The Goods and Services Tax (GST) Board decided on Tuesday to scrap a host of tax exemptions and raise rates for an even larger number of mass consumer items. He approved a proposal to impose a 12% tax on hotel rooms costing less than Rs 1,000 per day.
The council has also agreed to levy a Goods and Services Tax (GST) of 5% with no Input Tax Credit (ITC) on hospital rooms with rent above Rs 5,000, excluding intensive care.
Hospital rooms, except intensive care with daily rent of Rs 5,000 to be taxed at 5% without input tax credit (ITC) — CNBC-TV18 (@CNBCTV18Live) June 28, 2022
The 2-day GST Council meeting, which kicked off on Tuesday, June 28, is chaired by Trade Union Finance Minister Nirmala Sitharaman in Chandigarh. The meeting also brings together State and Union Territory Finance Ministers and senior Union and State government officials.
The Council is expected to discuss a range of issues, including a mechanism for compensating states for lost revenue, changes to the rate of taxation of certain items and relaxed registration standards for small online vendors.
The Council will also authorize the collection of the highest tax of 28% on online gambling, casinos and horse racing.
This is a developing story
First post: STI