GST REVISED RATE | S K and Associates

GST Council lowers rates for 66 items, increases limit for Composition Levy

The all-powerful GST Council headed by the Hon'ble Finance Minister, Mr. Arun Jaitley met for the sixteenth time with an agenda to review the rates on basis of representation made by the Industries & Traders & take up pending Draft Rules. Ahead of this meeting, we have moved one step more closure towards GST rollout from July 1, 2017 as envisaged.

With the conclusion of the 16th GST Council meet on June 11, 2017, the gist of the key takeaways from the meeting of the GST Council are as under:

Revised GST rates for certain goods:

The GST Council has reduced the GST rates on 66 items i.e. nearly half the 133 items on which representations had been received including cashew nuts, packaged foods such as sauces and pickles, agarbatti, insulin, school bags, children's colouring books, cutlery and some tractor components etc. In this regard, the Hon'ble Finance Minister, Mr. Arun Jaitley has said that "in certain cases the rate fitment committee went beyond the equalization principle of maintaining the current tax incidence".

Gist of the Schedule of Revised GST Rates for Certain Goods:

Sl. No.

Description of Goods

Earlier GST Rate

Revised GST Rate

1.

Plastic beads

28%

12%

2.

Rough precious and semi-precious stones

3%

0.25%

3.

Aluminum foil

28%

18%

4.

Fixed Speed Diesel Engines

28%

12%

5.

Printers [OTHER THAN MULTIFUNCTION PRINTERS], Computer monitors not exceeding 17 inches

28%

18%

6.

Ball bearing, Roller Bearings, Parts & related accessories

28%

18%

7.

Transformers Industrial Electronics, Electrical Transformer

28%

18%

8.

Electrical Filaments or discharge lamps

28%

18%

9.

Insulin, Agarbattis, Cashew nut & Cashew nut in shell

12%

5% (in case of Cashew nut in shell, under reverse charge)

10.

Kitchen use items like pickles, mustard sauce, and morabba

18%

12%

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