GST COUNCIL UPDATE

 

1.Tax @ 18% on cheques, loss or in book form Withdrawal of exemption on services by department of posts except post cards, envelopes less than 10 gm. Increase in GST on e-waste from 5% to 18%. 2. Withdrawal of exemption to services provided by RBI, Sebi, IRDAI, FSSAI. Hotel accommodation below Rs 1,000 be taxed at 12%.  Withdrawal on GST exemption on storage and warehousing of taxable goods like sugar, natural fiber. 3. Withdrawal of exemption on services like fumigation of warehouses. Withdrawal of exemption to business class air travel for northeastern states. Withdrawal of exemptions on road and rail transport, when such services are input for business.  4. Withdrawal of exemption on services by way of slaughtering of animals. Input tax credit Refund on account of inverted duty structure in edible oils, coal disallowed. 5. The GST Council approved to replace the term ‘branded’ with ‘pre packaged and labelled’ for retail sale to avoid disputes. (Branded cereals, food attract 5% GST currently).Exemption for food items, cereals sold loose or unlabeled continued. 6. Tax increased LED lamps, ink, knives, blades, power driven pumps, dairy machinery from 12% to 18%. Tax increased on milling machinery for cereals from 5% to 18%. Tax increased on solar water heaters, finished leather from 5% to 12%. 7. Instant Finance Updates - Telegram Channel Tax increased on work contract services supplied to govt, local authorities to 18% to correct inversion.  Tax increased on specified goods for petroleum from 5% to 12% on input goods to correct inversion. Source:-Raj Chawla