The GST Fitment Committee has proposed increasing the 5 percent to 7 percent and 18 percent to 20 percent GST slabs. According to sources, the viability of combining the 12 percent and 18 percent slabs into a single slab at 17 percent has yet to be examined.
They’re also thinking about increasing the compensation rate from 1% to 1.5 percent. According to sources, the proposed GST on precious metals (gold/silver) will be raised from 3% to 5%.
Read Also: CBIC launches online application for scheduling of examining cargo for traders
The group of ministers (GoMs) has yet to decide on the GST rate slab changes. They will meet on November 27 to finalise their opinions on rate structure and slab rationalisation before submitting their report to the GST Council for consideration at the next council meeting in December 2021.
To prevent tax cheating, the GST GoMs believe that rate rationalisation exemptions should be kept to a minimum. They believe that the time of “implementation of rationalized rates requires careful consideration”.
Read Also-Kerala High Court asks reasons for not including petrol, diesel in GST
They believe that lowering the tax rate from 28 percent to 18 percent “can not commensurate price reduction”. GoMs believe that items of public consumption /sensitive public perception require careful attention during rate rationalisation efforts.
Disclaimer:The article or blog or post (by whatever name) in this website is based on the writer’s personal views and interpretation of Act. The writer does not accept any liabilities for any loss or damage of any kind arising out of information and for any actions taken in reliance thereon.
Also, www.babatax.com and its members do not accept any liability, obligation or responsibility for author’s article and understanding of user.
For Collaborating with us-
- Mail us at [email protected]
- Whatsapp us at +91-7024984925
