It appears that Industries are now recovering from a deep anxious economic downturns. Industry Incorporations have stuck their eyes on forthcoming Union Budget, but what is going to be presented is still in the question bank. Many are in believes that Service Tax as well as Excise duties levied on various goods likely to go up by two percent.

Another important aspect, coming Union Budget has prepared road map for execution of pre-proposed Dual Goods and Service Tax (GST) that could harmonize the national financial system. 

Finance Minister Pranab Mukherjee will present Budget 2010-2011 on February 26, 2010. However, Reducing Fiscal deficits and expenditures as well as increasing Tax revenues are Government’s main objectives it is yet not known that what reforms will be shown in Indirect Taxation.  Implementation of the GST is delayed by reasons of numerous issues, but it is hopefully expected to come into the function this year. 

Service providers considered that forthcoming Union Budget can solve many existing issues to execute the GST, and thus can control the prevailing inflation by minimizing the costs of goods and services.  But the recent signal showing rise of Service Tax rate from current 10 percent to coming 12 percent have created an atmosphere of worries.  This would entail a mount in the cost of more than hundred services that could likely to impact areas such as beauty salons, health and fitness clubs and rent-a-car services.