On the final instant of its 2 day session on this Friday, the GST Council gathering will be chaired by Arun Jaitley, central Finance Minister.
Guwahati: Around 200 items, varying from shampoos to white goods might become cheaper from this Friday as the GST Council is probable to prune 80 percent of products in the top 28 percent slab.
On the final leg of its 2-day session on this Friday, the GST Council meeting will be led by Finance Minister Arun Jaitley.
Here is what we can expect from the 23rd meeting of the Council:
- Discussion on the suggestions made by Assam Finance Minister Himanta Biswa Sarma- led the group of ministers (GoM) to cut tax prices for the composition scheme commerce to 1 percent.
- The GST rates on above 200 daily-use items are probable to be slashed 28 percent to 18 percent. These comprise shampoo, handmade furniture, sanitary ware, few electronics, stationery, plywood, watches, etc.
- Eating out might get cheaper as the Council might slash the rate of food in restaurants. It might also take a call on tax rate doing away with the difference in tax rates charged on AC and non AC restaurants.
- The GoM led by Himanta Biswa Sarma had also recommended that eating out at hotels that have room tariff of above Rs 7,500 should appeal a uniform 18 percent rate instead of any distinct category for a 5-star hotel, which presently falls under the 28 percent bracket.
- The GoM had also recommended slashing tax rate to 1 percent for manufacturers and restaurants choosing for the composition scheme from 2 percent and 5 percent, correspondingly.
- The Council will also wary on how to make the composition scheme practicable for inter-state trade.
- It will also deliberate how to make the GST return filing procedure more taxpayer friendly.
- The GoM had also recommended slashing tax rate to 1 percent for industrialists and restaurants choosing for the scheme from 2 percent and 5 percent, correspondingly.
- The panel had also recommended that traders who want to eliminate sale proceeds of tax-free products from turnover can pay 1 percent GST. But, for those who pay tax on total turnover, the tax rate has been projected at 0.5 percent.
- The GST Council is also going to review the need for filing three returns each month.