Computer, Smartphones, Butter May Get Cheaper With Proposed GST Slab Changes: Report
The Goods and Services Tax (GST) Council's fitment committee, which is made up of central and state officials, is looking into the possibility of eliminating some of the rates, especially the 12 per cent slab. The committee has started over with a new rate rationalization exercise in order to achieve a revenue-neutral structure.
According to the reports, the current financial year can see a major overhaul in GST slabs. These major changes can come from cutting one of the slabs from the current GST slabs.
The fitment committee of the goods and services tax council may remove the 12 per cent and make it a 3-slab system instead of the five slabs that India currently has.
The four slabs of the Goods and Services Tax (GST) are 5 per cent, 12 per cent, 18 per cent, and 28 per cent. The GST replaced several state and central taxes. In addition to the four main slabs, there is a top-up compensation cess on some goods, like cars, and 1.5 per cent and 3 per cent taxes on jewelry and cut diamonds, respectively, as well as precious metals.
