close
This ad will auto close in 10 seconds

GST Council: All you need to know

The Goods and Services Tax (GST) Council is chaired by the Union Finance Minister and has Minister of State in charge of revenue and state finance ministers as members.


GST Council: All you need to know

Zee Media Bureau

New Delhi: The all powerful GST Council, which will decide on tax rates, exempted goods and threshold, will meet for the first time today (Sept 22) as it races against time to iron out issues between Centre and states for rolling out the new indirect tax regime from April 1, 2017.

The Goods and Services Tax (GST) Council is chaired by the Union Finance Minister and has Minister of State in charge of revenue and state finance ministers as members.

What would be the role of GST Council?

 

The GST Council will make recommendations to the Centre and the States on:

(i) the  taxes, cesses and surcharges levied by the Centre, the States and the local bodies which may  be subsumed under GST;

(ii) the goods and services that may be subjected to  or exempted from the GST;

(iii) the date on which the GST shall be levied on  petroleum crude, high speed diesel, motor sprit (commonly known as petrol), natural gas and aviation turbine fuel;

(iv) model GST laws, principles of levy, apportionment of IGST and the principles that govern the place of supply;

(v) the threshold limit of turnover below which the goods and services may be exempted from GST;

(vi) the rates including floor rates with bands of GST;

(vii) any special rate or rates for a specified period to raise additional resources during any natural calamity or disaster;

(viii) special provision with respect to the North-East States,  J&K, Himachal  Pradesh and Uttarakhand; and

(ix) any other matter relating to the GST,  as the Council may decide.

What is the guiding principle of GST Council?

The mechanism  of  GST Council would ensure harmonization on different aspects of GST between the Centre and the States as well as among States.

It has been   provided in  the Constitution (one hundred and first amendment) Act, 2016 that the GST Council, in its discharge of various functions, shall be guided by the need for a harmonized structure of GST and for the development of a harmonized national market for goods and services.

How will decisions be taken by GST Council?

The Constitution (one hundred and first amendment)  Act, 2016 provides that every decision of the GST Council shall be taken at a meeting by a majority of not less than 3/4th of the weighted votes of the Members present and voting.  

The vote of the Central Government shall have a weightage of 1/3rd of the votes cast and the votes of all the State Governments taken together shall have a weightage of 2/3rd of the total votes cast in that meeting. One half of the total number of members of the GST Council shall constitute the quorum at its meetings.

 

From Zee News

0 Comment - Join the Discussions

trending

photo gallery

video