From 1 April 2025, many significant changes are going to happen in India, which will directly affect the pockets and lifestyle of the common people. These changes include new tax rules, increase or decrease in prices of goods, and amendment of government policies. Budget 2025-26 presented by Finance Minister Nirmala Sitharaman has affected several areas, with electronics, automobiles, medicines, and textile.
In this article, we will know in detail what things will be expensive from April 1, which will be cheap, and what will be the effect of these changes on your life.
What is going to change?
New tax rules
The new income tax slab will be applicable from 1 April 2025. The government has increased the income tax exemption limit to provide relief to the middle class. Now there will be no tax on income of up to ₹ 12 lakh. In addition, standard cuts have been increased to ₹ 75,000.
Income tax slabs and rates
| Income limit | New tax rate (%) |
| 0 – ₹ 4 million | No tax |
| ₹ 4 Lakh – ₹ 8 Lakh | 5% |
| ₹ 8 Lakh – ₹ 12 Lakh | 10% |
| ₹ 12 Lakh – ₹ 16 Lakh | 15% |
| ₹ 16 Lakh – ₹ 20 Lakh | 20% |
| ₹ 20 Lakh – ₹ 24 Lakh | 25% |
| Over ₹ 24 lakh | 30% |
What will increase the price?
Electronics
- Interactive flat panel display (IFPD): Basic Custom Duty (BCD) has been increased from 10% to 20%.
- Knitted Fabrics: Clothing prices will increase due to increase in import duty on textile industry.
Automobile
Cars prices are also going to increase in India. Major auto manufacturers such as Maruti Suzuki, Hyundai, Tata Motors and Mahindra have decided to increase prices due to increase in production costs.
- Maruti Suzuki: ₹ 15,000 – increased to ₹ 35,0
- Hyundai: ₹ 20,000 – increase to ₹ 50,000.
- Mahindra: ₹ 15,000 – increase to ₹ 45,000.
plastic products
Custom duty on non-biodegradable plastic has been increased by up to 25%. This will make plastic products expensive.
What will be cheap?
Medicines and medical equipment
- Custom duty on 36 life -saving cancer medicines has been completely abolished.
- Custom duty on other essential medicines will be only 5%.
Battery manufacture and EV components
- Custom duty has been removed at crotical minerals such as lithium ion battery scrap and cobalt powder.
Mobile phone battery
Many devices used for mobile phone battery manufacture have been freed from custom duty. This is expected to reduce the prices of mobile phones.
Textile machinery
Custom duty on two new types of textile machinery has been abolished.
Summary of main changes (table)
| Cheap items | Expensive items |
| Life saving medicines | Interactive flat panel display |
| EV Battery and Critical Minerals | Knitted Fabrics |
| Mobile phone battery | Non-biodigradeble plastic |
| Textile machinery | Automobile (Car) |
Effect of these changes
- The general public will get relief on some essential commodities such as medicines and electric vehicle batteries.
- On the other hand, products such as electronics and automobiles can be expensive, which will affect the pockets of consumers.
- The new tax rules will give relief to the middle class but the higher income group will have to pay more tax.
conclusion
These changes, which come into force from 1 April 2025, have been designed to speed up India’s economic growth. Although some items are expensive, consumers may face some problems, cheap medicines and technology -based products reflect the government’s “developed India” policy.
Disclaimer
This article has been prepared on the basis of budget announcements and official reports. Real effects can change in consumer market according to demand and supply.
