The 45th GST Council meeting was held today i.e. on September 17, 2021 under the Chairmanship of Union Finance & Corporate Affairs Minister Smt. Nirmala Sitharaman at Lucknow. The meeting is the first in-person meeting of the GST Council in nearly two years. The previous Council meeting was held via videoconferencing on 12.06.2021. Tthe minister also announced that concessional GST rates on Covid-19 related medicines which were applicable till September 30, have extended till December 31, 2021. Petrol and diesel to not come under GST regime.
Key decisions / recommendations at 45th GST Council Meeting:
Life-saving drugs Zolgensma and Viltepso used in treatment of Spinal-Muscular Atrophy exempted from GST when imported for personal use.
Extension of existing concessional GST rates on certain COVID-19 treatment drugs upto 31stDecember 2021
GST rates on 7 other medicines recommended by Department of Pharmaceuticals reduced from 12% to 5% till 31stDecember 2021
GST rate on Keytruda medicine for treatment of cancer reduced from 12% to 5%
GST rates on Retro fitment kits for vehicles used by persons with special abilities reduced to 5%
GST rates on Fortified Rice kernels for schemes like ICDS reduced from 18% to 5%
Council also recommends major changes in GST rates and scope of exemption on Services
Recommends several clarifications in relation to GST rates on Goods and Services
Council recommends several measures relating to GST law and procedure
Council decides to set up 2 GoMs to examine issue of correction of inverted duty structure for major sectors and for using technology to further improve compliance, including monitoring
GST rate changes in order to correct inverted duty structure, in footwear and textiles sector, as was discussed in earlier GST Council Meeting and was deferred for an appropriate time, will be implemented with effect from 01.01.2022.
E-commerce operators Swiggy, Zomato to pay GST on restaurant service supplied through them; tax to be charged at point of delivery
GST Council felt it isn't time to bring petroleum products under GST regime
GST rate on biodiesel for blending with diesel cut from 12 pc to 5 pc
In August, GST revenue collection stood at Rs 1,12,020 crore. This was lower than the Rs 1.16 lakh crore collected in July but was still 29.6 per cent higher than the year-ago period.
GST Council has also recommended amendments in certain provisions of the Act and Rules.
Note: The recommendations of the GST Council have been presented in this release containing major item of decisions in simple language for information of all stakeholders. The same would be given effect through relevant Circulars/ Notifications/ Law amendments which alone shall have the force of law.
Source: Media News & Press Release
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