As 45th GST council meeting ends, petrol and diesel were decided not to be included in the GST purview.
Also other important decisions were taken in this meeting of the GST Council.
Notably the GST exemption on Covid medicines was increased to 31 December 2021. So many important decisions were taken, the GST rate on many things was reduced. So let’s talk about what has become expensive and what has become cheap ?
Most importantly food delivery companies like Swiggy, Zomato will have to pay GST. Previously aggregator companies like Swiggy and Zomato, from which restaurants used to collect food, had to pay only tax, but now these companies will have to pay tax.
GST on railway parts and locomotives increased from 12% to 18%. Pen part, paper pack will attract 18 percent GST, iron, cobalt, zinc, copper, lead, tin will attract 18 percent GST. GST on supply in brick sector increased to 18 percent.
Meanwhile GST on biodiesel reduced from 12% to 5%. Also 18% to 5% GST has been reduced on fortified rice kernels used under Integrated Child Development Services Scheme.
Now for the next one year, on the transportation of export goods by ship or airplane there will be no GST. The decision was taken as supplier’s are facing issue’s in getting Input Tax Credit refund due to technical glitch in the GST portal.
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The other very important decisions have been taken as the Council has decided to abolish IGST on the import of aircraft on lease. According to media reports, that this decision of the council will help the aviation sector facing the crisis to deal with the recession.
Now medicine have become affordable– From 12% to 5% the GST rate on cancer drugs like Keytruda has been reduced from. GST Rate on Drugs- Amphotericin B (0%), Tocilizumab (0%), Remdesivir (5%), Heparin (5%)
Lastly the council members has decided to continue the reduced rates of GST on many medicines of Covid till December 31.