Good news for consumers: GST rate on 30 items reduced and no cess hike for small cars, confirms Arun Jaitley

By: |
Updated: Sep 09, 2017 9:01 PM

Announcing big developments Finance Minister Arun Jaitley confirmed that GST rate on about 30 items has been reduced.

GST Council meet, arun jaitley, GST rates, GST, Goods and Services Tax, gst on cars, GSTN, GSTR 1, GSTR 1 filing dateFinally, consumers have now many reasons to cheer! (Photo from Twitter)

Finally, consumers have now many reasons to cheer! In a major development, the last date for filing of sales return or GSTR-1 has been extended by a month to October 10. Also, the GST Council on Saturday exempted artisans and folk artists with an annual turnover of up to Rs 20 lakh from registration under the just introduced Goods and Services Tax (GST).

GST rate on about 30 items reduced

Moreover, announcing big developments Finance Minister Arun Jaitley confirmed that GST rate on about 30 items like roasted gram, idli/dosa batter, oilcakes, raincoats, rubber bands has been reduced.

Arun Jaitley added that overall GST collection is robust with over 70 pc of eligible taxpayers filing returns of about Rs 95,000 cr. “5 pc GST will have to be paid by firms having registered trademark on May 15, 2017 for commodities,” Jaitley said.

Big relief to car buyers

Also, in a big relief to car buyers, Jaitley announced that small petrol, diesel and hybrid cars to see no cess hike and mid-segment cars to attract 2 pc additional cess, large size cars 5 pc and SUV 7 pc. This has come as a good news for car buyers. “No additional burden on small cars will be levied by way of additional cess,” Jaitley clarified.

Moreover, Jaitley added that Khadi sold through KVIC stores to be exempted from GST.

All these developments came out as the GST Council, chaired by Jaitley and comprising state counterparts, held its 21st meeting in Hyderabad on Saturday. Among other things the council reviewed GSTN preparedness in handling returns.

A committee of ministers has been formed to look into technical issues facing the GST-Network, the IT backbone and portal for registration and tax returns under the GST regime.

According to an official statement released by Finance Ministry, the GST Council, in its 21st meeting held at Hyderabad on 9th September 2017, has recommended the following measures to facilitate taxpayers:-

– The GST Council has decided to set up a committee consisting of officers from both the Centre and the States under the chairmanship of the Revenue Secretary to examine the issues related to exports.

– The GST Council has also decided to constitute a Group of Ministers to monitor and resolve the IT challenges faced during GST implementation.

Do you know What is Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget, Customs Duty? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1FM-speak: GST Council will decide on oil-in-GST
2PLI plan: India Inc tells PM it needs more action
3Govt to tread cautiously in allowing nano-zinc and nano-copper crop nutrients