Mobiles to cost more

theserpent

Firecracker to the moon
Mobile phones are set to become costlier with Finance Minister P Chidambaram raising excise duty to 6% on handsets priced above Rs 2,000 in Budget 2013-14.

"About 70% of imported mobile phones and about 60 percent of domestically manufactured mobile phones are priced at Rs 2,000 or below," the Finance Minister said in his Budgetary speech.

Mobile phones enjoy a concessional excise duty of 1%.

"I do not propose to change that in the case of low priced mobile phones. However, on mobile phones priced at more than Rs 2,000, I propose to raise the duty to 6%," Chidambaram said.

Reacting to the proposal, domestic handset maker Lava said in the short term, all players would have to increase prices.

"The mobile phone segment is very competitive. But we have no option but to increase prices. It is a hard Budget for the mobile phone segment," Lava Founder and Director S N Rai said.


Mobile phones above Rs 2,000 set to cost more | Business Standard
 

Vignesh B

Youngling
"About 70% of imported mobile phones and about 60 percent of domestically manufactured mobile phones are priced at Rs 2,000 or below," the Finance Minister said in his Budgetary speech.
I don't know why, but this statement looks quite silly. Personally I feel the percentage is highly exaggerated. Maybe am wrong.
 

sujoyp

Grand Master
no I think the statement may be possible...whats wrong in that...most people in India are still poor

but 6% rise means the total cost may be increased by 800-1k of most phones
 

anirbandd

Conversation Architect
one way of importing gadgets/electronic stuff is through relatives abroad...

ask them to unpack the stuff and make it look like its in use. customs dont charge for in use electronic stuff.

but if you dont have relatives abroad, :p
 

tkin

Back to school!!
Free wifi in trains? That's a bunch of bullcr@p, remember the time when they said they'll put telephone booths in trains? The money will be allocated and the lions share will change hands, only a handful trains will get a cheap chinese router which won't be able to handle even 50 devices, and connections will drop out every sec, forget the speed. Its a decision to prevent the backlash from increasing mobile prices.
 

pratyush997

Inactive
Free wifi in trains? That's a bunch of bullcr@p, remember the time when they said they'll put telephone booths in trains? The money will be allocated and the lions share will change hands, only a handful trains will get a cheap chinese router which won't be able to handle even 50 devices, and connections will drop out every sec, forget the speed. Its a decision to prevent the backlash from increasing mobile prices.
and when complained
Server Down hai, saarrr
 

d6bmg

BMG ftw!!
"About 70% of imported mobile phones and about 60 percent of domestically manufactured mobile phones are priced at Rs 2,000 or below,"

Really? WHat's the price of the mobile in your pocket, Mr. Ministers?
 

Nipun

Whompy Whomperson
I don't know how it is wrong. It is just like a luxury tax. All phones under 2k can perform all functions you want from a phone, ie messaging, calling, alarms etc. If you want to play games or watch movies on it, it is a luxury and taxes are justified. Either this or companies should manufacture phones here, generating employment. With this increase in tax, a 30k phone will cost around 31.5k. I'm quite sure if you can pay 30k, you can stretch by 1.5k.
 

tkin

Back to school!!
I don't know how it is wrong. It is just like a luxury tax. All phones under 2k can perform all functions you want from a phone, ie messaging, calling, alarms etc. If you want to play games or watch movies on it, it is a luxury and taxes are justified. Either this or companies should manufacture phones here, generating employment. With this increase in tax, a 30k phone will cost around 31.5k. I'm quite sure if you can pay 30k, you can stretch by 1.5k.
Fine, then put luxury tax on everything, you can live by eating dal roti, so lets tax any food except the bare necessities, you can use a 4k digicam to take pictures, lets tax the others more, you can wear cheap clothes, lets tax raymonds more, you can live in a small home, lets tax the costlier homes more. See the problem?
 
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