GST Council to postpone decision on cutting taxes on Health and Life insurance policies for further examination
Reportedly the GST Council on saturday decided to postpone decision on cutting taxes on health and life insurance policies for further examination, has reported citing sources. The GoM has informed the Council about lack of consensus. After from this, the GoM report on rate rationalisation is also not being submitted, it reported. The GoM is likely to meet again in January. The GST Council recommends 5% GST on ready-to-eat popcorn mixed with salt & spices if not pre-packaged, 12% on pre-packaged and labelled, 18% on caramel popcorn.Perhaps all used cars including EVs to attract 18% GST from current 12%; individual sales & purchases to continue at 12%. The GST Council meeting is underway in Jaisalmer, Rajasthan. The GST Council, chaired by Union Finance minister Nirmala Sitharaman along with state finance ministers, is the apex decision-making body on indirect taxes. The GST Council is likely to bring real estate floor space index (FSI) and additional FSI charges within the scope of GST. It might impose an 18 per cent GST.Moreover the key proposals are discussions on 148 items for potential rate changes, including rate hikes on used electric vehicles (EVs) and smaller petrol and diesel vehicles from 12% to 18%. Extending the GST compensation cess regime until june 2025. Proposals to lower GST rates on food delivery platforms like swiggy and zomato from 18% (with ITC) to 5% (without ITC). Since its implementation on July 1, 2017, GST excluded five key commodities crude oil, natural gas, petrol, diesel, and ATF leaving them under the dual taxation of excise duty and VAT. Revisiting their inclusion under GST is a critical demand, particularly for industries like aviation, which data-face high operating costs.