The Goods-Service Tax (GST) council has taken a number of key decisions on Friday. At the 23rd meeting of the council held in Guwahati, heavy taxes on commodities, daily consumed goods.
Tax burden on all 213 items has been lightened. Maximum range of 28 per cent is currently in 228 items in Salab, while 178 items have been reduced in taxes. Only 28% of the 50 items are taxed. 28% tax is limited to 62 items The Fit Committee has pointed out that it is not limited to 50 items.
Union Finance Minister Arun Jaitley said that the GST tax rates are regularly reviewed. In the last 3 conventions, 28 per cent of the items in Salab have been significantly reduced. Some items have been taxed in the past 28 per cent and they have also been reduced. Other shabulas have also been changed. The tax burden on 13 items has been reduced from 18 per cent to 12 per cent and six to 12 per cent to 5 per cent and six to 5 per cent. 5 per cent on restaurants: tax on restaurants has been greatly reduced.
At present there are 18% tax on non-restaurants and 12% tax on non-AC restaurants. Input tax credit (ITC) approach to tax refunds is also in force. The facility was withdrawn to the restaurants because the transfer of ITC was not transferred to consumers. The tax is also limited to 5 per cent. This applies to all non-AC and non-AC restaurants. 18% GST will be charged on star hotels that charge more than Rs.7,500 per room per day rental. ITC will run on them.
The Composite Scheme has been increased to Rs.2 crore. Inter-tax and Input Tax credit does not apply to dealers coming under this scheme. Tax returns are simplified. The penalty for delaying filing has been reduced. So far, Rs 200 was charged under a delayed fee. Now, taxpayers who are not taxable are Rs 20 and others can pay Rs 50. GSTR-3B has been increased till March. 28% tax on hazardous and luxury goods, Bihar Deputy Chief Minister Sushil Kumar Modi told reporters.
This decision will affect the revenue of Rs 20,000 crore annually. A consensus has been about to bring about 18% slab in the slab of 28%, but it would take some time to see the impact on income.