GST has been again in talks due to the Haryana government which will demand reduction in tax rates of plywood and spare parts of farm equipment. The demand will be raised at the upcoming GST council meeting in the Guwahati scheduled for 10th November. The tax rates demanded the plywood is 18 percent from the 28 percent higher tax rates while the farm equipment is demanded to be under 12 percent instead of 18 percent GST tax rate.
State finance minister Capt Abhimanyu stated in a meeting that, “As far as Haryana is concerned, there are two issues pertaining to the GST which are pending in the GST Council. We are demanding tax rate on plywood be reduced from 28 percent to 18 percent.” The demand is pressurized due to the strike in thousand of plywood factories in Yamunanagar which are against the 28 percent of GST tax rate on the plywood sector.
The state minister also added that “Apart from this, farm equipment attract a tax rate of 12 percent. But there are some spare parts which are used in them attract 18 percent tax. This matter was referred to tax rate fitment committee. We want tax rate on spare parts which are exclusively used in farm equipment be reduced, I expect Haryana’s demands will be discussed at the upcoming meeting of the GST council (the highest decision- making the body of the new regime).”
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The 23rd GST council meeting is scheduled to be held in Guwahati on 10th November in the chairmanship of Arun Jaitley, Union Finance Minister with representatives of all states.
