45th GST Council Meeting-Highlights
45th GST council Meeting was chaired by Finance Minister Nirmala Sitharaman on September 17, 2021 in Lucknow. Discussions over bringing petrol & diesel under the GST regime was discussed and several key decisions were taken.
- Issue of Petrol & Diesel was discussed as Kerala High Court had questioned it. However, Council decided not to put petrol and diesel under GST.
- In the meeting, concessional GST rates on Covid-19 related medicines were also announced, which are applicable till September 30. Now, the date has been extended till December 31, 2021.
- Concessional GST rates on drugs used in COVID-19 treatment extended till Dec 31.
- Tax rates on medicines used in cancer treatment was cut from 12 pc to 5 pc.
- GST rate on biodiesel for blending it with diesel was reduced from 12 pc to 5 pc.
- Inverted duty structure on footwear & textiles will be corrected from January 1, 2022.
- It is not the correct time to bring petroleum products under GST regime.
- A Group of state ministers (GoM) will be established to look after the rate rationalisation related issues. GoM will be making recommendations in 2 months.
- E-commerce operators Swiggy & Zomato will come under GST regime. They are now required to pay GST on restaurant service supplied through them, since tax is charged at point of delivery. Earlier, restaurants used to pay the tax.
- Another GoMs will be set up in order to look after issues of e-way bills, FASTAGs, compliances, technology, plugging of loopholes, composition schemes etc.
Category: Economy & Banking Current Affairs - 2022
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