GST ‘Has Become Even Simpler’ After FM Jaitley’s Key Changes: Modi
The GST council meeting chaired by Arun Jaitley lasted eight hours on Friday.
The 22nd Goods and Services Tax (GST) council meeting came to an end after eight hours on Friday, 5 October, after which Finance Minister Arun Jaitley addressed the nation.
He announced GST cuts for 27 products, including khakhra and chapati. Jaitley also announced that a group of ministers would review slashing the 18 percent tax for eating in AC restaurants to 12 percent, and submit a report in two weeks.
The Finance Minister said companies with a turnover till Rs 1.5 crore would have to file returns quarterly instead of monthly.
- The 22nd GST Council meet ends after eight hours at Vigyan Bhavan in New Delhi
- The meet was chaired by Finance Minister Arun Jaitley
- Prime Minister Modi said the GST has become even simpler, more people friendly and effective
- Jaitley addresses the nation after the meeting, announces GST cuts on 27 products
- Companies with a turnover of up to Rs 1.5 crore will have to file returns quarterly instead of monthly
- Govt will mull over slashing 18 percent GST for eating in AC restaurants to 12 percent
- Exporters get GST exemption till 31 March, 2018
"GST Becomes Even Simpler"
Prime Minister Narendra Modi congratulated Finance Minister Arun Jaitley and the GST Council for the extensive feedback with various stakeholders, which led to the decisions announced today.
Citizens Get Relief
Jaitley said the council also decided to cut GST rate on 27 commonly used items.
GST on unbranded namkeen, unbranded ayurvedic medicine, sliced dried mango, and khakra has been cut to 5 percent from 12 percent, while the same on man-made yarn used in the textile sector has been reduced to 12 percent from 18 percent.
Tax on stationery items, stones used for flooring (other than marble and granite), diesel engine parts, and pump parts has been cut to 18 percent from 28 percent. GST on e-waste has been slashed to 5 percent from 28 percent.
Food packets given to school children under the Integrated Child Development Scheme (ICDS) will attract 5 percent tax now instead of 12 percent.
Zari making, imitation jewellery, food items, and printing items would attract 5 percent tax instead of 12 percent.
Government contracts involving high amount of labour will have a tax of 5 percent GST levied on them instead of 12 percent in order to contain cost of those programmes, Jaitley said.
Karnataka Has Good Experience with E-Way Bill
Jaitley said that the e-way Bill was discussed and Karnataka is already having a good experience with it. This method will be available in other states by 1 April 2017.
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