GST Council approves rate changes of 29 goods, 53 services, recommends policy changes
The Dollar Business Bureau The Goods and Services Tax (GST) Council, in its 25th meeting on Thursday, took some major decisions and approved change in rates of 29 goods and 53 categories of services and discussed measures for ‘anti-evasion’ in order to take care of faltering revenue of indirect taxes. The Council has also discussed measures to simplify the process for filing returns, however, a final decision for which has been deferred for the next meeting. The meeting of GST Council, the apex body on GST decision making chaired by Finance Minister Arun Jaitley, was vital as this was the last meeting before the announcement of Union Budget 2018. “GST Council has approved rate changes of 29 goods and 53 categories of services,” Jaitley said, ...
Govt cuts GST rates of 177 items in 28% tax slab
The Dollar Business Bureau The GST Council, in its 23rd meeting on Friday, has decided to cut rates from 28% to 18% for 177 items - from detergents to chewing gums. “The all-powerful GST council pruned the list of items attracting the top 28% tax rate to just 50 from 227 previously, Bihar Deputy Chief Minister Sushil Kumar Modi told reporters in Guwahati. The council, headed by Finance Minister Arun Jaitley, cut the list of items to 50 as against 62 items as recommended by the fitment committee. “There were 227 items in the 28% slab. The fitment committee had recommended that it should be pruned to 62 items. But the GST Council has further pruned 12 more items,” Modi said. He further said that ...
Handicrafts exports decline in first half of current fiscal: EPCH
Aamir H Kaki Export Promotion Council for Handicrafts (EPCH) said on Wednesday that handicrafts exports from the country were declined during the first six months of current financial year, due to disruptions caused by implementation of GST, exchange rates and some global matters. “The handicrafts exports from India during the first six months of 2017-18 were declined compared to a year ago. The exports during the period were Rs.12520 crore,” said O.P. Prahladka, Chairman, EPCH, while briefing the press on Wednesday on the eve of 44th edition of IHGF-Delhi Fair to be held from October 12-16. “However, the exports of handicrafts were Rs.24,392 crore during the financial year 2016-17, witnessing an increase of 13.15% compared to the previous year,” he added. However, Prahladka said ...
GST Council meet: Relief to exporters, small business; rate cut on 27 items
The Dollar Business Bureau After three months of the implementation of the Goods and Services Tax (GST), the GST Council, in its 22nd meeting on Friday has announced various measures to further simplify the new indirect tax regime. These measures include easing of rules for exporters, increase in composition scheme limit, relief to small and medium businesses in payment and filing of taxes, and rate cut in tax for 27 items. “It’s almost three months since GST roll out. Returns have been filed for first two months as well. So it was a time to deliberate on its effect on various trades and the transition,” said Finance Minister Arun Jaitley in a press briefing after the GST Council meeting. Relief to exporters Taking stock of ...
AEPC urges Govt to address embedded taxes issue before GST Council meet
The Dollar Business Bureau Ahead of the GST Council’s meeting on Friday, Apparel Export Promotion Council (AEPC) have urged the government to address the refund of embedded taxes on exports, including the levies on cotton, electricity, input tax credit restrictions for man-made fibres used in textiles and purchases made from unregistered dealers. The GST Council would take decisions on the IGST refunds at its Friday meeting in New Delhi, Sushil Kumar Modi, its Head of Group of Ministers (GoM) has said on Wednesday. As per an Industry representation, Middle East, South Asian and African countries have emerged as a significant market for Indian readymade garments and since lot of orders were already booked before the introduction of GST, the curtailment in duty drawback ...
AEPC demands refund of IGST on apparel machinery import
The Dollar Business Bureau Exporters’ body Apparel Export Promotion Council (AEPC) has asked the Ministry of Finance for the refund of Integrated Goods and Service Tax (IGST) paid on the import of machinery used by apparel manufacturer exporters. AEPC, in a letter written to Ministry of Finance, has stated that after the implementation of GST from July 1, 2017, apparel exporters are required to pay IGST up to 18% on assessable value plus basic customs duty (BCD) while clearing shipments of capital goods under the Export Promotion Capital Goods (EPCG) scheme. “The incidence of a very high IGST without any corresponding relaxation for export obligation has rendered the EPCG scheme unattractive,” AEPC said in a statement. In the letter written to GK Pillai, Chairman ...
DGFT meeting all the RA's to address GST issues
The Dollar Business Bureau The Directorate General of Foreign Trade (DGFT) is meeting all the regional authorities (RA's) to address issues related to the Goods and Services Tax (GST). In order to take stock of the exports situation in the post-GST regime, a meeting of all Regional Authorities of Directorate General of Foreign Trade (DGFT) and the SEZ Commissioners under the chairmanship of Director General of Foreign Trade, is being held on August, 10 and 11, 2017 in New Delhi. Regional Authorities, which are interfacing with the exporter community, will deliberate and give specific suggestions on GST and Mid-Term review of Foreign Trade Policy (FTP) 2015-20. These include measures for boosting employment generation, continued capacity building of export oriented Medium and Small Enterprises (MSMEs) and ...
Industry welcomes cut in GST rates on textile job work
Aamir H Kaki The textile industry has welcomed the Government’s move to cut the Goods and Services Tax (GST) on job work or the third-party services, but said some more leniency in cost is needed. In its meeting last week, the GST Council, chaired by Finance Minister Arun Jaitley consisting of representatives from all the states, had taken the decision to bring down the tax on all the job works such as weaving, knitting, cutting, and embroidery in the textile sector at from 18% to 5%. The 5% rate will be applied on job work in apparel, carpets and shawls. “We welcome this move of the government but it would be better if it is zero percent,” P M Shah, President, Southern Gujarat Chamber of Commerce and Industry (SGCCI) told The Dollar Business. “The thing is that the ...
