GST Rate Schedule for goods has been finalized
The Goods and Services Tax Council on Friday finalized four taxes rates. Notably tax rate of 5, 12, 18 and 28 percent will be applied on services including telecom, insurance, hotels and restaurants under the biggest tax reform since independence. According to reports, GST rates for certain goods like textiles, footwear and precious metals are yet to be decided by the council.
As per reports, the council has also decided 1 percent tax collected at Source (TCS) rare for e- commerce players such as Flipkart, Snapdeal , even though the law provides for a levy of 2 percent rate.
Notably, the rates all items except a handful including gold, have been now decided. GST will get implemented on 1 July. Earlier, it was supposed to get roll out on April 1st but was delayed. The government categorized 1211 items under various tax slabs.
Here is the full GST Rate Schedule for goods:
Items such as cream, skimmed milk powder, branded paneer, frozen vegetables, coffee , tea, spices, Pizza bread, rusk, sabudana, kerosene, coal, medicines, lifeboats will attract 5 percent tax.
Transport services (Railways, air transport) , small restaurants will be under 5 percent GST slab.
Frozen meat products, butter cheese, ghee, dry fruits in packaged from animal fat, sausage, fruit juices, Bhutia, namkeen, Ayurvedic medicines, tooth powder, agarbatti, coloring book, picture books, umbrella, sewing machine, cellphones will be under 12 percent.
AC hotels that serve liquor, telecom services, IT services, branded garments and financial services will attract 18 percent tax under GST.
Chewing gum, molasses, chocolate not containing Cocoa, waffles and wafers coated with chocolate, pan masala, aerated water, paint, deodorants, shaving creams, after shave, hair shampoo, dye, sunscreen, water heater, dishwasher, washing machine, vacuum cleaner, automobiles, hair clippers, aircraft for personal use will attract the highest tax in GST that will 28 percent.
5- Star hotels, cinema, race club betting will attract 28 percent tax slab under GST.
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