swaminathan: Government has cut many import duties to check inflation.

Swaminathan: No further rollback of 2008 stimulus.


The Bad:

AC restaurants serving liquor to come under service tax net.

Health Check-Ups in Private hospitals to become expensive.

EXPENSIVE: International Air Travel.

EXPENSIVE: Domestic Air Travel.

Tax on life insurance service providers could be negative for insurance companies.

Travel, Healthcare to become expensive due to increased service tax.

Lack of FDI in retail was a disappointment.

Nirmal Jain: New service tax to hurt companies in hospitality.

Hike in export duty on Iron Ore is a negative, says Motilal Oswal.

Air travel to cost more.

Branded clothes may cost more.

Rise in MAT to hurt RIL, GVK Power, telcos.

FY 11 fiscal deficit above estimates, negative, says Motilal Oswal.

Swaminathan: Divestment but no privatisation is timid.

Swaminathan A Aiyer: Doubled anganwaadi wages with a check on absenteeism not good.

So finally we know it all... Happy with the budget???