India Up Duty & Tax on High-end Consumer Goods

 
Reportedly, in India's new fiscal plan issued on February 28, the authority has formulated substantial increases in import duties and consumption tax on sport utility vehicles, high-end cellphones, yachts, and the like generally favored by the rich people.

For the new fiscal year, India raises the SUV consumption tax rate from 27% to 30%; consequently, the duties on import cars are also heightened: the 100% rate instead of previous 75% is put on the gasoline cars with more than 3L displacement or diesel cars of more than 2.5L displacement, which are priced at more than USD 40,000 each.

The duty rate on yacht is 25% now, replacing 10% last year.

However, good are also provided for the consumers. For example, branded ready-made garments will be exempted from the consumption tax and therefore be priced much lower; import gemstones are subject to 2% duty rate down from 10%, leading to lower prices on jewelry products.