The Goods and Services Tax Council on Wednesday slashed tax rates for 23 commonly used items that have been reduced from 18 per cent to 12 and 5 per cent respectively, said Puducherry Chief Minister V Narayanasamy.The fresh rate rationalisation is the government’s attempt to streamline GST and make it more people-friendly. Many items including television, computers and auto parts will be cheaper now.GST Council Announcements – As It Happened:6:46 pm: It seems that the movie industry is extremely happy with today’s decision to reduce GST on cinema tickets.Commenting on the move, Prasoon Joshi, said, “It is a significant decision after the fruitful interaction of industry representatives with PM. It was reassuring that PM addressed important issues and challenges faced by the industry&took prompt action.ALSO READ | GST cut in real estate: Buying flats can become cheaper after January. This is why6:30 pm: Actor Anupam Kher welcomes slashed GST rates on movie tickets.”This is a historic day for Indian film industry that GST rates have been cut down from 18% to 12%. The credit for this move goes to Prime Minister Narendra Modi. Films not only entertain but also boost tourism,” he said.6:06 pm: Despite today’s reduction, many citizens do not seem happy about the GST Council’s stance on reducing tax slab for medical insurance. At present, a GST of 18 per cent is levied on medical insurance. However, many individuals on Twitter urged the government to move medical insurance below 18 per cent slab.Also Read: GST slashed on movie tickets. Akshay Kumar, Aamir Khan and Ajay Devgn thank PM Narendra Modiadvertisement5:55 pm: The Federation of Indian Chambers of Commerce and Industry (FICCI) welcomed GST Council’s move to revise rates of cinema tickets to 12 per cent and 18 per cent for tickets below INR 100 and over 100 respectively.Commenting on the development, FICCI Assistant Secretary General Leena Jaisani said, “The move will help boost the industry and bring back the audience to theatres.”5:51 pm: The GST Council has extended the due date for filing annual GST returns and GST audit to June 30, 2019. Today’s announcement came as a huge relief to small scale traders who have been urging the government for an extension.5:38 pm: Realty remains a concern for stakeholders. While Jaitley said concerns regarding the real estate sector will be addressed in the next meeting, it has left many stakeholders dissatisfied. Many finance ministers said earlier that there needs to be a consensus on GST towards Real Estate.Also SEE: 6 items moved out from 28 per cent GST tax slab5:28 pm: The fresh rate rationalisation will also provide firm support to the Narendra Modi-led government as it gears up to take on a united opposition in 2019. The government is likely to dole out additional benefits in the next GST council meeting in January.5:09 pm: The new rates effective January 1, 2019, will offer a huge relief to the common man. 33 items in total have been moved from 18 per cent tax slab to 12 per cent and 5 per cent. Read our story to find out the complete list of items 4:56 pm: Cinema ticket prices slashed, film industry cheers move. In an official release after the announcement of rate reduction, Producers Guild of India said, “The film industry welcomes wholeheartedly the decision to reduce GST on cinema tickets, exceeding Rs 100 to 18 per cent from 28 per cent and up to Rs 100 to 12 per cent from 18 per cent.”4:50 pm: What’s in it for the common man? The following items have been moved from 5 per cent to Nil tax slab. * Vegetables, (uncooked or cooked by steaming or boiling in water), frozen, branded and put in a unit container* Vegetable provisionally preserved (for example by sulphur dioxide gas, in brine, in sulphur water or in other preservative solutions), but unsuitable in that state for immediate consumption4:46 pm: GST on real estate to be decided in the next meeting scheduled in January 2019. “The Law Fitment Committee will take a view on GST on real estate in the next meeting. There is a consensus that something needs to be done on this,” he said.4:44 pm: FM Jaitley said the decisions taken today at the GST Council meeting in Delhi will have an overall impact on revenue of Rs 5,500 crore.”Today’s GST rate reduction will have an overall impact on revenue of Rs 5,500 crore,” the finance minister said.Finance Minister Arun Jaitley: Today’s GST rate reduction will have an overall impact on revenue