While ruling out the concept of single GST rates, the Finance Minister, on Monday said that those seeking a single rate for GST have no understanding of tariff structure.
He also added that there is a scope for further rationalization GST rates. “This rationalization is a three to four-month exercise,”
The finance minister reportedly said that “It is juvenile politics to link GST rate rationalization with elections or political demand,”
The 23rd meeting of the GST Council, on Friday, removed certain consumption goods from a higher tax of 28 percent. Resultantly, only 50 items remained in the list of goods which attract 28 percent. Earlier, 227 items were there in the 28 percent slab.
Goods like chocolates, chewing gum, shampoo, deodorant, shoe polish, detergents, nutrition drinks, marble, and cosmetics will not attract a higher rate of tax now.
The finance minister observed the decisions in the council meeting as consensus decisions. About 178 items of daily use were shifted from the 28% tax bracket to 18%, while a uniform tax bracket of 5% is applicable for both air-conditioned and non-AC restaurants.
