GST rates reduced for several items
- IndiaGlitz, [Saturday,December 22 2018]
GST Council has delivered good news by reducing rates on several products. Finance Minister Arun Jaitley has informed the country that 6 items are no longer a part of the 28 percent tax bracket. As per early estimates, the rate reduction will affect revenues to the tune of Rs 5,500 Cr.
After the new changes, 28 items are in the 28 percent slab. These are mainly luxury and sin products. Air conditioners, dishwashers are also in this segment, so also 13 items of automobile parts, 8 items of the cement industry.
GST for cinema tickets comes with a babufied complication. Tickets costing above Rs 100 will be taxed at 18% instead of 28%. And those costing below Rs 100 will be taxed at 12% instead of 18%. This move has been welcomed by the film industry and the likes of Aamir Khan have thanked Narendra Modi.
Rate on special flights for pilgrims: Economy class is at 5 percent and business class is at 12 percent.
Third party insurance will be taxed at 12 percent.