Union Finance Minister Nirmala Sitharaman offered her ninth consecutive Union Funds on Sunday, February 1, for the 2026-27 fiscal 12 months.
From overseas journeys to umbrellas, right here is every little thing that grew to become cheaper and dearer this Funds.
“My proposals for Customs and Central Excise purpose to additional simplify the tariff construction, assist home manufacturing, promote export competitiveness, and proper inversion in responsibility,” Nirmala Sitharaman stated throughout her handle to Parliament.
Here’s what received cheaper as a result of 2026-27 Funds:
Important medicine
Moreover, seven uncommon illnesses have been added for the aim of exemption from import duties on private imports of medication, medicines, and Meals for Particular Medical Functions (FSMP) used of their therapy.
Abroad tourism packages
Abroad tour programme packages, together with bills for journey or lodge keep or boarding, lodging, or any comparable or associated expenditure, noticed a tax collected at supply (TCS) discount from 5% on quantities aggregating as much as ₹10 lakh and 20% on quantities exceeding ₹10 lakh to 2%.
International schooling
Some private use imported items
In a bid to rationalise the customs responsibility construction for items imported for private use, the tariff charge on all dutiable items imported for private use was lowered from 20% to 10%.
Seafood processing inputs
The Finance Minister proposed to extend the restrict for duty-free imports of specified inputs used for processing seafood merchandise for export, from the present 1% to three% of the FOB (free on board) worth of the earlier 12 months’s export turnover.
Leather-based or artificial footwear inputs
“I additionally suggest to permit duty-free imports of specified inputs, which is at the moment obtainable for exports of leather-based or artificial footwear, to exports of Shoe Uppers as nicely,” the Finance Minister said.
Biogas blended CNG
The Finance Minister proposed to exclude the complete worth of biogas whereas calculating the Central Excise responsibility payable on biogas-blended CNG.
Tendu leaves
The TCS on the sale of tendu leaves was lowered from 5% to 2%.
Capital items for essential minerals
The import of capital items required for the processing of essential minerals in India was given a fundamental customs responsibility exemption.
Plane components
The fundamental customs responsibility on parts and components required for the manufacture of civilian, coaching, and different plane.
It additionally proposed to exempt fundamental customs responsibility on uncooked supplies imported for the manufacture of components of plane for use in upkeep, restore, or overhaul necessities by models within the defence sector.
Microwave components
“To deepen worth addition within the shopper electronics sector,” the FM proposed to exempt fundamental customs responsibility on specified components used within the manufacture of microwave ovens.
Lithium-Ion Cells for Battery Power Storage Techniques
The fundamental customs responsibility (BCD) exemption given to capital items used for manufacturing Lithium-Ion Cells for batteries was prolonged to these used for manufacturing Lithium-Ion Cells for battery power storage methods.
Here’s what received costlier this Funds:
Alcohol
The TCS on the sale of liquor for human consumption, together with scrap and minerals, was elevated from 1% to 2%.
Objects with negligible imports
“To proceed hunting down lengthy persevering with customs responsibility exemptions, I suggest to take away sure exemptions on objects that are being manufactured in India or the place the imports are negligible,” the Finance Minister stated.
Futures and choices buying and selling
Umbrella and its components
Umbrellas, excluding backyard umbrellas, will appeal to a customs responsibility of 20% or ₹60 per piece (whichever is increased), from the sooner 20%. Moreover, the customs responsibility on its components, trimmings and equipment was elevated to 10% or ₹25 per kg (whichever is increased), in comparison with 10% earlier.
