India
Prime Minister Narendra Modi had promised a few days ago that his government was trying to bring down the GST on 99% of essential products
New Delhi: The GST Council reduced on Saturday taxes on as many as 33 products, bringing them down from 28% to lower slabs. GST council has also given relief to those who file the returns by March 31, the end of this financial year.
The all-important meeting of the GST Council was held under the chairmanship of finance minister Arun Jaitley on Saturday.
After the decision taken by the council, prices of products such as television, tyre and camera will come down by 10% soon. The council has reduced the GST slab on products that are used in everyday life, targeting the middle class ahead of the 2019 general election.
The GST council has also decided to cut the slab on seven products from 28% to 18%, while 27 products will be covered under the 12.5% slab, down from 18%.
But the long-pending decision on cement, on which the GST rate has been proposed to be brought down from 28% to 18%, is expected to be taken up in the next council meeting. The industry expected that the council would reduce the GST slab on cement to boost the real estate sector, which is suffering for the last five years.
Sources say cinema tickets costing less than Rs 100 will be even cheaper. The council has cut down the GST rate applicable to theatre tickets from 18% to 12.5%. However, on tickets that cost more than Rs 100, the GST rate will be still under the 18% slab.
Apart from this, the GST on 32-inch television sets, lithium battery, billiards, digital camera, video camera and snooker table has come down from 28% to sub-18%.
Third-party insurance and pilgrimage will invite 12% of GST.
Besides, the council has decided to bring down the GST on frozen vegetables from the present 5% to 0%. The food processing industries had been demanding a GST cut on agro-processing products.
Three days ago, Prime Minister Narendra Modi had indicated that his government was trying to bring down the GST on 99% of essential products.
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