India announced a significant revamp of the goods and services tax (GST) framework, including cuts in the rates on 20-litre packaged drinking water, biodiesel, diamonds and precious stones, sugar candies, tailoring services, amusement parks and low-cost housing construction services. The total revenue loss on account of these cuts, which take effect on January 25, is pegged at Rs 1,000-1,200 crore.
The GST Council, the apex decision-making body for the tax, approved a rejig in the rates of 29 goods and changes to the taxation regime for 53 services at its 25th meeting in the Capital on Thursday. The council is also veering toward a simpler compliance regime for businesses that will entail a single form or even just a supply invoice. Click to read more
The Goods and Services Tax (GST) Council has reduced the rates on 29 goods and 53 categories of services, Finance Minister Arun Jaitley said following the Council’s meeting on Thursday.
Against the backdrop of declining GST collections and waning compliance, the Council also discussed in detail various approaches to ease the return filing compliance burden, and the need for the implementation of anti-evasion measures. Click to read more
“The Council has recommended many relief measures regarding GST rates on goods and services covering many sectors and commodities. The Council has also recommended issuance of certain clarifications on issues relating to GST rates and taxability of certain goods and services,” a report by Ministry of Finance read.
Among the 29 goods that have received a rate cut were second-hand vehicles medium and large cars and SUVs from 28% to 18%. Items like confectionery sugar and bio-diesel have also received a tax cut. Click to read more
After 25th GST council meeting in Delhi yesterday, GST rates on 29 goods and 53 services were revised. The decision, jointly taken by the federal and state finance ministers, was announced in a press meet by Finance Minister Arun Jaitley, just days ahead of the annual budget 2018-19. The council is also working on simplifying the process of GST return filing, he said. GST rates will not applicable on vibhuti (sacred ash), parts and accessories for manufacture of hearing aids and de-oiled rice bran. The new GST rates will be effective from January 25, 2018. Click to read more
Wonderla Holidays receives a major boost after the goods and services tax (GST) rate on amusement and theme parks was slashed from 28 percent to 18 percent. The stock is up over 6 percent in trade today.
In an interview with CNBC-TV18, Arun K Chittilappilly, MD of Wonderla Holidays discussed the impact of the GST rate revision.
The company has been adversely affected by GST because our effective tax rates have gone up substantially ever since GST came. Our tax rate before GST was about 15-16 percent and with that, it becomes 28 percent and now with this correction, it has gone back to 18 percent. Click to read more
The sharp cut in the rate of GST (Goods and Services Tax) on polished diamond has brought much cheer to processors and jewellery exporters.
Around 94 per cent of the diamonds processed in the country would attract 0.25 per cent GST effective Friday, down from three per cent earlier, following the GST Council’s decision in this connection on Thursday.The remaining six per cent of diamonds processed in India and sold directly to consumers, however, would continue to attract three per cent GST. Click to read more
The State government’s efforts to raise the issue of 0% tax for handmade products, following appeals from civil society groups, seems to have yielded results. On Thursday, the Goods and Services Tax (GST) Council decided to bring 29 handicraft products under the 0% tax rate.
The issue was taken up at the GST Council after the Gram Seva Sangha, which is spearheading the movement seeking 0% tax on handmade products, had submitted a petition to the Karnataka government. Noted theatre personality Prasanna, who also went on an indefinite fast, had met senior government functionaries to convince them on the need to protect the handmade sector. Click to read more
Goods and Services Tax (GST) rates on diamonds and precious stones have been cut to 0.25 percent from 3 percent. In an interview with CNBC-TV18, Sanjeev Agarwal, CEO of Gitanjali Export Corporation spoke about the latest happenings in his company and sector.
Reduction of GST will reduce the working capital requirements and it brings rationalisation on the GST rate on the import front and the processing front, he said. Click to read more
GST Council tweaked rates and issued a number of clarifications to end the confusion in case of many services. ET takes a look at key changes that will become effective from January 25. Click to read more