GST council abolishes inter-state tax; raises composition threshold limit to Rs 2 cr
GUWAHATI: The GST council today decided to raise Composition Scheme threshold to Rs 2 crore and decided that there will be no inter-state taxes and input tax credit for composition dealers.
The Council, which held its 23rd meeting in Guwahati, decided only 50 items, mostly demerit, sin and luxury goods will be in the top 28 per cent tax bracket. “Lower 18 per cent GST will be levied on chewing gums, chocolates, after shave, deodorant, washing power, detergent, marble,” Bihar Deputy Chief Minister Sushil Modi told reporters.
The council pruned the list of items attracting the top 28 per cent tax rate to just 50 from 227 previously, Mr Modi told reporters here. In effect, the council cut rates on 177 goods.