GST "Big Challenge" For Gujarat's Future Finances: Finance Body Chief

The Goods and Services Tax is set to become a big challenge for the otherwise "financially prudent" Gujarat once the 14 per cent compensation commitment of the centre winds up, 15th Finance Commission Chairman NK Singh said on Monday.

Home Minister Rajnath Singh today said the central government is open to further review of the GST rates of different items as it has just reduced taxes of 88 consumer-centric products such as refrigerators, washing machines and sanitary napkins.

A JD(U) member in the Rajya Sabha today demanded reduction in the GST rate on Haj pilgrimage.

The GST Council, set up by the Indian Government has reduced the GST rate on lithium-ion batteries for electric cars from 28 per cent to 18 per cent. Although this reduction is not as drastic as predicted earlier, the 10 per cent rate in reduction of GST on these batteries will help reduce the overall price of electric vehicles in India.

GST Council on Saturday reduced tax rates on over 50 items including small televisions and lithium-ion batteries.

Women politicians, cutting across party lines, have welcomed the government's decision on scrapping GST on sanitary napkins.

The GST Council has pruned the 28 per cent slab by cutting tax rates on 191 goods over the last one year, leaving just 35 items, including ACs digital cameras, video recorders, dishwashing machine and automobiles, in the highest tax bracket.

Delhi Deputy Chief Minister Manish Sisodia on Friday said that the government should either completely abolish the 28 per cent tax bracket or reserve it only for "sin goods."

The powerful GST council on Saturday cut tax rates on over 60 products including washing machines and refrigerators and simplified compliance norms for most businesses. The new tax rates will be applicable from July 27.

The government scrapped a controversial tax on sanitary pads on Saturday, a move hailed by campaigners who say it will help more girls to go to school during their periods and boost their job prospects.

Maharashtra milk price protest: The farmers' groups are demanding a GST waiver on butter and milk powder apart from the subsidy.

Finance Minister Piyush Goyal has said that the Goods and Services Tax (GST) has worked well in past one year and has generated sufficient revenue.

The Indian Institute of Management-Ahmedabad (IIM-A), which has been issued an Rs 52-crore GST notice, has requested the Union HRD ministry to intervene with its finance ministry counterparts to resolve the issue, saying the move will hit its finances.

Union Finance Minister Piyush Goyal today said that the proposal of some political parties for a single GST rate slab was a "ridiculous suggestion".