BUDGET ANALYSIS

Healthcare: To benefit from extension of 5% customs duty on all medical equipment  

Gem & Jewellery: To benefit from cut in customs duty on rhodium

Capital Goods: Inverted duty structure unaddressed

Iron Ore: No direct impact 

Retail: Can breathe easy on lower personal taxes at the time of higher inflation

Banks: New Private Sector players set to be allowed

Corporate Taxation: Mixed bag for corporates as MAT increases and surcharge decreases

Personal Taxation: Lower tax burden

Infrastructure: Hike in MAT to hurt infra developer's bottom line

Pharmaceuticals: Formulations escape from excise duty hike!

Computer – Education: Plan outlay for education increased

Union Budget Review: Fiscal deficit depends on growth in tax revenues, divestment target

GDP: Growth below market expectations at 6.0% for the quarter ended December 2009

Plastic Products: To benefit select players

Cement Products: Emphasis of rural development will help the industry grow faster 

Chemicals: Side stepped

Dyes and pigments: Turns dull on being ignored

Sugar: No direct impact from budget

Chlor alkalies: Slight negative impact for soda ash producers on clean energy cess on coal

Computer Hardware: Increase in excise duty to have impact

Entertainment: To benefit from Project import status to set up of digital head-ends

Refineries: Gross refinery margins set to improve

Paper: Sidestepped totally, except for stand alone corrugated paperboard manufacturers

Telecom Services: No material impact of Budget

Textiles: Budget largely sidelines textiles, but benefits select apparel and processing players

Steel: Strong thrust on infrastructure, but marginally dented by hike in excise duties

Fertilizers: NBS will also leave way for direct cash subsidy to farmers in due course

Natural Gas: Fails to clarify tax breaks under Sec 80-IB on NG produced under NELP I-VIII

Auto: Excise duty hiked by 2%, but cut in effective personal taxes to boost affordability

Oil drilling and Allied services: Crude oil producers benefit from 5% customs duty

FMCG: Cut in personal taxes, increased allocation for NREGA to power demand growth

Civil Aviation: Impacted by service tax on domestic travel and increase in ATF prices

Real Estate: Service Tax burden pulls of the gains

Power: Cost of mega power projects not awarded through ICB will come down

Non-Ferrous Metals: Increase in Excise Duty to marginally impact the demand

Cement: Specific excise duty hike to haunt from July 2010

Hotels: More room for profits

Union Budget 2010-11: Deft balancing of fiscal deficit, with surprise on personal tax front