The GST Council on Saturday has cut down the GST Rates on 33 Items from 18% to 12% and 5%. This is done to simplify the indirect tax regime. Puducherry Chief Minister, V Narayanaswamy announced after 31st Meeting of the council. He also said that, 33 items will be cut down from 18% GST to 12% and 5%, except for the luxury items as these products are the most commonly used in day to day life.
The main motive of this plan is to rationalize the Highest Tax Bracket 28% and out of which 99% of over 1200 Goods and Services will attract 18% GST or less than that.
A total of seven items have been removed from 28% GST Slab. Six Items have been removed from 28% GST Bracket and placed in 18% GST Slab.
The Six Items are –
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Pulleys, Transmission Shafts, Gear Boxes
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Power Banks Made up of Lithium-Ion Batteries
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Monitors
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TV (up to 32 Inches)
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Digital Cameras
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Video Game Consoles and other games and sports requisites
Whereas the Parts and Accessories for carriages for disabled people have been dropped down from 28% GST Slab to 5% GST Slab.
Other than that, the Movie Tickets up to Rs 100/- are brought under the 12% GST Slab which were earlier in 18% GST Bracket and the Movie Tickets costing above Rs 100/- are now in 18% GST Slab. The Director and the Producer Karan Johar expressed his happiness by tweeting our Prime Minister “Narendra Modi”
The Pilgrims traveling in the economy and business class has to pay the same tax, there are no changes in that tax bracket. The services supplied by the banks to the Basic Savings Account has been exempted from GST.
The 31st GST Council Meeting was held today in Vidhan Sabha under the chairmanship of the Finance Minister- Arun Jaitley. The GST Council has agreed to set up a Centralized Advance Ruling Authority said Arun Jaitley.