The 47th GST council meeting was held under the chairmanship of Union finance minister Nirmala Sitharaman on Wednesday, during which, approval for changes in tax rates was given for several goods and services.
The 47th GST council meeting was held under the chairmanship of Union finance minister Nirmala Sitharaman on Wednesday, during which, approval for changes in tax rates was given for several goods and services.
The decisions of the council will come into effect on 18 July, according to revenue secretary Tarun Bajaj.
Check what will get costlier in the coming month:
Further, the GST panel has accepted the recommendation to bring packed food items under the GST ambit.
"Hitherto, GST was exempted on specified food items, grains etc when not branded, or right on the brand has been foregone. It has been recommended to revise the scope of exemption to exclude from it prepackaged and pre-labelled retail pack in terms of Legal Metrology Act, including pre-packed, pre-labelled curd, lassi and butter milk," read a statement.
It has also decided that an 18% GST will be levied on fees charged by banks for the issue of cheques (loose or in book form). Hotel accommodation priced up to ₹1,000 per day shall be taxed at 12%.
Room rent (excluding ICU) exceeding ₹5,000 per day per patient charged by a hospital shall be taxed to the extent of the amount charged for the room at 5% without ITC.
GST exemption on the transport of passengers by air to and from northeastern states and Bagdogra was restricted to economy class. The exemption was also withdrawn from services by RBI, IRDA, SEBI and FSSAI.
Goods and services getting cheaper:
Meanwhile, the council deferred the decision on levying a 28% tax on casinos, online gaming, horse racing and lottery pending more consultations with stakeholders.
A group of ministers headed by Meghalaya Chief Minister Conrad Sangma has been asked to consider submissions of stakeholders again on the valuation mechanism and submit its report by 15 July.