GST rates: Ola, Uber rides and movie-going to be cheaper | Check the list
The GST Council finalised four tax rates of 5%, 12%, 18% and 28% on services including telecom, insurance, hotels and restaurants under the biggest tax reform since independence.business Updated: Jul 08, 2017 18:46 IST
India fixed four categories of taxes for services such as transport, entertainment and banking services on Friday, taking a step closer to meeting a July 1 deadline for the rollout of the country’s biggest tax reform.
Eating out at small restaurants and dhabas, hiring a cab or staying in a non-5 star hotel will be cheaper under the new Goods and Services Tax regime. Education, health and public transport will be exempt.
The decisions came at the end of a two-day meeting of the GST Council headed by Union finance Arun Jaitley and which also includes his counterparts from states. The council has already fixed GST rates for household items and manufactured goods.
|SERVICES||GST RATES||LOWER OR HIGHER|
|Cabs like Ola, Uber||5%||Lower|
|Metro, local train||0%||No change|
|Non-AC train||0%||No change|
|Air economy class||5%||Lower|
|Air business class||12%||Higher|
|ENTERTAINMENT AND LEISURE|
|Dhabas (With annual sales under Rs 50 lakh)||5%||Lower|
|AC restaurants, bars||18%||Lower|
|HOTELS WITH TARIFF|
|Up to Rs 1,000/day||0%||Lower|
|Above Rs 5,000/day||28%||Higher|
First Published: May 19, 2017 20:11 IST