Pre-packed curd, paneer, makhana, wheat to attract 5% GST: See complete list
Cheque books issued by banks will now attract an 18 per cent GST. Hotel stay is also going to be costlier as a 12 per cent tax on hotel rooms below ₹1,000 per day will be levied
A range of items will now come under the purview of the Goods and Service Tax as the GST panel headed by Union finance minister Nirmala Sitharaman accepted the recommendation of the Group of ministers from states on withdrawing exemptions with a view to rationalising the levy.
Here are the products that will now attract GST:
All products listed below will attract GST if they are labelled food items
1. Pre-packet and labelled meat (except frozen)
5. Dried leguminous vegetable
6. Dried makhana
7. Wheat and other cereals
8. Wheat or meslin flour.
10. Puffed rice.
Apart from these, all goods and organic manure and coir pith compost will not be exempted from GST.
An 18 per cent GST will be levied on the fee charged by banks for the issue of cheques (loose or in book form). Maps and charts including atlases will attract a 12 per cent levy. Goods that are unpacked, unlabelled and unbranded will continue to remain exempt from GST.
A 12 per cent tax on hotel rooms below ₹1,000 per day will be levied, as against a tax exemption currently.
The GST Council also recommended a correction in the inverted duty structure for items, including edible oil, coal, LED lamps, printing/drawing ink, finished leather and solar water heater.
On Wednesday, the second day of the meeting of the council, it is likely to discuss the demand for an extension of compensation paid to states for revenue lost from their taxes such as sales tax (VAT) being subsumed into a national GST, besides a 28 per cent tax on casinos, online gaming and horse racing.
Non-BJP ruled states such as Chhattisgarh want the compensation regime to be extended or the share of states in the GST revenues be increased to 70-80 per cent from the current 50 per cent.
With regard to e-way bill on intra-state movement of gold, gold jewellery and precious stones to check evasion, the Council recommended that states can decide on the threshold above which the electronic bill is to be made mandatory. A panel of state ministers had recommended the threshold to be ₹2 lakh and above.
(With PTI inputs)