Fitment panel's no to GST ease for 200 items

 Goods and Service Tax Council meeting which is to be held in the coming week, in which a committee of officials has decided to make changes in GST for certain items. The officials has decided to set up the meetings on June 28 and June 29. The Council's fitment committee has got members from both the centre and the state. The committee has decided to increase the GST of tetra packs from 12% to 18%, and they recommended this because that they could bring uniformity in tax structure with respects to other substitutes like cartons, plastic bottles, sachets, pouches and plastic cups. However they still have not decided on taxing virtual digital assets and crypto assets in the upcoming meeting.

The committee also decided that they would be charging a 5% GST on electric vehicles, whether fitted with batteries or not. The Council fixed a 5% GST on orthopedic implants (trauma, spine, and arthroplasty implants in body) and hearing aids will have no GST charges. The defense equipments bought by private sectors would have GST exemptions which is certified by the Ministry of Defense and is valid for a limited period up to 30 June, 2024. Citing the tight revenue conditions, the panel demands to cut tax rates on ready to eat food, air-conditioners, electronic gadgets (mobile and laptops), perishable foods, branded snacks, diary products, ethanol, tobacco products and handlooms. 

The panel refuses to cut down GST for at least 100 items which include software products, rent paid by hospitals, capital markets, online media, commercial projects, brokerage services on property, life insurance, electric vehicles, air cargo etc. The electric vehicle manufacturer company Tesla faced GST issues to start its manufacturing units in India, and now has all their plans on hold. The committee also reduced the GST rates for the telecom sector from 18% to 12%.