GST Council inter-alia made several recommendations relating to changes in GST tax rates
Reportedly the GST Council has made several key recommendations aimed at simplifying and reducing the tax burden in specific areas. The 55th GST Council met under the Chairpersonship of Union minister for Finance & corporate Affairs nirmala sitharaman in Jaisalmer, rajasthan on december 21. Firstly, the Council has recommended a reduction in the GST rate on the Fortified Rice Kernel (FRK), which is classified under HS Code 1904, to 5%. This move aims to make FRK more affordable and accessible.Perhaps the Council has also proposed that contributions made by general insurance companies from third party motor vehicle premiums to the Motor Vehicle accident Fund should be exempt from GST. This exemption would help streamline the collection and use of these contributions. Furthermore, the GST Council clarified that no GST should apply to transactions involving vouchers, as they do not constitute a supply of goods or services. To further simplify matters, provisions related to vouchers are also being revised.Moreover the GST Council has recommended a reduction in the pre-deposit required when filing an appeal before the Appellate Authority in cases where the order in question involves only penalty amounts. This change is intended to make the appeals process more accessible and less financially burdensome for taxpayers.