GOODS AND SERVICES TAX

May 29, 2021

The 43rd GST Council met under the Chairmanship of Union Finance Minister.

The GST Council has made the following recommendations:

  • 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.

  • In view of rising Black Fungus cases, the above exemption from IGST has been extended to Amphotericin B.

  • To support the LympahticFilarisis (an endemic) elimination programme being conducted in collaboration with WHO, the GST rate on Diethylcarbamazine (DEC) tablets has been recommended for reduction to 5% (from 12%).

  • GST on MRO services in respect of ships/vessels shall be reduced to 5% (from 18%).

  • The Finance Minister also announced an amnesty scheme for small GST taxpayers, allowing filing of returns with reduced late fees.

  • the GST Council will hold a special session to discuss extending paying compensation to states beyond 2022.

  • Annual return filing has also been simplified. The Council has recommended amending the CGST Act to allow for self-certification of reconciliation statements, instead of getting it certified by Chartered Accountants. 

Source : The Hindu