In Chandigarh on Wednesday, the 47th GST council meeting was presided over by Union Finance Minister Nirmala Sitharaman, who resolved to impose taxes on dairy and agricultural goods. On July 18, 2022, the GST Council’s suggested adjustments will take effect. Regarding the GST rates for goods and services, the GST Council has issued the following suggestions. Below given is the full list of Items getting costlier & cheaper post-GST Revision:
Items that got Costlier
- Packaged food: The GST panel has agreed to include food that has been packaged in the scope of the GST. Pre-packaged foods like pre-labelled curd, lassi, salmon, ham, paneer, and buttermilk are expected to cost more and be subject to a 5 per cent tax.
- Bank cheque-book insurance: The GST Council has ruled that fees imposed by banks for issuing checks, whether loose or in book form, will be subject to an 18% GST.
- Hotels: The GST Council has voted to charge a 12 per cent tax instead of the current tax exemption category for hotel rooms that cost less than Rs 1,000 per day.
- Hospital beds: Patients will be charged by hospitals and subject to a 5% tax on hospital beds (excluding ICU) that cost more than Rs 5000 per day per patient.
- Heaters for solar water: The heater will now have a 12 per cent GST instead of the previous 5 per cent.
Meanwhile, the GST Council has voted to raise the tax on LED lights, lamps, knives, pumps, and machinery to 18%. Additionally, the GST Council has decided to raise the duty on printing and writing inks, drawing and marking tools, and work contracts for roads and bridges.
Items that got Cheaper
- Ropeway Rides: The GST Council has reduced the rates of GST for the transportation of goods and people via ropeways from 18 per cent to 5 per cent with Input Tax Credit services.
- Electric vehicles: automobiles GST was reduced by 5%.
- Goods carriage rent: GST on the rental of goods carrier with operators where the cost of gasoline is included in the consideration was reduced from 18 per cent to 12 per cent.
- Orthopaedic devices: The GST rate on splints and other fracture appliances, artificial body parts, worn, carried, or implanted appliances and intraocular lenses have been reduced from 12 per cent to 5 per cent.