Duty-free import of high-end TVs banned

In its continuing bid to rein in CAD, government today banned duty-free import of high-end flat screen plasma television, which will now attract a levy of 36.05 per cent.
Seeking to end more than a decade-old concession, the Revenue Department issued a notification that amended rules so as to "disallow import of flat panel (LCD/LED/Plasma) television as part of free baggage allowance" with effect from August 26. The notification was tabled in Parliament today.
This would mean travellers bringing in LCD/LED/Plasma TV as part of baggage from August 26 would have to pay customs duty at the rate of 35 per cent, plus an education cess of 3 per cent on it. The effective rate of import duty would be 36.05 per cent.

As the Current Account Deficit (CAD) continued to swell at high proportions in the first four months on the back of surging gold imports, the government last week raised duty on gold, platinum and silver to 10 per cent.
Finance Minister P Chidambaram had also said that steps would be taken to compress import of non-essential goods.
The value of rupee touched all-time low of 63.30 to a dollar in the afternoon trade today.
Import of gold went up by a huge 87 per cent from 205 tonnes in April-July 2012 to 383 tonnes during the corresponding period this year. In value terms, the increase was 68 per cent from Rs 56,488 crore to Rs 95,092 crore.

In the case of silver, import during April-July 2013 was valued at Rs 12,789 crore in comparison with Rs 4,281 crore during the corresponding period year ago, registering a 200 per cent increase.