Press Release
The 50th meeting of the GST Council, held in New Delhi under the chairpersonship of Union Finance Minister Smt. Nirmala Sitharaman, marked a major milestone and approved an extensive set of recommendations covering GST rate rationalisation, trade facilitation, and compliance reforms. On the rate front, the Council recommended reducing GST on several goods to provide relief and resolve long-standing interpretational issues, including lowering GST on uncooked and unfried snack pellets, imitation zari thread, LD slag, fish soluble paste, and molasses, while granting IGST exemptions on select medicines and food for special medical purposes used in the treatment of rare diseases. Important clarifications were issued on compensation cess for utility vehicles, taxation of raw cotton under reverse charge, and regularisation of past disputes relating to various goods. For services, the Council extended GST exemption on satellite launch services to private sector players to encourage start-ups and clarified tax treatment for GTA services, director-provided services, and food and beverage supplies in cinema halls. A major policy decision was taken to tax casinos, horse racing, and online gaming at a uniform rate of 28 percent on the full face value of bets or chips, with necessary legal amendments proposed. To ease compliance and reduce litigation, the Council approved relaxations in annual return filing, extensions of amnesty schemes, manual appeal mechanisms in specified cases, and multiple clarificatory circulars on refunds, input tax credit, e-invoicing, and valuation issues. Significant system-driven measures were also recommended to curb fake registrations and ITC misuse, including bank account validation, biometric Aadhaar authentication pilots, automated ITC mismatch detection, and strengthened recovery mechanisms. Overall, the decisions reflect a comprehensive effort to balance revenue interests with ease of doing business and stronger tax administration.
Other Press Releases
Major GST Rate Rationalisation and Citizen-Centric Reforms Approved by the 56th GST Council
The 56th meeting of the GST Council, held in New Delhi under the chairpersonship...
Read MoreGST Council Recommends Extensive GST Rate Rationalisation on Goods to Reduce Tax Burden
The GST Council, in its 25th meeting held on 18 January 2018 in New Delhi under ...
Read MoreGST Revenue Surges with Record 44 Percent Growth in May 2022 Collections
Gross Goods and Services Tax (GST) revenue collection for May 2022 stood at ₹1...
Read More