26 Mar 2025 06:39 PM
New

Import Duty and GST on Lifesaving Medical Devices

Source: https://taxguru.in/goods-and-service-tax/reducing-import-duty-lifesaving-drugs.html

Indian Government has clarified there are no current plans to reduce import duties on lifesaving medical equipment. Most medical devices attract a basic customs duty (BCD) ranging from 7.5% to 10%, while certain critical equipment, such as coronary stents and assistive devices for the disabled, attract nil BCD. Regarding GST, most lifesaving medical equipment already benefits from a concessional rate of 12%, compared to the standard 18%. The GST Council, a constitutional body representing Union and State Governments, prescribes GST rates and exemptions. No recommendation has been made by the Council for further GST reductions on such devices. For health and life insurance premiums, a Group of Ministers (GoM) was constituted during the 54th GST Council meeting on September 9, 2024, to examine the issues holistically. However, the GoM has not yet submitted its final report. The government also highlights that concessions and exemptions aim to make essential medical equipment accessible while supporting domestic manufacturing through indirect incentives.

25 Mar 2025 06:05 PM
New

Opposition leaders press for simplification, reduction of GST

Source: https://www.livemint.com/politics/opposition-leaders-press-for-simplification-reduction-of-gst-11742831101858.html

New Delhi, Mar 24 (PTI) Opposition members on Monday demanded the government to simplify and reduce the Goods and Services Tax (GST) as it is putting the burden on the poor.

25 Mar 2025 06:07 PM
New

Goa CM Sawant appointed convenor of GoM on GST revenue analysis

Source: https://www.livemint.com/focus/goa-cm-sawant-appointed-convenor-of-gom-on-gst-revenue-analysis-11742882556463.html

Panaji, Mar 25 (PTI) Goa Chief Minister Pramod Sawant has been appointed as the convenor of the Group of Ministers (GoM) on GST revenue analysis, officials said on Tuesday.

25 Mar 2025 06:16 PM

Fund transfers to states under 15th Finance Commission declined 52% over 3 years

Source: https://www.livemint.com/economy/fund-transfers-to-states-under-15th-finance-commission-declined-52-over-3-years-11742880536416.html

NEW DELHI : The Centre’s revenue deficit grants to states have sharply declined in recent years, reducing the funds states receive under the 15th Finance Commission’s recommendations.

25 Mar 2025 06:12 PM

IndusInd Bank share price falls over 5% after ₹30 crore penalty for ‘various GST issues’

Source: https://www.livemint.com/market/stock-market-news/indusind-bank-share-price-falls-over-5-after-rs-30-crore-penalty-for-various-gst-issues-11742891325004.html

IndusInd Bank share price has plunged 35% in one month and is down 30% on a year-to-date (YTD) basis. Over the past six months, IndusInd Bank shares have dropped 54%, while the banking stock has declined 34% in two years.

24 Mar 2025 06:25 PM

Navigating GST registration hurdles: What freelancers and small businesses should know

Source: https://www.livemint.com/money/personal-finance/gst-registration-for-freelancers-small-businesses-gst-registration-process-msme-udyam-certificate-professional-tax-11742661198373.html

Registering for GST as a freelancer or small business owner seems simple on paper. A quick look at the mandatory requirements on the official website shows that you need just two documents–your picture and proof of the residence where you will conduct your business, like an electricity bill or a rent agreement.

20 Mar 2025 06:22 PM

GST Reduction on Health Insurance: Government’s Stand

Source: https://taxguru.in/goods-and-service-tax/gst-reduction-health-insurance-governments-stand.html

Indian government has stated that any reduction in GST on health insurance policies is expected to benefit consumers directly, as GST is charged over and above the insurance premium. The government has a regulatory framework to oversee insurance pricing and ensure fair market competition. The GST rates and exemptions are determined by the GST Council, which includes representatives from both the Union and State governments. The issue of GST on health and life insurance was discussed in the GST Council’s 54th meeting in September 2024, leading to the formation of a Group of Ministers (GoM) to examine the matter in detail. During the 55th meeting in December 2024, the GoM requested additional time to finalize its recommendations. Consequently, the government has not yet made any decisions on tax benefits, anti-profiteering measures, or potential revenue losses for states due to GST reduction on health insurance. Further steps will depend on the final recommendations of the GST Council.

20 Mar 2025 06:35 PM

GST Simplification and Financial Inclusion Updates

Source: https://taxguru.in/goods-and-service-tax/simplifying-gst-structure.html

The GST Council formed a Group of Ministers (GoM) in September 2021 to review GST rate rationalization, aiming to simplify tax slabs, reduce exemptions, and improve compliance. The GoM submitted an interim report, which was reviewed in the 47th GST Council meeting, and no pending proposals are currently under consideration. On financial inclusion, the government has expanded banking services using the Jan Dhan Darshak (JDD) App, ensuring banking outlets are within 5 km of nearly all inhabited villages. As of February 2025, 99.90% of the country’s 6,01,328 villages have access to banking services. Additionally, 107 Digital Banking Units (DBUs) have been established to enhance digital banking infrastructure, following the launch of 75 DBUs in October 2022 as part of India’s 75th Independence celebrations.

20 Mar 2025 06:31 PM

Impact of GST Hike on Agricultural Pump-Sets

Source: https://taxguru.in/goods-and-service-tax/impact-gst-hike-agricultural-pump-sets.html

Indian government has acknowledged that manufacturers of agricultural pump-sets have reported a decline in sales due to the increase in GST from 12% to 18%. However, no official data on a 10% decline in sales has been brought to the government’s notice. The GST rate hike was implemented following the 47th GST Council meeting in June 2022, based on recommendations from the Group of Ministers on Rate Rationalization. The increase aimed to correct the inverted duty structure. Regarding concerns over claiming input tax credit refunds, the government clarified that since both pumps and their parts now fall under the 18% GST bracket, the issue of refunds does not arise. Any future changes in GST rates will depend on further recommendations from the GST Council.

20 Mar 2025 06:38 PM

GST Compliance Simplification for MSMEs and Small Taxpayers

Source: https://taxguru.in/goods-and-service-tax/ease-compliance-gst.html

The government has implemented various measures to simplify GST compliance for MSMEs and small taxpayers, based on recommendations from the GST Council. Key initiatives include raising the GST registration threshold for goods suppliers to ₹40 lakh and increasing the turnover limit for the composition scheme to ₹1.5 crore. Small taxpayers can opt for quarterly return filing under the QRMP scheme, while NIL returns can be filed via SMS. The refund process has been fully digitized, and taxpayers with turnover up to ₹2 crore are exempt from filing annual returns. Automated return generation, UPI and credit card payment options, and the waiver of mandatory registration for intra-state e-commerce suppliers have further eased compliance. Retrospective amendments extend input tax credit deadlines, and late fee structures have been revised to reduce the burden on smaller businesses. Additionally, certain GST offences have been decriminalized to facilitate smoother business operations.