3% GST rate for gold is low: Economic Survey II

GST has subsumed 17 indirect taxes at the Centre and state level

Chief Economic Advisor Arvind Subramanian batted for a higher goods and services tax (GST) rate for gold and jewellery in the Survey, arguing these were consumed by the rich. 

The Survey also argued for inclusion of electricity, real estate, health and education in the GST framework, rolled out from July 1. “There is a need to simplify the GST tax structure in the medium term,” Subramanian told journalists.

The GST is expected to result in price reduction on account of lower taxation as compared to the combined incidence of central and state taxes previously, the Survey noted. 

It added that deflationary tendencies, including