GST Council Meeting to commence today; what's on the agenda?
&imwidth=600&imheight=450&format=webp&quality=medium "GST Council Meeting to commence today; what's on the agenda?")
Union Finance Minister Nirmala Sitharaman Photograph: (ANI file)
GST Council meeting begins today: The GST Council, the highest decision-making body in matters about GST, will meet for two days. Here's what is on the agenda.
Weeks after the Centre proposed Goods and Services Tax reforms, the GST Council is set to meet in the national capital on Wednesday. The government has proposed that the 28 per cent and 12 per cent GST slabs be abolished and most of the items in these categories be moved to the 5 per cent and 18 per cent slabs, reducing the GST burden on consumers.
What's on the agenda of the GST Council?
The GST Council, the highest decision-making body in matters about GST, will meet for two days and is likely to discussthe rate rationalisation issues.
The states are likely to discuss with the Centre the issue of loss of revenue due to the government's GST rationalisation plan.
The Group of Ministers has approved the government's plan to lower GST on a majority of items to 28 per cent and 12 per cent slabs.
The Centre's proposal entails moving all items, excluding sin goods, to the 18 per cent slab. These sin goods will be taxed at 40 per cent.
Trending Stories
)
)
&im=FitAndFill=(700,400))
)
)
)
)
)
)
)
)
)
)
)
)
)
)
)
)
&im=FitAndFill=(700,400))
)
&im=FitAndFill=(700,400))
&im=FitAndFill=(700,400))
)
)
&im=FitAndFill=(700,400))
&im=FitAndFill=(700,400))
)
)
)
Around 175 items can see a reduction in GST rates, including electronics, ACs, refrigerators and cars.
The Council is also likely to discuss a short-term compensation mechanism for states, which will lose revenue due to rate cuts, reported Money Control.
The Centre has proposed that 99 per cent of the items in the 12 per cent slab are proposed to be moved to the 5 per cent slab.
Prime Minister Narendra Modi announced during his Independence Day Speech that people were going to get a very big gift on Diwali.
On Tuesday, Union Finance Minister Nirmala Sitharaman said that the upcoming next-generation Goods and Services Tax (GST) reforms will further simplify tax processes. She also said these reforms will be discussed at the meeting.
“The Prime Minister has recently announced the creation of a task force for next-generation reforms with a clear mandate to simplify regulations, lower compliance costs, and build a more enabling ecosystem for startups, MSMEs, and entrepreneurs. Complementing this is the planned rollout of the next generation of GST reforms with a council meeting tomorrow and the day after,” Sitharaman said.