GST rate cut: From diamonds to used cars, here’s full list of revised items

The changes will be effective from January 25; 15 states to start intra-state e-way bill from February 1

Two weeks ahead of Budget 2018, the GST Council on Thursday cut rates on 83 employment-oriented goods and services, in a bid to encourage greater compliance as revenues have dipped since the landmark reform was announced in July. The panel, headed by Finance Minister Arun Jaitley and comprising representatives of all states, at its 25th meeting decided to reduce tax rate on 29 items and 54 categories of services with effect from January 25. Businesses have raised concerns about high rates of taxation and cumbersome processes in GST, billed as India’s biggest tax reform in 70 years.

The goods on which GST will be lowered include biofuel-run buses, used motor vehicles and diamonds and precious stones.

Here’s the complete list:

List of goods on which GST rate recommended for reduction from 28% to 18%Old and used motor vehicles on the margin of the supplier, subject to the condition that no input tax credit of central excise duty/value added tax or GST paid on such vehicles has been availed by him.

Buses, for use in public transport, which exclusively run on bio-fuels.

List of goods on which GST rate recommended for reduction from 18% to 12%

Sugar boiled confectionary Drinking water packed in 20 litters bottles Fertilizer grade Phosphoric acid Bio-diesel Bio-pesticides Bamboo wood building joinery Drip irrigation system including laterals, sprinklers Mechanical Sprayer

List of goods on which GST rate recommended for reduction from 18% to 5%

Tamarind Kernel Powder Mehendi paste in cones LPG supplied for supply to household domestic consumersList of goods on which GST rate recommended for reduction from 12% to 5%Articles of straw, of esparto or of other plaiting materials; basketware and wickerworkList of goods on which GST rate recommended for reduction from 3% to 0.25%Diamonds and precious stones

List of goods on which GST will not be charged

Vibhuti Parts and accessories for manufacture of hearing aids De-oiled rice bran

GST rate cut on services

In the services segment, government will cut taxes on transportation of crude, gasoil, gasoline, jet fuel and services relating to mining, exploration and drilling of oil and natural gas, among other things.

Admission to theme parks, water parks, joy rides, merry-go-rounds, go-carting and ballet will now be taxed at 18% instead of 28% and on common effluent treatment plans services from 18% to 12%.


budget 2018: Drop GST price on biodiesel from 18% to five%, demands industry

Levy on Biodiesel has long gone from 6% in excise obligation to 18% in GST

Budget 2018 GST : suffering to live on regardless of the government ‘s easy electricity dream, biodiesel industries have demanded the goods and provider Tax (GST) charge on them be slashed from the cutting-edge 18 to 5 in keeping with cent.

The call for got here days after sun industry made a comparable pitch, declaring whilst the unrealistic levy on the sun panels is killing the Indian industry and giving an side to chinese language exporters.

On Tuesday, the Biodiesel association of India (BDAI) wrote to Union Finance Minister Arun Jaitley and Finance Ministers of West Bengal and Rajasthan seeking a reduction of high GST charge.

The apex industry frame pointed out that at the same time as there is a huge ability of manufacturing more cleanser fuel in India, the first-rate levy has offered the enterprise at the “breaking point of extinction”.

With the implementation of GST from July 1 2017, levy on Biodiesel has long gone from 6 per cent in excise duty to 18 in step with cent in GST.

“This has made Biodiesel dearer than excessive-speed Diesel (HSD) and biodiesel users will now not get any input credit for use of it. each those put together, the powerful value of Biodiesel has end up unviable to the stop customers. eventually the complete Biodiesel industry will come to a halt, regardless of this inexperienced gas having such environment and social advantages,” BDAI said in the letters.

Made directly from suitable for eating oil in same quantity, of which India is a second maximum consumer, the bio-diesel enables in decreasing the emissions by way of 30 to a hundred in step with cent, relying upon its mixture in the ordinary diesel.

“With 18 per cent GST, the charge come around Rs. 10 in keeping with litres, this is equal to everyday diesel,” BDAI President Sandeep Chaturvedi informed IANS.

At gift few states like Karnataka use a hundred in step with cent or zero-emission biodiesel buses, whilst states like Andhra Pradesh use 20 per cent blend bio-diesel.

“this indicates purifier surroundings, drop in imports and numerous jobs,” Chaturvedi said.

