Union Budget 2026: Smartphones get cheaper, cigarettes and alcohol to cost more

Finance Minister Nirmala Sitharaman outlined the governmentrsquos expenditure and taxation plans in the Union Budget 2026 on Sunday highlighting measures that will directly affect the daily lives of citizens and businesses across IndiaAlthough the headline focuses on unchanged income tax slabs several Finance Ministry announcements are set to directly affect the daily lives of students employees businesses and citizens in generalCheck LIVE Budget Updates hereWhile income tax slabs remain unchanged up to Rs 12 lakh per annum several indirect taxes on everyday goods and services are set to change from April 1 2026Smartphones to get cheaper in IndiaSitharaman while presenting her ninth consecutive budget stated the government will offer support for electronics manufacturing with increased funding of around Rs 40000 crore She also said that they plan to rationalise taxes on phone components to build India as a tech hub This is likely to bring down the costs of smartphones tablets and mobile accessories in the long runCigarettes and alcohol to get expensiveWhile the Union Budget 2026 mostly focused on healthcare energy electronics and technology tobacco and alcohol are set to get more expensive from April 1 2026 The government has imposed new excise duties and higher taxes on cigarettes and other tobacco products effective April 1 2026 Cigarettes will attract higher excise duties in addition to the goods and services tax GST ultimately making them expensiveWhile alcoholic beverages will continue to be taxed by state governments the Central and state excise duty on liquor has been increased which will make the effective selling price comparatively expensive from the upcoming financial yearSports equipment to get cheaperWith Sitharaman announcing the extension of the lsquoKhelo India Missionrsquo for 10 more years to boost sports infrastructure sports equipment may become cheaper in the upcoming financial year Reduced customs duties could make imported sports goods available at slightly lower pricesFutures and options trading to be taxed heavilySitharaman while speaking about share market trading announced an increase in Security Transaction Tax STT on Futures and Options FampO transactionsThe Security Transaction Tax STT on futures will increase by 150 per cent from 002 per cent to 005 per cent while STT on options transactions will rise by 50 per cent from 010 per cent to 015 per centExpert opinionSahil Sonawat CFA CA who works as an analyst at a financial advisory firm Kroll emphasises The Union Budget 2026 presents a structural pivot balancing an aggressive Rs 122 lakh crore capex 44 per cent of GDP with a disciplined fiscal deficit glide path to 43 per centExpressing his views on taxation hike on FampO trades and Indias Semiconductor Mission 20 he added By scaling the India Semiconductor Mission 20 and hiking STT on FampO trades the Finance Bill strategically prioritises longterm industrial Trumpproofing over speculative retail volatility For investors this creates a highquality riskoff environment trading shortterm derivative liquidity for a more stable infrastructureled equity growth storyUnion Budget 2026 What gets cheaper what gets costlierCheaperCancer drugsTV equipmentLeather goodsCamerasFootwearLiquor scrap empty bottles expired productsForeign educationOverseas tour packagesImports of goods for nuclear power projects till 2035Video gamesrsquo manufacturing partsEnergy transition equipmentMicrowave ovensCostlierCoffee and vending machinesIncome tax misreporting Penalty equal to 100 per cent of the tax amountNondisclosure of movable assetsStock options and futures tradingCoal