The Union Council of Ministers had a two-and-a-half-hour class on Goods and Services Tax (GST), Digital India and cashless transactions and government e-Marketplace on Wednesday in the presence of Prime Minister Narendra Modi.
The aim was to ensure its active participation and involvement in the widespread rollout and adoption of the initiatives. The PM called the meeting of ministers after Parliament passed GST enabling legislations on Wednesday. Click to read more
Real estate developers are concerned that the implementation of the goods and services tax (GST) may raise the overall cost of properties if the sector comes under the expected 18% tax slab and stamp duty is not subsumed in the new tax structure.
The GST Bill was cleared in Parliament’s budget session, paving the way for roll-out of the indirect tax regime on 1 July. According to the legislation, land leasing, renting of commercial properties and purchase of under-construction housing projects will attract GST. Click to read more
India will launch the Goods and Services Tax (GST) as planned on July 1 to boost economic growth and state revenues, a finance ministry official said, despite calls from some businesses for a delay.
The central and state governments were ready to roll out the GST, said Revenue Secretary Hasmukh Adhia, adding that firms should not count on a postponement of a tax more than a decade in the making.
India’s most ambitious tax reform since independence would transform its USD 2 trillion economy and market of 1.3 billion people into a single economic zone with common indirect taxes – something that neither the European Union nor the United States can boast. Click to read more
The finance ministry has rejected iPhone maker Apple Inc.’s demand for tax exemptions for setting up a manufacturing unit in India saying that the decision will have to be taken up by the goods and services tax (GST) council.
The US-based firm has indicated plans to put up manufacturing lines in India this year. Apple had sought concessions such as duty exemption on manufacturing and repair units, components, capital equipment for smartphones for 15 years, the minister of state for electronics and IT, P.P. Chaudhary, said in a written reply to the Lok Sabha. Click to read more
Most goods (nearly 70%) will reportedly attract a goods and services tax rate of 18%. This is welcome. This rate is less than half of the current cumulative burden of indirect taxes on goods. Consumers will gain as most of these taxes will be subsumed under GST, cutting out the cascade of multiple levies that products bear, and lower retail prices. Most services should also attract the 18% rate when all taxes levied on goods and services are collapsed into one. Click to read more
It was India’s carbon tax; it was thought to be a source of funding clean energy projects, to combat climate change. Now it is being thrown out of the window.
In the last six years, government of India has collected around Rs. 54,000 crore by levying a cess on every tonne of coal mined or imported. When it was introduced in 2010 by the then finance minister, Pranab Mukherjee, it was Rs. 50 a tonne. It was gradually raised to Rs. 400 a tonne by Arun Jaitley. Click to read more
The mutual fund industry has been on a roll in the past couple of years. With systematic investment plans adding Rs 5,000 crore per month, the industry is finally getting long-term money. A Balasubramanian, CEO, Birla SunLife Mutual Fund, which has assets of Rs 1.95 lakh crore, believes that the rising number of SIPs indicates that investors are beginning to mature. He tells Joydeep Ghosh and Priya Nair that earnings are likely to see an improvement in the June quarter and the equity market is expected to do well this financial year. Click to read more
The two-phased Budget session of Parliament came to an end today after approval of the landmark Goods and Services Tax (GST) Bill and passage of the Budget.
Union Minister Ananth Kumar said it had been one of the most productive sessions in its history and 18 Bills were passed by both Houses during the session.
The productivity of the Lok Sabha was 114 per cent while that of the Rajya Sabha was 92 per cent. A total of 24 bills were introduced during the session. Of these, the Lok Sabha passed 23 Bills, while the Rajya Sabha passed 14. A total of 18 Bills were passed by both Houses. Click to read more
Well it all depends on the basket in which the goods end up. There are five baskets, the zero per cent basket, the 5 per cent basket, the 12 per cent basket, the 18 per cent basket and the 28 per cent basket. And then there is a SIN basket, which will have an additional cess.
The good news is that 50 per cent of essential food items like, rice, wheat and medicines will end up in the zero per cent basket, which means no tax. Click to read more