GST Council’s decisions On Rate Changes

Speed Post News Network

New Delhi : The 38^th meeting of the GST Council met under the Chairmanship of Union Finance & Corporate Affairs Minister Nirmala Sitharaman here on December 18, 2019.

The meeting was also attended by Union Minister of State for Finance & Corporate Affairs Anurag Thakur  besides Finance Ministers of States & UTs and senior officers of Ministry of Finance.

The GST Council recommended following changes in GST rates, exemptions : To exempt upfront amount payable for long term lease of industrial/ financial infrastructure plots by an entity having 20% or more ownership of Central or State Government. Presently, the exemption is available to an entity having 50% or more ownership of Central or State Government. This change shall become effective from January 1, 2020 ; To levy a single rate of GST @ 28% on both State run and State authorised lottery. This change shall become effective from March 1, 2020, according to a PIB release.

The Council also considered the GST rate on Woven and Non-Woven Bags and sacks  of polyethylene or polypropylene strips or the like , whether or not laminated, of a kind used for packing of goods ( HS code 3923/6305) in view of the requests received post the changes recommended on such goods at last meeting and recommended to raise the GST to a uniform rate of 18% (from 12%) on all such bags falling under HS 3923/6305 including Flexible Intermediate Bulk Containers (FIBC). This change shall become effective from January 1, 2020.