Customs Duty On Raw Silk Cut To 5%.

FM Pranab Mukherjee reduced basic customs duty on raw silk from 30% to 5% boost domestic availability for weavers, both in handloom and powerloom segment. There was also relief for 130 items which the government plans to bring under the ambit of central excise with the Mukherjee deciding to make the rules simpler.

FM decided to allow more local companies with overseas arms to be eligible for payment of lower tax on dividends. In the Budget, the government had proposed to halve the tax rate to 15% on dividends received from foreign subsidiaries in which the Indian company holds over 50% stake. Now, the threshold shareholding is proposed to be lowered to 26%. The move was aimed at getting these subsidiaries to repatriate a larger share of profits to India . There were sops for the New Pension Scheme with FM allowing deduction to employer's contribution to a pension scheme on account of an employee.

Source : timesofindia.indiatimes.com