From Our Bureau
NEW DELHI: The 49th Goods and Services Tax (GST) Council meeting chaired by Union Finance Miniter Nirmala Sitharaman at the Vigyan Bhawan here on Saturday postponed the subject of the GST Tribunal for the next meeting to incorporate suggestions from the states.
Sitharaman said it would be taken up the next time after some more refinement incorporating suggestions from some states are incorporated.
She also discussed with the state ministers on steps to curb tax evasion on pan masala and gutka business.
STATES’ DUES: Sitharaman also announced that the Centre will also clear the entire pending balance of the GST compensation cess of Rs 16,962 crore to the states. In other words, the entire pending balance of GST compensation will be cleared.
The Council deliberated on the recommendations of the Group of Ministers (GoM) on the GST Appellant Tribunal (GSTAT). The states of UP, Maharashtra, West Bengal, Kerala, and Rajasthan have expressed their concerns.
The States of Bihar and Punjab too opposed the recommendations of the Council. The States have expressed their reservations that they want a separate state tribunal from the proposed National Tribunal.
Fifteen states have opposed recommendations made by GoM on Appellate tribunals.
Thirteen members of the GST council expressed interest for state tribunalsm according to Tamil Nadu Finance Minister P Thiaga Rajan, who also said that the GST Council has deferred the decision on the Appellate Tribunal.
Among the GST rates tweaked in the meting include the pencil sharpener reduced from 18% to 12%, reduction of GST rate on liquic jaggery and certain tracking devices, 18% to nil GST on loose RAB (liquid jaggery) and 5% on the packaged RAB.
The meeting fixed the late fee of Rs 25 per day for the annual returns up to Rs 5 crore.
The Council also decided to tax services supplied by courts and tribunals under the reverse charge mechanism.
