Money Notes

• Poor batteries: Motorola C350HK and Philips Fisio 826

• Lightest phone: Panasonic EB-GD HK (63 g), Siemens SL 55 (77 g), Nokia 6100 (77 g), Motorola C 350 (HK Version) (82 g), Nokia 3100 (85 g)

• Heaviest phone: Nokia 3650 (134 g), Nokia 3530 (108 g)

• Shock-resistant and sturdy: Nokia 5100

• Delicate phone: Nokia 6800, Philips Fisio 826, Philips Fisio 625 (Hong Kong version)

Pre-budget buzz
The pre-budget guesswork has begun. Will the Finance Minister increase taxes, will he slash rebates, will the small savings rates be reduced? The buzz is that though the small savings rate is due for a cut, it may not happen or may be small in magnitude. Small savings instruments like the Post Office deposits, the PPF and the National Saving Certificate are risk-free instruments assured by the Government of India. The rates of return on these have remained much above the deposit rates as these are politically sensitive and have not been touched for some time now. As we have been advising, lock into the longest term instrument like the NSC, the Monthly Income Scheme or the Recurring Deposit now.

The next area of change is likely to be taxes and the buzz is that the tax slabs may widen from the current tight-fit slabs. If the Kelkar Report is implemented then the 30 per cent bracket will begin from a gross annual income of Rs 4 lakh, instead of the current Rs 1.5 lakh. Keep the fingers crossed on this one. The tax payer is likely to see a reduction in the number of deductions and exemptions available to her this year. A short term problem, the long term impact of removing these confusing deductions and exemptions will be positive on the tax-payer as it will simplify the entire process. The Government is unlikely to tinker with the interest exemption from taxable income on home loans. At least not this year.