The complexity of decisions taken by the GST Council is enough to explain why we need a reset of this regime. Let’s get it back in harmony with its promise of ‘one country, one tax’
The Goods and Services Tax (GST) Council’s latest decisions highlight just how complex this tax regime has become. Multi-utility vehicles (MUVs) with a minimum length of 4,000mm, or engine size of at least 1,500cc, or ground clearance exceeding 170mm will now be treated like sport-utility vehicles (SUVs), thus attracting a cess of 22% instead of 20%.
Multiplex operator PVR Inox Ltd got some respite after goods and services tax (GST) council said food items and beverages (F&B) consumed at cinema halls will be taxed at 5%. Pre-booked snacks will also be taxed at the same rate. This provides tax rate certainty.
Read MoreSource: https://www.livemint.com/economy/excess-tax-credit-use-to-spur-automatic-notices-11689188314929.html
The move has the potential to boost tax collections as businesses and traders may have to use cash payments where tax credits cannot be used.
Read MoreHigher-end passenger vehicles (PVs) will likely see price hikes following changes in taxation rules by the GST Council, which has modified the definition of vehicles that will attract a compensation cess of 22%, additional to the 28% tax rate.
Read MoreThe online real-money gaming (RMG) industry in India is reeling after the decision by the Goods and Services Tax (GST) Council to impose a 28% tax on the entire entry fee rather than just the platform fee. Industry associations and companies argue that this move will not only restrict cash flow, but also diminish players’ motivation to participate on legitimate sites, driving them towards illegal offshore betting companies.
Read MoreThe Goods and Services Tax (GST) Council recently decided to treat multi-utility vehicles (MUVs) with a minimum length of four metres, an engine size of at least 1,500cc, or a ground clearance exceeding 170 mm as sport-utility vehicles (SUVs). These vehicles used to attract 20% GST but will now attract 22% GST. MUVs that don’t match the prescribed criteria will continue to attract 20% GST.
Read MoreAshneer Grover had recently launched his own fantasy gaming named Crickpe
GST Council has decided that online gaming, casinos, and horse racing will be taxed at 28%
The 50th meeting of the GST Council concluded on Tuesday with the goods and services tax rate trimmed down to 5% in four items. Also, the council exempted GST on several imported pharma products. However, one of the biggest highlights was the 28% tax rate imposed on the full value of online gaming which is likely a setback for Indian players. The Revenue Secretary also clarified concerns related to ED interference in GSTN.
Read More‘It was good fun being part of the fantasy gaming industry - which stands murdered now. $10 Bn down the drain in this monsoon’, said Ashneer Grover
Read MoreDelta Corp is a gaming and hospitality corporation that owns and operates casinos and hotels under several brands.
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