TV, refrigerator, washing machines to get cheaper, GST rate cut on 50 items
New Delhi, July 21 : In a relief for common man, the GST Council on Saturday reduced tax rates on over 50 items including refrigerators, washing macines and small televisions, which would now be taxed at 18 per cent, down from the current 28 per cent.
Apart of bringing down rates, the Goods and Services Tax (GST) Council also exempted GST on sanitary napkins, rakhis, fortified milk and idols of deities made of stone, marble and wood.
The changes would come into effect across the country from July 27 onward, Finance Minister Piyush Goyal told media after the 28th meeting of the GST Council.
"Refrigerators, small televisions, of upto 25 inches, lithium ion batteries, vacuum cleaners, domestic electrical appliances, such as food grinders, mixers....storage water heaters, immersion heaters, hair dryers, hand driers, electric smoothing irons," among others have been brought to the 18 per cent slab," Goyal said.
The council also gave a major relief to the hotel industry by providing that tax rate shall be based on transaction value instead of declared tariff.
Earlier, there was a lack of clarity on the issue causing a lot of trouble for consumers booking hotels with 'declared tariffs' of Rs 7,500 and above which incurred 28 per cent GST.
While hotels with tariff below Rs 1,000 are exempted from GST, those with tariff between Rs 1,000-2,500 are taxed at 12 per cent, those between Rs 2,500-7,500 at 18 per cent, and above Rs 7,500 at 28 per cent.
However, it often happened that hotels offered discounts and hence the actual transaction cost would be much lower than the declared cost, but tax would still be charged at the declared cost.
Another significant decision the council made was regarding easing of return filing procedure by approving two new simplified forms called 'Sugam' and 'Sahaj', the minister said.
Also, enterprises with annual turnover of upto Rs 5 crore would have to file quarterly returns instead of the current monthly filing, although they would continue to pay tax on a monthly basis.
However, the implementation of the revamped return filing process would take some time as corresponding changes would have to be made into the GST network, the minister clarified.
The council also deferred the implementation of reverse charge mechanism by another year and now it will come into force from October next year.
The minister further informed that the council would have a special meeting on August 4 to address concern of small and medium enterprises.
Among other tax-reduction decisions, Goyal said, tax rate on handicraft items such as handbags, pouches and purses, jewellery box, wooden frames of paintings and photographs among others have been brought under the 12 per cent slab, from 18 per cent.
GST on handmade carpets and handmade textile floor coverings has been reduced from 12 per cent to 5 per cent.
The tax rate on ethanol, which is used in the blending of petrol and diesel also has been brought down to 5 per cent from 18 per cent.
During the meeting, the council also made certain amendments to the GST Act including raising the upper limit of turnover for opting for composition scheme from Rs 1 crore to Rs 1.5 crore.
It also approved an amendment which will enable taxpayers to opt for multiple registrations within a state in respect of multiple places of business located within the same state.
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Badlapur accused Akshay Shinde shot dead: Lawyer of minor girls calls it 'killing of justice'
Mumbai (PTI): The gunning down of Badlapur case accused Akshay Shinde on Monday was the "killing of justice", said Asim Sarode, lawyer for the two minor girls he allegedly sexually assaulted.
Shinde was killed near Mumbra Bypass around 6:15pm when he allegedly snatched the gun of a policeman while he was being ferried in a police vehicle as part of a probe into a case registered on the complaint of his former wife.
After he shot and injured an API, another personnel from the escort team fired at him, and he was declared dead by doctors at a nearby hospital.
"While representing the two minor girls, I noticed it was becoming uncomfortable for the local politics of the Thane district and even for the educational institution where Akshay Shinde was working. Shinde's death in such a manner is killing of justice," Sarode told a regional news channel.
"Now, the case of sexual assault of the two minor girls will get sidelined. The case of these two minor girls was becoming difficult for the educational institute, as it is affiliated with a certain political family. Such a practice would lower the confidence of people in police and the judiciary," he claimed.
Sarode said he will be filing a plea before the Bombay High Court demanding thorough inquiry into the firing incident.
"Shinde's case could have brought up certain aspects that would have been negative politically for the government. I wonder how Shinde could access the gun and how he could unlock it when his hands were tied. This is political murder and is absolutely wrong," he said.
