New Delhi: Uttarakhand Finance Minister Prem Chand Agarwal on Monday said the GST Council has decided that GST on online transactions below Rs 2000 proposal will be sent to fitment committee for further deliberations. It may be noted that payment aggregators PineLabs, Razorpay, BillDesk and CCAvenue and others are exempted from paying GST on transactions amounting to less than Rs 2,000.
The Uttarakhand Finance Minister said the Council confirmed that the issue of levying 18 per cent GST on payment aggregators for small digital transactions up to Rs 2,000 via debit and credit cards has been referred to the fitment committee.
The 54th GST council meeting headed by Union Finance Minister Nirmala Sitharaman is expected to discuss a fitment committee report on taxation of life and health insurance premiums.
Meanwhile, the Uttarakhand minister also conformed that the GST council has decided to cut tax on helicopter services for religious travels to 5 per cent.
“Helicopter services for religious purposes like Kedarnath, Badrinath has been reduced to 5 per cent from 18 per cent. There was no clarity on this. After this, there will be clarity,” Agarwal told mediapersons.
The GST Council is meeting to discuss on several issues like cutting taxes on life and health insurance premiums. Ahead of the meeting, reports suggested that the issue of levying GST on payment aggregators for small digital transactions will be deliberate upon.
The Centre and states collected Rs 8,262.94 crore through GST on health insurance premium in 2023-24. GST on health reinsurance premium amounted to Rs 1,484.36 crore.
It may be noted that the Opposition members demanded that health and life insurance premiums be exempt from GST. Even Union Transport Minister Nitin Gadkari also sent a letter to Sitharaman in regards to the issue.
The GoM on GST rate rationalisation is expected to present its report to the Council.
The GST Council is expected to discuss on a host of issues, including lowering of taxes on life and health insurance premiums. The GST Council cuts tax on helicopter services for religious travel to 5 percent. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
