GST Council not planning to raise tax slab from 5% to 8%, says Centre

Apr 18, 2022
GST Council not planning to raise tax slab from 5% to 8%, says Centre

In response to authorities sources, the Group of Ministers has nonetheless not ready its report on price rationalisation and it’s but to be submitted to the council. The date for subsequent meet isn’t set as a result of finance minister Nirmala Sitharaman, who’s the chairperson of the GST council, is presently in the US on an official go to.

The Narendra Modi authorities on Monday categorically denied media experiences pertaining to the Items and Companies Tax (GST Council) planning to lift the tax slab from 5 per cent to eight per cent. Sources within the Modi authorities dismissed the information as speculative and having no fact in it. 

At current, the GST has a four-tier slab construction of 5, 12, 18 and 28 per cent. The gold and gold jewelry appeal to three per cent tax. 

There have been media experiences that the council might prune the record of exempt gadgets by shifting a number of the non-food gadgets to 3 per cent slab. Final yr, the GST Council had fashioned a Group of Ministers headed by Karnataka chief minister Basavaraj Bommai on price rationalisation. The panel included West Bengal finance minister Amit Mitra, Kerala finance minister KN Balagopal and Bihar deputy chief minister Tarkishore Prasad.

In response to authorities sources, the Group of Ministers has nonetheless not ready its report on price rationalisation and it’s but to be submitted to the council. Additionally, the date for subsequent assembly can be not set as a result of finance minister Nirmala Sitharaman, who’s the chairperson of the GST council, is presently in the US to attend IMF and G20 conferences. The final GST council assembly was held on December 31 final yr. 

Important gadgets are both exempted or taxed on the lowest slab of 5%, whereas luxurious and demerit gadgets appeal to the very best tax price of 28%. On the highest of the very best slab, a cess is levied on luxurious and demerit items.


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