GST Council Clears Changes In Tax Rates Of Some Goods And Services
- GST Council begins two day meeting on Tuesday.
- Approved changes in tax rates on some goods and services.
- Discussion to extend GST compensation for states to be held on Wednesday.
Chandigarh: The GST council on the first day of its 47th meeting, on Tuesday approved changes in tax rates on some goods and services while allowing states to issue an e-way bill for intra-state movement of gold and precious stones, officials said.
A slew of compliance procedures for GST-registered businesses along with a GoM report on high-risk tax payers to check evasion were also cleared. The interim report submitted by a group of state finance ministers, headed by Karnataka Chief Minister Basavaraj S Bommai, on rate rationalisation, including correction of inverted duty structure and removing tax exemption on some items, to simplify the rate structure was also approved.
GST exemption on hotel services were also discussed. The GoM suggested imposing a 12 per cent tax on hotel accomadations charging less than1000 per day. It also recommended a levy of 5 per cent GST on room rent (excluding ICU) charged for hospitalised patients where the hospital room charges are above Rs 5,000 per day.
The council will discuss extension of compensation to states beyond June 2022 and the imposition of 28 per cent GST on casinos, online gaming and horse racing on Wednesday.