Indian Railways, nation transport companies, port authorities, construction and mining, jute, textile and chemical manufacturers among others are users of biodiesel in India.

presently India has an installed capability of 12 lakh tonnes in keeping with annum of biodiesel, of which real

manufacturing is three.five lac ton consistent with annum, but expected or ability manufacturing is ready 27.five lakh heaps according to annum.

“The industry employs 25,000 human beings directly and a hundred,000 humans indirectly and with the demand, employment requirement might go to an anticipated 500,000,” Chaturvedi said.

He similarly introduced that by means of alternative of 3.95 million MT diesel through biodiesel, India could store its foreign forex of approx. S$1.forty seven billion.

“this could go similarly up with an boom in combination Ratio from five in line with cent to twenty in step with cent,” he stated, adding that the biodiesel enterprise is likewise in discussions with the defence quarter.

Modi’s Independence Day speech is all about creating a ‘New India’

Says note ban helped nab shell firms and GST increased efficiency

In the penultimate Independence Day speech of his current term, Prime Minister Narendra Modi on Tuesday looked beyond the Lok Sabha polls due in April 2019 to give a call for building a “new India” by 2022.

If in his previous three speeches, the PM had announced such path-brea king steps as the abolition of the Planning Commission and schemes such as Startup India and Stand-Up India, Modi’s speech on Tuesday was devoid of new announcements except the launch of a website to honour gallantry award winners.

Instead, the PM focused on giving a report card of his government’s performance in the last three years and spelt out his vision of a “new India”. He indicated the lynchpins of his Lok Sabha campaign would be his government’s efforts at curbing corruption, building modern infrastructure, and delivering welfare.

Modi said by 2022, the 75th anniversary of India’s independence, he envisioned a country where each family would have a pucca house, electricity, and power supply; farmers would earn twice of what they get currently; the country would be free of terrorism, communalism, casteism, corruption, and nepotism; and it would be clean and healthy.

The PM appealed to people to leave behind the “chalta hai” attitude, to think of “badal sakta hai”, or we can transform. Asking countrymen to take the “New India pledge and move ahead”, the PM quoted from scriptures: “If we don’t accomplish work within a stipulated time, we shall not be able to get the desired results.”

Modi asked people to replicate between 2017 and 2022 the resolve Indians showed from 1942 (Quit India Movement) to 1947. He said if Quit India’s slogan was “Bharat chhoro” today’s slogan should be “Bharat jodo”. (more)

M&M Q1 profit down 20% as car sales slowed ahead of GST

Excluding the impact of GST that kicked in from July 1, the company earned a profit of Rs 8.60 bn

Company News : Homegrown auto major Mahindra & Mahindra (M&M) today reported 19.79 per cent decline in its standalone profit after tax (PAT) to Rs 765.96 crore for the first quarter of the current financial year as sales were hit by GST transition.

Mahindra & Mahindra Ltd posted an about 20 per cent fall in quarterly profit on Friday, missing estimates, as sales growth in passenger vehicles slowed ahead of the transition to a new nationwide tax.

The company had posted a profit after tax (PAT) of Rs 954.95 crore during April-June period of last financial year.

Excluding the impact of the Goods and Services Tax that kicked in from July 1, the company earned a profit of Rs 8.60 billion.

Analysts on average had expected a profit of 8.93 billion rupees, according to Thomson Reuters data.

Revenue from operations during the first quarter of 2017 -18 stood at Rs 12,335.56 crore, up 3.29 per cent from Rs 11,942.9 crore the year-ago period, M&M said in a regulatory filing.

The company’s vehicle sales were at 1,12,293 units during the first quarter. It sold 81,270 tractor units during the period under review.

Elaborating on the quarterly performance, M&M said the automotive industry was impacted due to impending transition to Goods and Service Tax in the first quarter of 2017-18.

Passenger vehicles sales were adversely impacted in anticipation of a price reduction in the new tax regime and reported a nominal growth of 4.4 per cent, it said. Read more

Business class traveller? Submit your company’s GST Identification Number

Company News : People travelling for business purposes on business class air tickets are now required to submit details about their companies to avail tax benefits under the GST regime.

The Goods and Services Tax (GST) framework, which came into effect from July 1, provides for certain input tax credit only on business class tickets and there is no such provision on economy class fares.

