New Delhi: In a move expected to bring prices down from the current levels, the Goods and Services Tax (GST) Council has decided on a four-slab tax rate for services along with the novel concept of input credit for goods used.
The Council concluded its two-day meeting with the decision to apply the same four tax rate slabs for services as for goods, but exempted healthcare and educational services from the purview of the GST.
However, no consensus could be reached on the rate to apply on gold as well as beedi. The Council will meet again on June 3 in New Delhi for a decision in this regard.
Union Finance Minister Arun Jaitley has said that under GST, services will get the benefit of input tax credit for the goods used, effectively making the real incidence of taxation lower than the headline taxation rate.
Check out the complete list of services under GST:
http://www.cbec.gov.in/resources//htdocs-cbec/gst/Schedule%20of%20GST%20...
GST has been billed as the biggest tax reform since the Independence and seeks to have uniform taxation for various goods and services across the country, uniting it as a single market by subsuming a plethora of state and central levies.
