For your information, let us tell you that a very important meeting of the GST Council is going to be held on 3-4 September. In this meeting, a decision can be taken to reduce the GST slab from 4 to 2 and reduce the tax rates on many products. This will have a direct impact on the monthly budget of the common man.
Meanwhile, the Group of Ministers (GoM) has submitted its recommendations regarding the reduction in GST rates to the GST Council, which will now take a final decision on it. However, according to sources, no consensus has yet been reached in the group of ministers on the removal of cess.
Students and the general public will get big relief
Students and the general public are expected to get big relief from this meeting of the GST Council. The Group of Ministers has recommended keeping many food products, including milk, cheese, roti, paratha, pizza, and bread, under the purview of zero GST.
Apart from this, zero GST is also proposed on educational products like pencils, erasers, and map atlases, which currently attract GST from 5% to 12%. This step of the government will directly benefit the common people, as it will reduce the cost of raising children.
Will medicines and medical equipment become cheaper
The group of ministers has suggested reducing taxes on many medical products. According to sources, it is proposed to reduce GST from 5% to zero on medicines for rare diseases. GST on more than 30 cancer medicines can be reduced from 12% to zero. Similarly, it has been suggested to reduce GST from 12% to 5% on medical-grade oxygen, iodine, and potassium iodate.
It is proposed to reduce GST on bandages from 12% to 5%. GST on surgical rubber, gloves, diagnostic kits, blood glucose monitoring systems, test strips, X-ray equipment, glasses, and goggles can be reduced from 12% to 5%. GST on thermometers and surgical equipment is proposed to be reduced from 18% to 5%.
These food items can also become cheaper
GST on agricultural products, fertilizer acid, and bio-pesticide is proposed to be reduced from 18% and 12% to 5%. The limit of 5% GST on readymade clothes can be increased from ₹ 1000 to ₹ 2500. GST on readymade clothes above ₹ 2500 is proposed to be increased from the current 12% to 18%.
Similarly, GST on renewable products like kitchenware and solar cooker heaters is proposed to be reduced from 12% to 5%. In food items, GST on butter, ghee, dry fruits, condensed milk, jam, fruit jelly, bhujia, juice, and fruit pulp can be reduced from 12% to 5%. At the same time, 5% GST is proposed on ice cream, pastries, water bottles, etc., which currently fall in the slab of 18%.