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New Delhi : The GST Council at its 28th meeting held here on July 21, 2018, under the Chairmanship of Piyush Goyal, Union Minister for Railways , Coal, Finance & Corporate Affairs, took decisions relating to exemptions/changes in GST rates/ ITC eligibility criteria, rationalization of rates/ exemptions and clarification on levy of GST on services.
Multiple reliefs from GST taxation have been provided to following categories of services – 1. Agriculture, farming and food processing industry, (ii) Education, training and skill development,(iii) Pension, social security and old age support.
Hotel industry has been given major relief by providing that the rate of tax on accommodation service shall be based on transaction value instead of declared tariff.
Services provided in sectors like banking, IT have been provided relief by exempting services supplied by an establishment of a person in India to any establishment of that person outside India [related party]. As a green initiative, GST on supply of e-books has been reduced from 18 to 5%, according to a PIB release.
It is proposed to issue notifications giving effect to these recommendations of the Council with effect from July 27 , 2018.
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