of Rs 5500 crore. pic.twitter.com/w3sv5UOiatANI (@ANI) December 22, 20184: 41 pm: While addressing the media, Finance Minister Arun Jaitley said the GST Council approved the proposal to form a 7-member Group of Minister (GoM) to study revenue trends and analyse the reasons for structural patterns affecting the revenue collection in some of the states.advertisement”The study would include the underlying reasons for deviation from the revenue collection targets vis a vis original assumptions discussed during the design of GST system, its implementation and related structural issues,” he added.According to a release on PIB, the GoM will be assisted by a committee of experts from the central government, state governments and the National Institute of Public Finance and Planning (NIPFP).”The GoM, in turn, would give its recommendation to the GST Council. The members of the GoM and the Committee of experts would be announced in due course of time,” it added.4:39 pm: The new Goods and Services Tax rates will be applicable from January 1, 2019. The move is a major relief for citizens and small scale businesses who had been demanding rate rationalisation for quite a long time.4:35 pm: Here are some of the items that have been reduced from 28 per cent to 18 per cent: Pulleys, transmission shafts, and cranks, gear boxesMonitors and TVs of up to screen size of 32 inches.Re-treaded or used pneumatic rubber tyresPower banks of lithium-ion batteriesLithium-ion batteries are already at 18 per centVideo game consoles and other games and sports requisites”This will bring parity in GST rate of power bank and lithium ion battery.Digital cameras and video camera recorders,” said FM Jaitley.4:33 pm: The finance minister said services by the banks to Jan Dhan account holders will be exempted for paying any Goods and Services Tax.4:31 pm: Finance Minister Arun Jaitley attacks Congress president Rahul Gandhi. “Rahul Gandhi has been advocating a single slab GST for India. It is a flawed idea. A single slab GST can function only in those countries where the entire population has a similar and a higher level of paying capacity,” he said.Rahul Gandhi has been advocating a single slab GST for India. It is a flawed idea. A single slab GST can function only in those countries where the entire population has a similar and a higher level of paying capacity.Arun Jaitley (@arunjaitley) July 1, 20184:27 pm: There are just 28 items that remain in the 28 per cent tax bracket, said FM Jaitley. “There are 28 items left in the 28 per cent bracket if we include luxury and sin items,” he said.He also said that 13 items are from automobile parts and cement. “Cement’s revenue is 13,000 crore and automobile parts revenue is 20,000 crore. If they are brought down from 28 per cent to 18 per cent implications are of 33,000 crore,” he said.4:20 pm: Finance Minister Arun Jaitley said computer accessories such as monitors and television screens, tyres, power banks of Lithium-ion batteries have been brought down from 28 per cent to 18 per cent slab. Accessories for carriages for specially abled persons have been brought down to 5 per cent.4:10 pm: Addressing the media after the 31st GST Council meeting, Finance Minister Arun Jaitley said the government is committed towards rate rationalisation.advertisementV Narayanasamy, Puducherry Chief Minister on 31st GST Council meet in Delhi: The original demand by Congress that all goods should come down to 18per cent and below except luxury items has been agreed by the Government. Except 34 items all other will come down to 18 per cent and below, he added.After the meeting, Uttarakhand Finance Minister Prakash Pant said 22 goods have come down from 28 per cent tax slab including goods like television, auto parts and computers.Sources have told India Today TV that the GST Council is likely to provide huge relief to traders by lowering fine on late filing of GST returns. Late filing fine for nil taxpayers and traders may be reduced to Rs 1000 and Rs 2000 / month respectivelyAs of now, late filers are liable to pay fine of Rs 10,000 a month; the Congress has been constantly demanding reduction in the fine for late filers.Meanwhile, finance ministers of Congress-ruled states demanded pruning of per cent GST slab rate at the meeting. However, officials from Madhya Pradesh, Rajasthan, Chhattisgarh have opposed to major rate cuts during the meeting.
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