5% service tax has been canceled for Healthcare

Finance Minister Pranab Mukherjee withdrawn service tax for Healthcare by 5% and after that the 2011-12 finance bill was passed by Parliament. Mukherjee reformed tax proposal on Readymade Garment, Dividend tax, Personal computer, Printer, Mobile and Automobile parts but he continued the taxes on SEZ units and Developers put under the umbrella of MAT with 18.5% tax. Finance minister exempted tax on Coke which is use to produce Iron and Steel. He also reduced duty on Automobile Ancillary like Transmission assembly, Gear box and Re-assemble engine CKD kits. In regards to computer industry, he disclosed some relief like concession of 5% on Countervailing Duty CVD (A duty imposed to offset subsidies by foreign governments) and 0% on Special Additional Duty (SAD), for import of computer parts.