Air India, Jet Airways and Vistara – the three domestic carriers that offer business class seats have already sent out communications to inform passengers that GSTIN details need to be submitted in order to avail the benefits.

The GST Identification Number is issued to entities that are registered under the new tax regime.

“It is now mandatory for guests travelling for business to add their company’s GST details at the time of booking. To ensure a seamless experience, we request that you inform your guests travelling for business to register on our portal and claim up to 12 per cent back on flights,” Jet Airways said in a communication.

The GST rate on first class and higher class tickets is 12 per cent while the rate is 5 per cent on economy class tickets. The GST would also replace service tax, krishi kalyan cess and swachh bharat cess.

After submission of the details, the airlines would generate GST invoice for the particular travel and that invoice can be used to claim the benefits.

“It is not compulsory to provide GST details. GST registration details for your business or company may be optionally provided if a customer wishes to claim input tax credit on the GST paid if travelling for business reasons,” Vistara said in a communication.

According to Air India, all passengers requiring GST invoice for their tickets have to complete the one-time registration process on its website by entering the relevant details.

In its communication, Jet Airways also made it clear that “any bookings for leisure travel will not be entitled for GST benefits”.

Congress tweets old clips of Modi saying,’GST can never be successful’

Congress launches campaign on social media as govt prepares to launch GST at midnight

Company News : The Congress has decided to keep away from today’s special midnight meeting convened by the government for GST (Goods and Services Tax) launch. The Congress said it would stay away not just because this was an imperfect GST, but also given the atmosphere in the country when joblessness is increasing, farmers are being killed in police firing and Muslims being lynched.

Congress has also tweeted few clips of Prime Minister Narendra Modi on Twitter in which Modi is seen saying “GST can never be successful” and implementing it is “impossible” without the requisite infrastructure.

Rahul Gandhi has also posted few tweets opposing govt’s GST move.

“This is what Modi ji & the BJP really think of GST” is what the Congress captioned one clip.

“Modi ji how quickly you forget your own words. Why are you rolling out GST without developing the proper infrastructure,” is the caption to another clip, in which Modi calls the implementation of GST “impossible” without proper IT infrastructure.

Party’s decision came after Congress president Sonia Gandhi met former Prime Minister Manmohan Singh along with other leaders on Thursday. The party has been in a dilemma over attending the midnight event in Parliament and has had discussions with other parties, which are likely to follow suit. After obtaining views of her key aides, Sonia had taken the political decision to boycott the special session.

Sources said that initially, Congress leaders weighed the party’s options, as a group within felt that the GST was the party’s brainchild that has now been taken over by the BJP, and thus favoured attending the meeting. However, some leaders opposing it felt that the GST is being implemented in a haste and all aspects were not taken into consideration lea

Paytm GST clearance sale offers discount up to 80%, here are the best deals

You could win an Apple iPhone 7 on minimum purchase worth Rs 1,000 as well; sale ends on Thursday

Companies News :Paytm is running a pre-GST clearance sale on its e-commerce platform Paytm Mall. The three-day sale — June 13 to June 15 – offers discounts, cashbacks and a chance to win Apple iPhone 7 in a bid to clear the stock before the final roll-out of Goods and Services Tax (GST) in the country on July 1.

Under the Paytm Mall pre-GST clearance sale, the e-commerce portal is offering up to 80 per cent off on products including TVs, laptops, phones, cameras, air-conditioners and refrigerators. The clearance sale also offers a cashback of up to Rs 20,000 on DSLRs, televisions, laptops and air conditioners.

Apart from all the discounts and cashbacks, the e-commerce portal is offering a chance to win Apple iPhone 7 on a minimum purchase amount of Rs 1,000.

Here are some of the best deals that the Paytm Mall is offering under pre-GST clearance sale:

Apple iPhone 7

maximum retail price of Rs 60,000, is currently going on sale at a discount of 24 per cent for Rs 45,366. Also, the e-commerce portal is offering a cashback of Rs 5,750 that brings down the overall selling price of the smartphone to Rs 39,616. At this price, the iPhone 7 is a great deal.

Also Read : Apple iPhone 7 Plus, Apple MacBook Air 13, HP OMEN Gaming Laptop, Canon EOS 1300D DSLR camera, Canon EOS 5D Mark IV Kit (EF 24 – 105 IS II USM)