GST Council meeting highlights
The meeting of the Goods and Services Tax (GST) chaired by Union Finance minister Arun Jaitley decided to reduce tax on 178 items under the highest 28% slab to 18%, effective November 15.
Friday’s meeting also agreed to reduce tax on restaurant bills, but given that these eateries will not get any input tax credit — a facility to set off tax paid on inputs with final tax— eating out might not become substantially cheaper.
Here are the updates:
8.20pm: Cement manufacturers said disappointed over the GST council retaining cement in the highest slab of 28%; clubbing the construction material along with luxury item is “quite unfortunate”.
7.36pm: Fine for late filing to be cut to Rs 20 per day from Rs 200 for nil liability tax filers, says revenue secretary Hasmuksh Adhia.
7.26pm: Filing of return for 3B will be continued till March. All taxpayers will continue to file 3B till March 2018: Hasmukh Adhia, finance & revenue secretary.
7.23pm: 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.
7.21pm: All restaurants in the country will be levied GST of 5%; no ITC (input tax credit) benefits to them, says the finance minister.
7.20pm: 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.
7.15pm: New tax rates will come into effect from November 15: Arun Jaitley.
7.13pm: Finance minister Arun Jaitley speaks at the 23rd GST Council meeting in Guwahati.
5.15pm: 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.”
3.30pm: 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%, from its previous close.
3.10pm: The council in its 23rd meeting on Friday cut rates on 177 goods, reports PTI news agency.
2.55pm: Luxury goods like washing machines and air conditioners have been retained at 28%.
2.50pm: Paints and cement have been retained in the 28% tax bracket, Sushil Modi said.
2.35pm: 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.
2.30pm: GST Network on Friday said businesses can now make changes to the forms uploaded on the portal to claim transition credit.
2.10pm: 18% GST to be levied on chewing gum, chocolate, aftershave, deodorant, detergent, marble, custard powder, dental hygiene products, polishes and creams, sanitary ware, leather clothing, cookers, stoves, razors and blades, cutlery, storage water heater, batteries, goggles, wrist watches and mattress: Sushil Modi.
2pm: 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 new agency.
1.45pm: “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.
1.20pm: Congress-ruled states have been demanding rationalisation of GST rates to bring down the peak tax rate from the current 28%.