GST Council cuts down tax rates : e-way bill relaxed.
GST Council headed by Finance Minister Arun Jaitley and representatives of each state decided to tax rates on textile industry and on tractor parts to reduce the cost of farm equipment. Tax rates in the textile industry was reduced to 5 per cent from previously applied 18 %. All the job works related to textile industry that varies from embroidery to weaving of apparels, shawls and carpets would be liable to pay 5 % as GST tax. The tractor part GST tax rate was reduced to 18%. Previously it was charged at 28%, making it hard for the farmers.
It has also decided to set up a committee for anti profiteering measures to ensure the GST benefit has been rightly passed on to consumers. CAB service providers will face 12 per cent GST if they claim input credit and 5% without input credit.
Also referring to e-way bill queries, Jaitley spoke in the favour of exempting the GST on goods to be transported inside the radius of 10 KM. For goods worth over Rs 50,000 will have to be pre registered under the new e-way bill provision. Depending upon the distance a permit would be issued to transport the goods. This paves the way pan India e-way bill that would eradicate the check posts. It would be all tech driven and less human effort would be required.
This session also highlighted exemption on goods and services related to Junior FIFA world cup hosted by India.
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