Highlights of the 25th GST Council Meet
Highlights of the 25th GST Council Meet
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New Delhi [India], Jan 19 (NT) The union budget 2018 jury, oriented by Finance Minister Arun Jaitley and comprising representatives of all states, at its 25th meeting today decided to reduce the tax rate on 29 items and 54 categories of services with effect from January 25.

Informing the reporters after the meeting, FM Arun Jaitley said “The upcoming meeting of the Council may consider bringing items like crude oil, natural gas, petrol, diesel, ATF and real estate within the GST range.In a bid to ease compliance burden, the Council veered around to the idea of registered entities continuing to file the return in GSTR 3B Form while moving to a system where supplier invoice captures details of the transaction.The new process would be finalised at the next meeting of the GST Council after a written formulation is circulated to the states, he said.

The date of the next meeting of the Council has not yet been decided, Finance Minister Arun Said.

Arun Jaitley said the GST provision requiring transporters to carry an electronic waybill or e-way bill, when moving goods of over Rs 50,000 in value between states, will be implemented from February 1 to check rampant tax evasion.

As many as 15 states have decided to implement the provision for intra-state movements as well, he said.After implementation of the Goods and Services Tax (GST) from July 1, the requirement of carrying e-way bill was postponed pending IT network readiness.Once the e-way bill system is implemented, tax avoidance will become extremely difficult as the government will have details of all goods above the value of Rs 50,000 moved and can spot the mismatch if either the supplier or the purchaser does not file tax returns.

HIGHLIGHTS:

1. E-way bill system testing continues till January 25, loading will be made must from Feb 1.

2. 15 states agree on intra-state e-way bill.

3. The decision on petroleum products deferred.

4. No decision on real-estate will be taken up in next meet.

5. 29 Handicraft items have been put in 0% slab. GST rates have also been reduced in few agricultural products.

6. The GST Council also discussed how buyers should upload purchases invoices, and the sellers should upload sale invoices.

7. Collection under composite scheme only Rs 307 crore.

8. The fitment committee will fix the rates for about 40 handicraft items.

9. A few more items may be added to the list.

10. Rs 35,000 crore of Integrated GST will be provisionally divided between the Centre and states. (NT)

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