In a potential blow to ordinary people’s wallets, the GST Board, at its 47th meeting on June 28, approved the removal of the Goods and Services Tax (GST) easing for several packaged food products. and unmarked.
Pre-packaged and labeled food products like rice, meat, fish, curds, paneer and honey will now be subject to 5% GST, a tax that will also be levied on the fees banks charge for the issuance of checks. Previously, unbranded food products were exempt from the GST.
What’s getting expensive
In a report by ET Now, curd, lassi and buttermilk will cost 5% more because these items will be purchased within the limits of the lowest tax bracket.
A 5% GST has also been proposed by the Council on items such as unfrosted coffee beans, unprocessed green tea, wheat bran and rice bran.
Groceries aren’t the only things that are getting expensive, as getting treatment in a hospital or vacationing in a hotel room has also become expensive. Hospital rooms priced above ₹5,000 per day will invoke 5% GST and hotel rooms priced above ₹1,000 will invoke 12% GST.
Is there a relaxation
Businesses in the transport and small e-commerce sectors have something to look forward to, as the GST Board is said to have reduced the tax on cable cars, freight transport rentals, which includes the cost of fuel, and exempted the foreign component of the package tour of the structure of direct taxes.
The transport of goods and passengers by ski lift will now be taxed at a lower rate of 15% instead of 18% previously.
Regarding the ongoing meeting of the GST Council, Pradeep Multani, President of the PHD Chamber of Commerce and Industry, asked the Council to maintain the status quo in the GST rates for essential items.
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