GST Council To Meet In Jaisalmer On Dec 21; Key Decisions On Insurance And Rate Cuts Likely
The 55th meeting of the GST Council, chaired by Union Finance Minister Nirmala Sitharaman, is scheduled for December 21 in Jaisalmer, Rajasthan. The council, comprising state finance ministers, is expected to deliberate on major tax policy changes, including a decision on exempting or reducing GST rates on health and life insurance policies.
Focus on Insurance Premiums
In its last meeting on September 9, the council tasked a Group of Ministers (GoM) to finalise recommendations on GST levy on insurance by October. Following discussions last month, the GoM has proposed significant changes, including:
- Exemption from GST for premiums paid for term life insurance policies and senior citizens' health insurance.
- No GST on premiums for health insurance policies covering up to Rs 5 lakh for individuals other than senior citizens.
- Retaining the 18 per cent GST for premiums on policies exceeding Rs 5 lakh in coverage.
