28th GST Council Meeting Updates on Rules and Rates
The GST Council committee has announced all the decisions taken in the 28th GST council meeting which are very significant issues of the GST. The 28th GST Council meeting was scheduled for 21st of July, 2018 from 11:00 AM at Vigyan Bhavan, New Delhi by Union Min Minister of Railways, Coal, Finance and Corporate Affairs Minister Shri Piyush Goyal Ji. It is expected that the revised GST slab rates may be applicable from 27th July 2018.
| Exempt from GST | From 12 Percent to 5 Percent | From 18 Percent to 5 Percent | From 28 Percent to 18 Percent |
|---|---|---|---|
| Fortified milk | Fertiliser grade phosphoric acid | Footwear Below Rs. 1000 | Lithium-ion batteries, Bamboo Flooring, Paint, Varnishes, Putty, wooden frames for painting, photographs, mirrors |
| Sanitary pads | Handloom Dari | – | Food grinders, juicer, mixers, Vaccum cleaners |
| Raw material used in brooms | – | – | Perfumes, Cosmetics, Scents |
| Commemorative coins circulated by the RBI or government. | – | – | Shavers, Hair Clippers, Hand Dryers, Toilet Spray, Hair Curlers |
| Saal leaves | – | – | Trailers, Special Purpose Vehicle, Work Truck, Concrete Mixer |
| Deities made of stone, marbles or wood | – | – | Storage water heaters, Watercooler, Ice cream freezer, Electric smoothing irons, Refrigerators, Washing Machines, TV (up to 68 cm i.e. 27 inches) |
Recommended: Revised GST Slab Rates in India Finalized by the GST Council
Other Major Changes:
- GST on imported urea now 5 percent
- GST on E-books now 5 percent
- In the 29th GST council meeting, the discussion will be based on MSME sector and its hurdles
- Taxpayer registration date extended till 31 August and penalty waived off till then.
- Ethanol for petrol and diesel reduced to 5 percent
- Composition scheme applicable for those who provide 10 percent services from their annual turnover
- Composition Scheme threshold limit increased (1 Crore to 1.5 Crore)
- Regular taxpayer turnover limit increased up to 5 crores for quarterly filing and 5 crores for monthly filing
- RCM provision again deferred for one year
- The GST registration threshold limit is increased up to 20 lacs (earlier it was 10 lacs) for northeastern states.
- According to the textile industry demands, from 27th July all the refund will be given back to the textile sector which was gained from ITC.
There are lots of issues taking time within the actual GST procedure. Reasons for which 28th GST Council Meeting is important is that the late refund of ITC to the exporters and online GST return filing are paramount issues while the transfer of GSTN entity wholly to the state government is also on the cards.
