GST Council revises rates for 66 items
After the 16th GST Council meet concluded today, the rates of 66 items under the upcoming GST regime have been revised.
Some of the revised tax items in today’s GST Council Meeting are as follows:
Cashew revised from 12% to 5%
Packaged food, including some fruits and vegetables, pickles, toppings, instant food, sauces revised from 18% to 12%
Agarbatti revised from 12% to 5%
Dental wax revised from 28% to 8%
Insulin revised from 12% to 5%
Plastic beads revised from 28% to 18%
Plastic turpolin revised from 28% to 18%
School bags revised from 28% to 18%
Exercise books revised from 18% to 12%
Coloring books revised from 12% to nil
Pre-cast concrete pipes revised from 28% to 18%
Cutlery revised from 18% to 12%
Tractor components revised from 28% to 18%
Computer printers revised from 28% to 18%
Another important item on which GST has been reduced was the entertainment tax on cinema.
Under the GST, there will now be two categories for movie tickets. For tickets that cost less than Rs 100, a tax of 18% will be levied. For the tickets costing more than Rs 100, a GST of 28% will be levied.
Presently, entertainment tax is levied by individual states. The states levy a different rate, ranging from 28-110%, and the weighted average for the entire country is about 30%.
However, several state governments give an exemption to cinema of the particular language of that state. Under GST, there will now be no centralised exemption.
Jailtley said:” If states want, through the DBT (Direct Benifit Transfer), the state can refund the GST of regional cinema.”
For workers in industries like textile, diamond processing etc, where the workers take the work home, 18% tax that is now being charged will be fixed at 5% because the GST for these sectors have gone down as well.
Composition Scheme Limit under GST hiked from 50 lacs to 75 Lacs
The next meeting for the GST Council will be on June 18th
ACA SOURAV BAGARIA