Puducherry finance minister K Lakshminarayanan said all states sought an extension of the compensation mechanism, but no decision has been taken.
The GoM had suggested withdrawal of GST exemption on a host of services including on hotel accommodation of less than Rs 1,000 per day and replacing it with a 12 per cent tax.
Many are hopeful that this time apart from petrol and diesel, a decision should be taken on bringing liquor under GST. However, there is no official word on these developments.
A meeting of the Goods and Services Tax (GST) Council, the highest decision-making body in the GST matter, is likely to be held next month.
At present, services of casinos, horse racing and online gaming attract 18 per cent GST.
The record GST collection is also a sound indicator of the national capital's economy recovering fast after the devastation caused by the three waves of COVID during past 2-years, officials said.
The gross GST collection in April 2022 is an all-time high and Rs 25,000 crore more than the previous highest collection of Rs 1.42 lakh crore recorded in March.
Finance Ministry yesterday said the Centre has already released eight months of GST compensation dues to the states for fiscal ended Mar 2022 and Rs 78,704 cr is pending due to inadequate balance in the cess fund.
A group comprising ministers from states is yet to finalise a report on rationalisation of GST rates and a decision will be taken in due course, sources said.
Currently, GST is a four-tier structure of 5, 12, 18 and 28 per cent. Besides, gold and gold jewellery attract 3 per cent tax. In addition, there is an exempt list of items like unbranded and unpacked food items which do not attract the levy.
Accusing the Centre of not doing anything to control price rise of fuel and other essential commodities, Mamata insisted that a policy should be made to arrest the hike.
At present, Goods and Services Tax (GST) on health insurance services is levied at standard rate, i.e., 18 per cent.
The previous high for collection of revenues from goods sold and services rendered was in January 2022 at over Rs 1.40 lakh crore.
Many states in the country have made the movie tax-free so the movie can reach the masses better. However, tax exemptions were made in BJP-ruled states only. Here is where the non-BJP states stand.
The GST Council over the years has often succumbed to the demands of the trade and industry and lowered tax rates.
Some Chinese companies in collusion with Indian companies were found to be issuing fake invoices to different Chinese firms/companies having Chinese nationals as directors without actual supply of services.
According to the CGST Commissionerate, the firm was engaged in availing, utilizing, and passing on a fraudulent Input Tax Credit (ITC) on the bogus invoices of around 100 Crores thereby defrauding the government exchequer.
As per the provisional estimates released in May 2021, the GDP had contracted by 7.3 per cent during 2020-21 on account of the outbreak of COVID-19 and subsequent nationwide lockdown to contain the pandemic.
The India Cellular and Electronics Association (ICEA) has proposed to lower the GST on smartphones from 18% to 12% at the upcoming Budget 2022
According to the travel agents body, concrete steps should be taken to improve cash flows and reduce the working capital burden on startups, along with access to easy credit, reducing income tax rate and GST rate, abolishment of tax collected at source (TCS) and wage support with ease of business.
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