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The GST Council reduced rates on stationery items such as maps, pencils, crayons and notebooks, making them tax-free.
AyraNews24x7
As the GST Council announced a major rate cut on Wednesday, several stationery items were made tax-free. These items include maps and hydrographic or similar charts, including atlas, wall maps, topographical plans and globes; Pencil sharpener; Pencil (including propelling or sliding pencil); Crayon; Pastel; Charcoal and tailor chalk; Eraser; Exercise books; Graff books; Laboratory notebook; And notebook.
Earlier, all the above items fell under 12% tax slab, except the eraser, which was taxed at 5%.
Addressing the press after the 56th GST Council meeting, Union Finance Minister Nirmala Sitarman announced a cut in major Goods and Services Tax (GST) rate, stating that with the newly approved two-tier tax rate system, the common man would benefit greatly.
The council approved the proposal of the Center to streamline the indirect tax structure in a dual slab system of 5% and 18%, with a special 40% slab for sin and luxury goods.
This overhaul will replace the existing four major slab-5%, 12%, 18%and 28%-with a simple two-day system. Under the new structure, the required or “merit” goods will be taxed at 5%, while most of the goods and services fall under the 18% standard rate.
The new rates will be applicable from September 22, on the first day of Navriri, Sitarman announced.
“These reforms have been done with focusing on the common man. Each tax on the daily use of the common man has undergone rigid review and in most cases the rates have decreased significantly. Labor-intensive industries have been given good support. Farmers and agriculture sector as well as health sector, will also benefit. The major drivers of the economy will be prominent.”
The decision is one of the most important tax reforms since the GST rollout in 2017.
This step follows the Independence Day promise of Prime Minister Narendra Modi of “Diwali Gift” as a GST overhaul.
Manisha Roy is a senior sub-editor at the General Desk of AyraNews24x7.com. She comes with more than 5 years of experience in the media industry. She covers politics and other difficult news. He can be contacted on manisha.roy@nw18 …Read more
Manisha Roy is a senior sub-editor at the General Desk of AyraNews24x7.com. She comes with more than 5 years of experience in the media industry. She covers politics and other difficult news. He can be contacted on manisha.roy@nw18 … Read more
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