Cabinet clears 4 supplementary GST bills
- Author: Leroy Wright Mar 21, 2017,
Mar 21, 2017, 9:06
The Union Cabinet on Monday approved four Goods and Services Tax (GST) legislation which includes The Central Goods and Services Tax Bill 2017 (The CGST Bill), The Integrated Goods and Services Tax Bill 2017 (The IGST Bill), The Union Territory Goods and Services Tax Bill 2017 (The UTGST Bill) and The Goods and Services Tax (Compensation to states) Bill 2017.
The Union Cabinet on Monday approved four legislations required to implement the goods and services tax (GST), allowing for their introduction in parliament this week.
The four bills are likely to be taken up by the parliament this week, and a separate state GST bill in state assemblies later, the official also said, requesting anonymity ahead of a planned news briefing.
The CGST Bill makes provisions for levy and collection of tax on intra-state supply of goods or services for both by the Central Government. "The passage of these four GST-related bills will pave the way for the biggest reform in the area of indirect taxes in the history of independent India".
The legislations will be introduced in the Parliament this week as money bills.
Implementation of the service tax provision for self-financing educational institutions will lead to an increase in tuition fee for the students, the federation's office bearers and members said at a press conference.
The federation held its second executive committee meeting here to discuss the issue along with other "problems" that the member institutes are facing.
Integrated GST Bill: The IGST bill decides the tax regime for levy and collection of GST on supply of goods and/or services carried out between different states by the Central Government.
Abhishek Rastogi, partner, Khaitan & Co, said in a note that the 1 July GST roll-out deadline seems realistic. While the cess on luxury goods has been capped at 15 per cent, the maximum cess on pan masala has been capped at 135 per cent and it is 290 per cent for tobacco.
The Compensation Bill provides for compensation to the States for loss of revenue arising on account of implementation of GST, for five years, as per Section 18 of the Constitution (101st amendment) Act, 2016.