Since the measures taken at the 23rd GST Council meeting are expected to cost the exchequer around Rs 20,000 crore, further rationalisation on the remaining items by the fitment committee in the slabs of 5, 12 and 18 per cent will be taken up only after the stabilisation of revenues, the official added.
"Many daily-use FMCG products are set to become cheaper as producers have chose to pass on benefits to the consumers", Care Ratings said, according to The New Indian Express. Restaurants in starred-hotels that charge Rs 7,500 or more per day room tariff will be levied at 18 percent GST (Goods and Services Tax) but input tax credit (ITC), a facility to set off tax paid on inputs with final tax, is allowed for them. The revised rate will also be applicable on food delivery, whether it is made by the restaurant directly or via apps like Zomato or Swiggy.
The new tax structure for restaurants, which is being implemented from November 1, comes days after the Finance Minister Arun Jaitley expressed his displeasure over eateries not passing on the benefit of input tax credit to restaurant-goers.
As per Federation of Hotels and Restaurants Association of India President Garish Oberoi the information tax credit represents three to four percent of a restaurant's benefit, the report included. As per the reports, the council announced to cut down the rates of restaurants to uniform taxes 5% from 12% on the Non-Ac restaurants; 18% on the air-conditioned. Cars and motorcycles, home appliances such as dishwashers, washing machines and vacuum cleaners and tobacco products such as bidis and pan masala will be taxed in the 28% slab. In the biggest GST rejig yet, tax rates on items ranging from chewing gum to chocolates, to beauty products, wigs and wrist watches, were cut to provide relief to consumers and businesses amid economic slowdown. For instance, a customer would have to pay 18 percent GST for a cup of tea costing Rs 40 which would bring the total bill to Rs 47.50. From 18 percent duty to five percent, you will spare 13 rate focuses tax on your food tax. Tax on eight items was lowered from 12% to 5%, while six other items were moved from the 5% slab to nil. Last week, GST council has come over with another twist in GST rates. It decided that filing GSTR 3B would continuing till March 31, 2018.
Korea hit by 2nd biggest ever quake of 5.4-magnitude
Residents in Seoul, which is more than 300 kilometers away from the epicentre, felt tremors, and said their buildings shook. An aftershock of 3.6-magnitude took place in an area 7 km north of the coastal city, followed by third and fourth shocks.