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Tyranny of GST status quo: Incremental changes fail to address the problem

The reluctance to undertake comprehensive rate rationalisation, fearing revenue loss, is short-sighted

Finance ministry amends compounding rules for offences under Fema

The Finance Ministry on Thursday modified the compounding rules for offences under the Foreign Exchange Management Act (FEMA) by raising the monetary limits for adjudications by RBI officials and allowing online payments. As per the Foreign Exchange (Compounding Proceedings) Rules, 2024, the fees for filing compounding application has been doubled to Rs 10,000 plus GST, from Rs 5,000 earlier. The notification further said that Assistant General Manager rank officials of the RBI can decide on compounding application of up to Rs 60 lakh, up from Rs 10 lakh earlier. Similarly, the monetary limits for Deputy GM and General Manager rank officers have been raised to Rs 2.5 crore and Rs 5 crore respectively. Chief General Manager in the RBI will be authorised to decide on compounding cases of above Rs 5 crore. In a statement, the Finance Ministry said the Foreign Exchange (Compounding Proceedings) Rules, 2024, will replace the Rules issued in 2000. In pursuance of the Union Budget 2024-

Tax on EPF withdrawals: Know what rules say about deduction, exemption

To ensure accurate TDS deduction it is important to submit your PAN when applying for provident fund withdrawal

GST tweak on commercial rentals to bring higher revenue for govt: Experts

May lead to increased burden on tenants but would lead to tax parity, experts say

GST cut on key cancer drugs set to boost patient coverage, say experts

Move is part of ongoing initiatives to reduce financial burden for cancer patients

Key decisions ahead for GST Council: Rate cuts, slabs, compensation cess

The challenge will be to rationalise rates and adjust the part which is now collected as cess in a manner that makes the GST system more efficient and helps improve overall tax collection

GST indecision pressure insurance stocks; HDFC Life, SBI Life shed up to 4%

The GST Council has announced the formation of a new Group of Ministers to review the issue of GST rate reduction on health insurance.

Ram temple construction work likely to generate Rs 400 cr GST: Official

Shri Ram Janmabhoomi Teerth Kshetra Trust general secretary Champat Rai has said the ongoing construction work connected to the Ram temple in Ayodhya is estimated to generate Goods and Services Tax (GST) of nearly Rs 400 crore. However, the actual tax collection figure will be known only after the completion of the construction work, Rai said at a public felicitation function in Madhya Pradesh's Indore on Monday. "My estimate is that the government will get around Rs 400 crore as GST from the Ram temple construction work. A total of 18 temples will be built in the complex being developed on 70 acres. It will include temples of Maharishi Valmiki, Shabri and Tulsidas. We will pay 100 per cent tax. Not a rupee in tax will be reduced," he said. The Ram temple in Ayodhya is being constructed with the cooperation of society and arrangements are such that no one will face problems even if two lakh devotees arrive, said Rai, who is also international vice president of the Vishwa Hindu ...

54th GST Council meet: GoM to decide future of GST compensation cess

Relief to foreign airlines, secretaries panel on IGST

Bandhan Bank's new service allows GST payment through online, offline modes

Bandhan Bank on Monday announced the launch of a new service that allows its customers and non-customers to pay Goods and Services Tax (GST) through online and offline modes. "The initiation of GST revenue collections marks another significant milestone in our efforts to bring government services closer to our customers," said Rajinder Babbar, Executive Director & Chief Business Officer. The Kolkata-based private lender has also been authorised by the West Bengal government to collect taxes and non-tax receipts since February. This mandate allows the bank to collect revenue through the Government Receipt Portal System (GRIPS). Bandhan Bank currently has over 6,300 banking outlets across India.

GST Council moves closer to reducing GST on life, health insurance premiums

Shares of major insurance companies like Star Health, ICICI Lombard General Insurance, and Go Digit General Insurance traded in the red due to concerns over insurance premium GST rates

Will oppose GST on online transactions under 2000, research grants: Atishi

Delhi Finance Minister Atishi on Monday said they will oppose the Centre's proposal to impose GST on online transactions under Rs 2,000 as it would put a burden on start-ups. Atishi also reiterated that at the GST Council Meeting on Monday they would oppose imposition of GST on research grants procured by educational institutions. "There are many important issues that will come up in GST Council meeting. The first and most important is GST on research grants. Show cause notices have been sent to big educational institutes including IIT Delhi and Punjab University. It is wrong. Research is an investment in development of the country," she told PTI Videos. The Centre is not only decreasing research grants but also levying GST if educational institutions procure these grants, she said. The minister said online payments up to Rs 2,000 were exempted from GST but now there are talks that there will be a GST on online payments done through payment gateways. "This will create a burden on

Will raise GST issue on research grants in council meet: Delhi FM

Delhi Finance Minister Atishi on Sunday said she will raise the issue of imposition of GST on research grant procured by educational institutions in the 54th GST Council meeting. Addressing a press conference, the minister said, "The (central) government has reduced budget allocation for research from 2014 to 2024. If an educational institution gets research grant from a private entity, the government imposes 18 per cent GST, which is not justified. We will oppose it." She also said that taxes are not imposed on research grants in foreign countries such as the US and UK. Atishi said the second issue she will raise in the 54th meeting of the GST Council to be held on Monday is the imposition of GST on online transactions below Rs 2,000. "The central government is coming up with a proposal to impose GST on online transactions of less than Rs 2000. No GST was earlier imposed on such small transactions. We will oppose this proposal," she added. The GST Council on Monday is expected to

