The meeting of GST Council is going to be held on September 3 and 4. There will be many important decisions in this meeting. The most important decision will be on the proposal to reduce the slab from four to two slabs. This meeting will be held under the chairmanship of Union Finance Minister Nirmala Sitharaman. The GST Council, the supreme body decision -making in GST related matters, is the GST Council. Earlier, the Prime Minister of the country, Narendra Modi, had announced the reduction of GST slab from 4 to 2 from the light of the Red Fort. There is a plan to implement this slab before Diwali. Let us also tell you what kind of information has been revealed about this.
In the office memorandum issued by the GST Council Secretariat, it was said that a two -day meeting of the GST Council will be held in New Delhi. The council consists of finance ministers of all states and union territories except the Center. The meeting will consider recommendations of the Group of Ministers (GOMs) constituted on GST tax rates, compensation cess and health and life insurance premium. This week, the ministerial groups had agreed to theoretical consent on the proposal of the center of change in the GST tax slab.
This is the current GST tax slab
The central government has proposed to keep only two rates of GST- five percent and 18 percent. Five percent tax will be levied on merit category products and services and 18 percent tax on standard category products and services. Apart from this, there is also a proposal to impose a special rate of 40 percent tax on some luxury and harmful products. The GST system, which was implemented across the country on July 1, 2017, currently has four tax rates, including five, 12, 18 and 28 percent. Apart from these, cess is also imposed on many products. In his address on Independence Day, Prime Minister Narendra Modi had announced a comprehensive improvement in the structure by Diwali.
Many items will be cheap
After two slabs, there can be a huge cut in the prices of many goods. In which there can be a big fall in the prices of small cars. On the other hand, apart from air conditioner, the prices of electronics items are also expected to fall significantly. At the same time, the prices of building material can also be seen to fall significantly. Due to which the prices of homes will also be seen to be affected. According to experts, the common people will get a lot of relief in the prices of everyday goods. Many items under 12 percent can come in 5 percent slab. Which includes milk, curd, stationery and other items and many other essential items.