NEW DELHI: The GST Council will continue to rationalise rates going forward and the highest tax slab of 28 per cent would be gradually brought down, Minister of State for Finance Shiv Pratap Shukla said.
The Goods and Services Tax (GST) has a four-tier structure of 5, 12, 18 and 28 per cent. While majority of common use items have been exempted from GST, 28 per cent tax is levied on luxury, demerit and ‘sin goods’.
“The GST Council has already taken pro-active measures in rationalising GST rates in the recent past and the trend would continue in future wherever the taxation is deemed to be slightly on the higher side.
“The 28 per cent GST tax slab would fall as per genuine and legitimate aspirations of the people,” Shukla was quoted as saying in a statement by PHD Chamber of Commerce and Industry.
He said all glitches and loopholes in implementation of GST will be removed within a year of its implementation. GST, which unified over a dozen local taxes, was rolled out from July 1.
“Industry should not measure the execution of GST in its first phase of three months since it is such a vast tax reform and the Government should be given a minimum of year…For its perfect implementation,” the Minister said. (AGENCIES)
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