GST Council Meeting Today, Possibility of Tax Reduction on Many Products Including Jaggery And Millets, Know What Effect it Will Have on Your Pocket

New Delhi: The Goods and Services Tax Council (GST Council) is going to meet today on October 7 to discuss several pending reform agendas. The Finance Ministry said that Union Finance Minister Nirmala Sitharaman will chair the 52nd GST Council meeting at Vigyan Bhawan in New Delhi. In the meeting, decisions will be taken on many issues including reducing tax on jaggery, reducing tax on millets, which will impact the pocket of the common man.

Union Finance Minister Nirmala Sitharaman can take a decision regarding reduction in GST rates on millet i.e. coarse grain. 5% GST is applicable on packaged products of millet. Because, the government is promoting the use of millets. Therefore, GST rate on coarse grains i.e. millets can be reduced to zero percent. At the same time, the GST Council may consider reducing GST on jaggery from 28% to 5%. Apart from this, the Council can exempt Extra Neutral Alcohol (ENA) from GST.

Council Will Take Decision on the Rejected Proposal of Fitment Committee

The Fitment Committee of the GST Council looks at the tax rates and has rejected more than a dozen proposals from the industry or left it to the Group of Ministers to decide on rationalizing the rates. These issues can be discussed in the GST Council meeting and a final decision can be taken.

• The Fitment Committee has rejected the proposal to reduce GST on lithium ion batteries used in electric vehicles from 18% to 5%.
• The proposal to reduce compensation cess on cigarettes has been rejected.
• The proposal to cut the services supplied by the business has been rejected.
• The Fitment Committee has rejected the proposal to give tax exemption to the Flying Institute.
• The GST Council can take a final decision on all these matters today on October 7.

GST Council has to take decision on these Proposals Also

1. The GST Council can also take a decision on implementing reverse charges mechanism on steel scrap in its meeting today on 7th October.
2. The meeting may also decide to allow advocates with 15 years of practice to be eligible as judiciary members in the GST Tribunal and increase the upper age limit for the Chairperson of the Appellate Tribunal from the present 63 years to 67 years.
3. For some specific cases, additional time for filing appeals in tax disputes can also be considered.
4. The GST Council may consider changes in the GST registration form to include one person company.
5. The GST Council may provide detailed clarifications in case of services provided through advertising services, data centres, mail and courier.
6. The GST Council is also considering exemption from GST on gardening services provided on contract for maintenance of public parks, lawns and public gardens.
7. There can be discussion regarding new updates to implement 28% GST on online gaming companies. Companies have raised objections regarding some points in this. At the same time, the government has also sent notices to many companies regarding payment of GST.