In the 43rd GST Council meeting, chaired by Finance Minister Nirmala Sitharaman announced exemption of IGST on COVID-19 relief items and Black Fungus Drug.
The ad-hoc exemption already available on COVID-related items acquired free has been extended till August 31, 2021, clarified Economic Affairs Secretary Tarun Bajaj. The exemption will depend on the items you’re importing, he added.
As a COVID-19 relief measure, a number of specified COVID-19 related goods such as medical oxygen, oxygen concentrators, and other oxygen storage and transportation equipment, certain diagnostic markers test kits and COVID-19 vaccines, etc., have been recommended for full exemption from IGST, even if imported on payment basis, for donating to the government or on the recommendation of state authority to any relief agency.
This exemption shall be valid upto August 31, 2021. Hitherto, IGST exemption was applicable only when these goods were imported “free of cost” for free distribution. The same will also be extended till 31.8.20201. It may be mentioned that these goods are already exempted from Basic Customs duty. Further in view of rising Black Fungus cases, the above exemption from IGST has been extended to Amphotericin B.
As regards individual items, it was decided to constitute a Group of Ministers (GoM) to go into the need for further relief to COVID-19 related individual items immediately. The GOM shall give its report by June 8, 2021.
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