Starting Monday, customers will have to shell out more money on household items, hotels, and bank services, among many other things, as the revised Good and Services Tax (GST) rates come into effect from July 18.
The GST rates were hiked on several items at the 47th Council Meet, chaired by Union Finance Minister Nirmala Sitharaman last month in Chandigarh.
While the GST council proposed to withdraw tax exemptions for a few items and rate changes for others, exemptions for many others were removed. The council also decided to remove duty inversion for goods where the inputs taxes were higher than those on the output.
Here’s what all will get costly from Monday:
- 5 per cent GST on pre-packed, labelled food items like atta, paneer, and curd
- 12 per cent GST on hotel rooms with the tariff of up to Rs 1,000/day, maps and charts
- 5 per cent GST on hospital rooms, except ICU, with rent above Rs 5,000
- 18 per cent GST on tetra packs, and cheques — lose or in book form
- 18 per cent on LED lamps, ink, knives, blades, pencil sharpener, blades, spoons, forks, ladles, skimmers, skimmers, cake servers; printing, writing and drawing ink; fixture and their metal printed circuits board
- 12 per cent GST on solar water heater instead of the previous 5 per cent
- Works contract for roads, bridges, railways, metro, effluent treatment plant, crematorium and others by 18 per cent
- 18 per cent GST on RBI, IRDA, and SEBI services and renting of a residential dwelling to business entities
- 12 per cent GST on bio-medical waste treatment facilities
Here’s what all will get cheaper:
- 5 per cent GST on ostomy appliances and on the transport of goods and passengers by ropeways from the previous 12 per cent
- 12 per cent tax against the previous 18 per cent for renting trucks, goods carriage where the cost of fuel is included
- GST exemption on air travel to and from north-eastern states and Bagdogra restricted to economy class only
- 5 per cent GST on electric vehicles, whether or not fitted with a battery pack
Source: Business Standard
https://www.business-standard.com/article/economy-policy/new-gst-rates-come-in-effect-from-today-what-changes-for-customers-122071800113_1.html
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