The Goods and Services Tax Council had its meeting under the guidance of the Government and finance experts. They have decided to cut down ...
The Goods and Services Tax Council had its meeting under the guidance of the Government and finance experts. They have decided to cut down the percentage category of many commodities under GST. Several items which were cut the slack include TVs up to 32 inches, movie tickets, computers etc. This council meeting was the 31st GST Council held at Vigyan Bhavan under the chairmanship of Finance Minister Arun Jaitley.
The GST Council is the highest authority designated to alter and implement the universal indirect tax system, which came into effect last July. The tax brackets are of 5 %, 8%, 12%, 18% and the highest being 28%. 34 items were under the highest tax bracket, now six out of which were reduced to 18%.
The cinema tickets costing up to Rs 100, were now cut down to 12% from the earlier 18%. The tickets which cost more than Rs 100, were earlier under 28%, now brought down to 18%. Third party insurance premiums which were under the 18% tax bracket were now brought down to 12%.
Government's measure to normalise and rationalise the highest tax bracket, that is the 28% one, is being done step by step. They have cautiously reduced the tax rates of only certain safe categories which are at a boom and benefit always. Arun Jaitley has mentioned many important aspects of the changes in the rates.
After the meeting was done, Finance minister and the Chairperson of the 31st GST Council have said this to the media, "We have cut six more items from the 28% bracket, bringing the overall items in the category from 34 to 28". In addition to the above, he continues by giving us more information on slack, " Monitors and Television Screens, tyres, power banks of lithium-ion batteries have been brought down from 28% to 18% slab".
Making the economy more differently-able friendly, he said, " Accessories for carriages for specially-abled persons have been brought down to 5%. Most of the products in the 28% slab are now a luxury and sin goods, which are beyond the purview of rationalisation". Coming to effect from January 1st, 2019.
The response from the citizens is good, a sigh of relief for the common man. Expanding economics will not get an innate boost. The tax collection was earlier labelled high when the GST was first enacted. Now that there have been measures implemented rightly to collect taxes, they have reduced the commodities which can afford to get rationalised.
The GST Council is the highest authority designated to alter and implement the universal indirect tax system, which came into effect last July. The tax brackets are of 5 %, 8%, 12%, 18% and the highest being 28%. 34 items were under the highest tax bracket, now six out of which were reduced to 18%.
The cinema tickets costing up to Rs 100, were now cut down to 12% from the earlier 18%. The tickets which cost more than Rs 100, were earlier under 28%, now brought down to 18%. Third party insurance premiums which were under the 18% tax bracket were now brought down to 12%.
Government's measure to normalise and rationalise the highest tax bracket, that is the 28% one, is being done step by step. They have cautiously reduced the tax rates of only certain safe categories which are at a boom and benefit always. Arun Jaitley has mentioned many important aspects of the changes in the rates.
After the meeting was done, Finance minister and the Chairperson of the 31st GST Council have said this to the media, "We have cut six more items from the 28% bracket, bringing the overall items in the category from 34 to 28". In addition to the above, he continues by giving us more information on slack, " Monitors and Television Screens, tyres, power banks of lithium-ion batteries have been brought down from 28% to 18% slab".
Making the economy more differently-able friendly, he said, " Accessories for carriages for specially-abled persons have been brought down to 5%. Most of the products in the 28% slab are now a luxury and sin goods, which are beyond the purview of rationalisation". Coming to effect from January 1st, 2019.
The response from the citizens is good, a sigh of relief for the common man. Expanding economics will not get an innate boost. The tax collection was earlier labelled high when the GST was first enacted. Now that there have been measures implemented rightly to collect taxes, they have reduced the commodities which can afford to get rationalised.
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