GST Rates

No compromise on capex; consolidated fund to be used if needed, the source said

Hotel and restaurant body FHRAI has sought reduction in GST rates for the hospitality industry, as the sector struggles to recover from the impact of the pandemic-induced restrictions.

The problem is exacerbated as new products get introduced in the market. Since they didn't exist when GST classification was done initially, putting them in an appropriate category will now take time

The capital goods component is especially important now in view of the mandated guidelines for installation of pollution control equipment

A meeting of the panel of state finance ministers looking into GST rate rationalisation has been deferred, sources said. The Group of Ministers (GoM) on rate rationalisation, headed by Karnataka Chief Minister Basavaraj Bommai, also includes West Bengal Finance Minister Amit Mitra, Kerala Finance Minister K N Balagopal, and Bihar Deputy Chief Minister Tarkishore Prasad. It has met twice so far and was scheduled to meet on November 27 to consider recommendations of the Fitment committee regarding GST rate and slab changes. Sources said the meeting has been deferred and the GoM would submit its report to the GST Council, chaired by the union finance minister and comprising state counterparts. The Council, which meets once every quarter, is slated to meet next month. Sources had earlier said the Fitment committee, comprising tax officers from states and the Centre, has made many "sweeping" recommendations regarding slab and rate changes and taking items out of the exemption list. All

Retailers Association of India (RAI) on Tuesday urged Sitharaman, state governments and GST Council to reconsider the proposed hike in GST rates on several textiles and apparel items to 12 per cent

GST must be reformed to achieve its potential

DDGS falls under the category of residues and will get similar treatment in terms of GST rate as is given to other residues

GST rate restructuring will be critical for consolidation

The GST Council will meet on September 17 in Lucknow which among other things may review concessional rates on Covid essentials

The Council said ice cream parlours would draw 18% GST

GST Council decides against inclusion of petroleum

It may discuss extending the compensation cess for states beyond 2022

The GST rate on other kinds of scrap such as plastic, rubber, and wood has already been reduced from 18% to 5%

Under the GST laws, hundreds of mass consumption items and essential services are exempted fully or attract a lower rate of tax than the standard rate of 18%

The issue of GST rates on vaccines and other Covid-related supplies will be reviewed by a Group of Ministers (GoM).

The fitment committee, which recommends rate changes to the Council, has proposed increasing the rate on footwear (less than Rs 1,000), readymade garments, and fabrics to 12% from 5% now

GST fitment panel has recommended a short-term rate cut on four Covid-19 related items

GST Council must address the shortfall in collection

The rate rejig, analysts say, will alter the tax burden on companies, which they expect to get passed on to the consumers