Will GST be structurally overhauled at the Council's meeting in Lucknow?

Apart from fewer slabs, the council will do well to take on issues like bringing petroleum under GST, addressing conflicting rulings of AARs and the issue of compensation to states beyond 2022

The GST Council will meet in Lucknow on Friday to discuss a host of issues, including extending the exemption given to medicines and equipment used in Covid treatment, and levy of the Covid cess on pharmaceuticals and power sector for intra-state supplies in Sikkim.

While the Council, chaired by union finance minister Nirmala Sitharaman, takes up these issues, it should also consider reforming GST structurally. Precisely, it should consider merging the 12 per cent and 18 per cent tax slabs initially,  while moving to fewer rates in the next few years. Tt should also take up operationalising the central authority