GST Rate Rationalisation: Ministers Meet to Discuss Changes

The GST Council's ministerial panels are set to meet on October 19 to consider adjustments in GST rates, specifically targeting health and life insurance premiums. Led by Bihar Deputy Chief Minister Samrat Choudhary, the discussions aim to rationalize rates and broaden the 5% tax bracket.

The Goods and Services Tax (GST) Council's ministerial panels are scheduled to convene on October 19, focusing on rationalizing GST rates and potentially lowering the 18 per cent tax currently levied on health and life insurance premiums.

This marks the inaugural meeting of the 13-member Group of Ministers (GoM), chaired by Bihar Deputy Chief Minister Samrat Choudhary, tasked with proposing tax structures for various insurance categories including senior citizens and individuals with mental illness.

The GoM's mandate includes exploring a merger between the 12 and 18 per cent tax slabs, alongside revising rates on common goods to cover lost revenue. Discussions extend to adjusting taxes on medical, pharmaceutical items, and bottled water, aiming for fair distribution across income brackets.

(With inputs from agencies.)