Login | Register

GST Library

TaxReply Support

YouTube Videos

Twitter

Buy Premium Tax Domains

About Us

Contact Us

Our Services

TaxReply India Pvt Ltd
  AA
7.75k

FM to chair 46th GST Council Meeting today
(31st Dec 2021, 11:00 AM)

 

Live Updates:

 

The GST Council is scheduled to meet on December 31, Friday at 11 am. The meeting will be chaired by finance minister Nirmala Sitharaman. The council is set to discuss, among other things, report of the panel of state ministers on rate rationalisation. This will be a physical meeting, which will also discuss correction in duty inversion in certain goods. The 46th GST Council meeting will be held in Delhi, an official told PTI. The Group of Ministers (GoM) on rate rationalisation will submit report to the Council today. The panel has reviewed items under an inverted duty structure to help minimise refund payout.

What’s on the Agenda of the GST Council Meet Today?

The GST Council among other things is likely to discuss the hike in taxes on footwear and textiles.

According to a government notification, all footwear, below Rs 1000, will attract GST at 12 per cent. On the other hand, all readymade textiles, except those made with cotton, will also attract a GST of 12 per cent. Previously, these items were sold at 5 per cent GST rate.

State governments and traders bodies have been demanding a deferment of this hike, citing that a number of small businesses will be affected by this. They have also warned that the move will come as a bane to the poor, who will eventually not be able to afford clothing, which is one of the basic needs of life.

Apart from this, the GST council will also discuss the report submitted by the Group of Ministers (GoM) on rate rationalisation. The panel has recommended in its report ways to help minimise refund payout.

It has also made many “sweeping" recommendations to the GoM regarding slab and rate changes and taking items out of the exemption list. Currently, GST is a four-tier slab structure of 5, 12, 18 and 28 per cent. Essential items are either exempted or taxed at the lowest slab, while luxury and demerit items attract the highest slab. On the top of the highest slab, a cess is levied on luxury and demerit goods.

What States Want?

West Bengal’s former finance minister Amit Mitra has urged the Union finance minister to roll back a proposed hike in textile from 5 per cent to 12 per cent saying this would lead to closure of around one lakh textile units and 15 lakh job losses.

Telangana Industries Minister K T Rama Rao has also urged the Centre to withdraw its proposed plan to increase GST rates. Industry has also opposed the rise in tax from five per cent, citing higher compliance cost especially for the unorganised sector and MSMEs besides making the poor man’s clothing expensive.

Apart from this, several states have demanded that the GST compensation cess regime be extended for another five years and the share of the Union government in the centrally-sponsored schemes be raised as the COVID-19 pandemic has impacted their revenues. The GST compensation to states for revenue shortfall resulting from subsuming of local taxes such as VAT in the uniform national tax Goods and Services Tax (GST) will end in June next year.

Opposition ruled states including Delhi, West Bengal, Tamil Nadu, Kerala, Chhattisgarh and Rajasthan have made this demand. “Many states have asked for this. We have also asked to extend GST compensation. If it is not extended, the mfinances of many states will be in a bad shape," Delhi deputy chief Minister Manish Sisodia said after pre-Budget consultation of finance ministers of states with Sitharaman on Thursday.

Source - news18.com


Best-in-class
Digital GST Library
Plan starts from
₹ 5,000/-
(For 1 Year)
Checkout all Plans
Unlimited access for
365 Days
✓ Subscribe Now
Author:

TaxReply


Dec 31, 2021


Post your comment here !

Login to Comment


Other Important Updates


  Read more updates...

4
May
S
M
T
W
T
F
S
10 May

☑ Monthly | GSTR-7

GSTR-7 for the m/o Apr 2025 (For TDS Deductors u/s 51 - Section 39(3)).

☑ Monthly | GSTR-8

GSTR-8 for the m/o Apr 2025 [For TCS collection by E-Commerce Operators - Section 52(4)].

11 May

☑ Monthly | GSTR-1

GSTR-1 for the m/o Apr 2025 (Monthly Taxpayers) - N.No. 83/2020.

13 May

☑ Monthly | GSTR-5

GSTR-5 for the m/o Apr 2025 [Return by Non Resident Taxpayers - Rule 63 - Section 39(5)]

☑ Monthly | GSTR-6

GSTR-6 for the m/o Apr 2025 [For Input Service Distributors - Rule 65 & Section 39(4)].

☑ Monthly | IFF

IFF for the m/o Apr 2025 (QRMP Taxpayers, Optional) - Rule 59(2).

20 May

☑ Monthly | GSTR-3B

GSTR-3B for the m/o Apr 2025 (Monthly Taxpayer - Rule 61) - Either Compulsory taxpayer > 5 cr. or Voluntary taxpayer < 5 cr.

☑ Monthly | GSTR-5A

GSTR-5A for the m/o Apr 2025 [Return by OIDAR Service Providers - Rule 64.]

25 May

☑ Monthly | PMT-06

PMT-06 Monthly tax payment for Apr 2025 under QRMP Scheme [Rule 61(1)(ii) - Proviso to Section 39(7)].

Taxpayers have a choice to pay tax either, as per -  

A) Fixed Sum Method OR 
B) Self assessment basis subject to interest on short payment of taxes.
(Notification No.85/2020 - CT)
 
28 May

☑ Monthly | GSTR-11

GSTR-11 for the m/o Apr 2025 (Statement of inward supplies by persons having Unique Identification Number (UIN)).