An overview of Finance Minister Mrs. Nirmala Sitharaman Press Briefing on GST
* GST reform is a structural reform, for ease of living, not just a rate reform
* Inverted duty problem corrected
* Classification issues sorted
* Reforms carried out with focus on common man
* In most cases, rates have come down drastically
* Labour intensive industry, farmers will benefit
* Health sector will benefit
* Decisions taken unanimously, not a single dissent from any State
* Trade facilitation measures and process reforms part of the decisions
* Rate changes to be effective September 22, first day of Navaratri
Rate Reductions:
Reduction of 18% & 12% to 5%:
* Hair oil, toilet soaps, bicycles, kitchen ware, table-ware
* Namkeens, Sauces, Pasta, Noodles, chocolates, coffee, cornflakes, ghee
5% to Nil:
* Ultra high temperature milk
* Paneer
* Indian Breads
From 28% to 18%:
* Air conditioners
* TVs above 32 inches
* Small cars
* Motorcycles ( below 350 cc )
* Cement
* Buses, trucks & ambulances
* Three wheelers
From 12% to 5%:
* On 12 specified bio-pesticides
* Natural Menthol
* Handicrafts
From 12% to Nil:
* 33 health saving drugs
From 28% to 5%:
* Spectacles
40% rate:
* Pan masala ( to be levied on Retail selling price i.e RSP )
* Gutkha
* Cigarettes ( on RSP )
* Tobacco
* Aerated Waters, Caffeinated beverages
* Motorcycles ( exceeding 350 cc )
* Helicopters ( for personal use )
Exemption:
* Exemption from GST on Health insurance for individual policy holders
