Most eyes are on the GST Council meeting to be held on 3 and 4 September. The reason for this is that the decisions of this meeting are going to be a big bang even before Diwali. GST Council will take many big decisions to pave the way for GST 2.0
Add informalnewz.com as a Preferred Source
GST Council meeting: The GST Council meeting is going to start in New Delhi from 3rd September i.e. tomorrow. This two day meeting will end on 4th September. Most eyes are on this GST Council meeting. The reason for this is that the decisions of this meeting are going to be a big hit even before Diwali. The government is going to make the biggest reform in the GST structure implemented from 1st July, 2017. The GST Council will take many such decisions in the meeting of 3-4th September which will change the entire structure of GST. The most important among these is that now there will be only two slabs of GST instead of four.
There will be only two slabs instead of four
The government will retain only the 5% and 18% slabs. The 12% and 28% slabs will be abolished. GST Council’s ex-officio secretary Arvind Srivastava had issued a circular regarding the meeting of 3-4 September last month. According to the notice issued by the Revenue Secretary, a meeting of the state and central government officials was also held on September 2 regarding this meeting.
40% slab for sin products
The GST Council meeting is going to be held about two weeks after Prime Minister Narendra Modi’s big announcement of GST. On 15 August, i.e. Independence Day, from the ramparts of the Red Fort, Prime Minister Modi had announced double happiness to the countrymen on Diwali. Along with the two-slab structure, the GST Council can also decide on an additional slab of 40 percent, under which items like sin pay demerit products like tobacco, cigarettes and luxury goods will come.
Demand will increase in both urban and rural areas
Many people believe that GST 2.0 will boost consumption in the country. Demand for things will increase in both urban and rural areas. Political analyst Ayush Nambiar said, “The tax system in India before GST was no less than a traveling circus. Every state had its own rules of the ringmaster. Every border was like a new ticket counter. There was more confusion than commerce in this show.”
Uniform rates in case of tax with GST
He said that the revolution will begin with the beginning of the dialogue. For the critics of GST, this new tax system was a box of complexities. But it gave a divided country a form of a market, a vision. There is still scope for improvement in it. The desire is to create a tax system that can create a single identity of India. For a country like India, this is not just a reform but nothing less than a revolution. GST collection in August increased by 6.5 percent on a year-on-year basis to Rs 1.86 lakh crore.