CBI arrests three in graft case in connection with Rs 60 lakh bribery case

The CBI has arrested three accused, including a superintendent from the Central Goods and Service Tax posted in an anti-evasion wing in Mumbai, in connection with a Rs 60 lakh bribery case, officials said on Sunday. Superintendent Sachin Gokulka, Chartered Accountant Raj Aggarwal and one Abhishek Mehta were arrested when they were allegedly receiving part payment of Rs 20 lakh as bribe, they said. The CBI had registered the case on a complaint against six officers of the Central Goods and Service Tax (CGST), Mumbai comprising Additional Commissioner Deepak Kumar Sharma, Joint Commissioner Rahul Kumar, four superintendents - Gokulka, Bijender Janawa, Nikhil Agrawal, Nitin Kumar Gupta, Aggarwal and Mehta. The case was registered on a complaint of a businessman, who alleged that he was confined for the whole night in the Santacruz office of the CGST on September four when he visited the office. He had alleged that he was released on on September 5 after 18 hours of confinement. "It wa

GST Council to deliberate on taxation of insurance premium, online gaming

The GST Council on Monday is expected to deliberate on a host of issues, including taxation of insurance premium, GoM's suggestions on rate rationalisation, and a status report on online gaming, sources said. Sources said the fitment committee, comprising Centre and state tax officials, will present a report on GST levied on life, health and reinsurance premiums and the revenue implications. The GST Council, chaired by Finance Minister Nirmala Sitharaman and comprising state ministers, will decide on whether to reduce the tax burden on health insurance from the current 18 per cent or exempt certain categories of individuals, like senior citizens. The deliberations will also happen with regard to the goods and services tax (GST) cut on life insurance premium. In 2023-24, the Centre and states collected Rs 8,262.94 crore through GST on health insurance premium, while Rs 1,484.36 crore was collected on account of GST on health reinsurance premium. The issue of taxation on insurance .

AAP labels GST on research grants as 'tax terrorism', seeks withdrawal

The Aam Aadmi Party (AAP) slammed the BJP-led central government on Saturday over the imposition of Goods and Services Tax (GST) on research grants, describing the move as "tax terrorism". The party also demanded a withdrawal of the tax on research grants. For the first time in history, a government is imposing a tax on grants received by research institutes, AAP general secretary (organisation) Sandeep Pathak said at a press conference. The Modi government has issued a notice to all institutes, proposing to impose GST on research grants received since 2017, he said, adding that it was a double layer of taxation since a part of the grants is used on consumables and equipment that are already taxed. Research grants are not taxed in any developed or developing country such as the USA, the UK, Germany, South Korea or Singapore. Imposing GST on research being done for the development of mankind and the country is "tax terrorism", Pathak charged. The Rajya Sabha MP also lashed out at t

K'taka govt urges PM to abolish 18% GST on health insurance premiums

The Karnataka government on Friday urged Prime Minister Narendra Modi to advise the GST Council, which is set to meet on September nine, to abolish the 18 per cent tax on health insurance premiums. "Ensuring a healthy India is a duty of every elected representative, beyond party lines. Imposing 18 per cent GST on health insurance is a regressive move, making healthcare less accessible to the common man," the state Health Minister Dinesh Gundu Rao said. "I have appealed to Prime Minister @narendramodi to take immediate action, advising the GST council to exempt health insurance premiums from GST. It's high time we prioritise the well-being of our citizens," he said in a post on 'X'. Rao said the GST on health insurance is in one of the highest brackets of taxation at 18 per cent and has been so since 2017 despite several protests from all stakeholders including politicians and policy makers across the board. "A GST so high on what is an essential service/necessity, especially in a p

GST relief on health insurance: Council likely to take up 4 options

Expected cost to exchequer likely between Rs 650 crore and Rs 3,500 crore

FM Sitharaman denies 'friction' in Centre-State ties over GST reform

Union Finance Minister Nirmala Sitharaman on Thursday denied any "friction" in the ties between the Centre and States over Goods and Services Tax and emphasised that the federal structure in this economic reform should be respected. Simplifying and easing compliance on the tax payers received top priority rather than raising revenue during all consultative meetings on the union Budget, she said. "Revenue is the last consideration with which every budget meeting happens. You may think that I am not telling the truth. The hard truth I would like to put before you. Yes, we like to raise revenue. During several consultations including those with Prime Minister Narendra Modi, revenue raising came last. But, simplifying, easing and compliance of taxpayers came first," Sitharaman said. Addressing a meeting on "The Finance Minister's Insight: Path Forward" held under the aegis of the Revenue Bar Association here, she said the average Goods and Services Tax (GST) rate decreased to 12.2 per .

Substantial subsidies for electric vehicles are no longer required: Gadkari

At the BNEF Summit, Union Minister Nitin Gadkari highlighted the lower GST rates on electric vehicles compared to those on petrol and diesel vehicles