In a major reshuffle under the Goods and Services Tax (GST), the council which met in Guwahati on 10th November 2017 reduced the tax slab of around 178 items which were in the 28% GST tax slab category and now put into 18% tax slab category.
Here are the top highlights of GST council meet:
- Filing of return for 3B will be continued till March. All taxpayers will continue to file 3B till March 2018
- Restaurants in starred-hotels will charge 18% tax with input tax credit, those in lower category hotels to charge 5% GST without ITC, says FM.
- All restaurants in the country will be levied GST of 5%; no ITC (input tax credit) benefits to them, says the finance minister.
- Thirteen items moved from 18% to 12%, 6 items from 18% to 5%, 8 items from 12% to 5%, 6 items from 5% to nil: FM Jaitley
- New tax rates will come into effect from November 15: Arun Jaitley
- Congress vice-president Rahul Gandhi says, “We will not allow BJP to impose a Gabbar Singh Tax on India. They cannot break the back of the small and medium businesses, crush the informal sector and destroy millions of jobs.”
- “Panic stricken government has no option but to concede demands for change. Thanks to Gujarat elections, government forced to heed advice of opposition and experts on flaws in implementation of GST,” said former Union minister P Chidambaram.
- The Sensex and Nifty got a lift after the GST Council reduced tax rates on a wide range of mass use items.
- The 30-share Sensex, after a hesitant start at 33,235.75, rebounded to the day’s high of 33,380.42 in late afternoon trade, but lost some ground to end at 33,314.56., up 63.63 points, or 0.19 per cent, from its previous close.
- Luxury goods like washing machines and air conditioners have been retained at 28%.
- Paints and cement have been retained in the 28% tax bracket, Sushil Modi said.
- GST meeting will be path breaking, many crucial decisions in favour of traders, manufactures and consumers will be taken. Some important decisions already taken like reducing almost 200 goods from 28% to 18% slab: Himanta Biswa Sarma, Assam finance minister.
- GST Network on Friday said businesses can now make changes to the forms uploaded on the portal to claim transition credit.
- 18% GST to be levied on chewing gum, chocolate, aftershave, deodorant, detergent, marble: Sushil Modi.
- GST Council decides to keep only 50 items, mostly demerit, sin and luxury goods in top 28% bracket, says Bihar deputy CM Sushil Modi tells PTI news agency.
- “Tax rates should have been set lower from July 1 itself and I have said that 28% tax rate means you are encouraging black marketing,” Delhi deputy chief minister Manish Sisodia said.
- Congress-ruled states have been demanding rationalisation of GST rates to bring down the peak tax rate from the current 28%.
