In a speech in the Lok Sabha on Thursday, the finance minister said that the actual tax collections had exceeded both the Budget, as well as the revised estimates for the first time, reports CNBC-TV18.

The tax collections exceeding the Budget have resulted in estimates being revised for the first time. The FM has decided to keep tax rates stable and moderate it so that it is conducive for growth.

He said that the double taxation treaty with Mauritius needed to be reviewed via a consultative process. Meanwhile, the excise mop-up growth was low as a result of tax evasion, as well as exemptions.

As far as the security-transaction tax was concerned, the FM felt that there was no prudence to raise it this year.

The Parliament will discuss inflation as well as related issues next week. Parliament will discuss inflation as part of a special discussion next week.

He noted that pricing power had returned in the manufacturing sector, especially for those who were in the cement sector. There would be a concessional duty of Rs350 per tonne for cement sold under Rs 190 per bag.

Also, the advolorem duty for cement sold above Rs190 per bag would now be 12 per cent, which in turn will reduce the excise burden by Rs7 per bag. The FM plans to replace the dual duty on cement.

The FM proposed bringing down duty on iron-ore with Fe content less than 62% to Rs50 per tonne.

And customs duty on cut and finished diamonds would be reduced to 0 per cent.

There is good news for venture capitalists, or VC. Those VCs who make investments in the infrastructure sector would get a pass through status.

So as to make income tax computation easier the FM has proposed making changes in HRA computing. The fair market value of Esop would be the date of vesting of options.