Thursday, March 16, 2017

GST council clears state GST laws, likely to roll out by July 1

GST council clears state GST laws, likely to roll out by July 1

Finance-Minister-Arun-Jaitley-Revenue-Secretary-Hasmukh-Adhia-and-CBEC-Chairman-Najib-Shah-in-a-meeting-of-GST-council


New Delhi: GST council moved yet another step closer to implement the country's biggest tax reform possibly from July after the Centre and states agreed on a draft law that will enable states and union territories to impose the Goods and Services Tax (GST), all the five enabling draft bills stand approved to enable a likely rollout of the new indirect tax regime.

The panel, headed by Finance Minister Arun Jaitley and comprising representatives of all States, at its last meeting approved the final draft of Central GST (C-GST) and Integrated GST (I-GST) laws.

The GST council also agreeing on capping the cess on sin (tobacco products) and luxury goods has been capped at 15 per cent, Jaitley said after the meeting.

"Capping of cess has been done. These are not actual, but, ceiling is kept higher to give a marginal headspace," he said.

"The supporting GST laws will now be taken to the Cabinet and then to Parliament for approval," he said.

Jaitley also said the government was hopeful that GST could be "tentatively" implemented from July.

The GST Council would meet on March 31 for framing of rules for Goods and Service Tax regime, Jaitley said, adding that tax rates for various goods and services would be taken up after framing of rules.

After March 31, the Council will take up the exercise of fitment of various commodities in the GST tax slabs - 5 %, 12%, 15%  and 28%, he added.

The officials have already started the fitment process, which will be put up for discussion and approval before the Council.

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