Page 5 - Gst

Auto sector mixed; Maruti, M&M top MOFSL bets as GST decision looms

Maruti Suzuki's volumes dipped marginally by 0.6 per cent Y-o-Y to 181,000 units, with export growth of 40.5 per cent Y-o-Y offset by a 7.5 per cent drop in domestic sales.

India's net GST kitty increases 10.7% to ₹1.67 trillion in August

Gross GST collections in August, for transactions undertaken in July, stood at about Rs. 1.86 trillion, 4.8 per cent lower than the previous month

GST 2.0 should pave way towards single nationwide tax rate: Report

The long-term success of Goods and Services Tax (GST) lies in moving towards a single nationwide tax rate, and that GST 2.0 must act as the stepping stone by keeping to just two slabs 5 per cent and 18 per cent while capping the peak rate firmly at 18 per cent, not 40 per cent, a report said. "Creating a 40 per cent slab, even for a narrow set of sin or luxury goods, will set a precedent for creeping expansion. Over time, more items will be drawn into this category, undermining the very purpose of simplification," Think Change Forum, a think tank, said in a report on Monday. The report titled 'GST 2.0: Two Slabs Today, One Rate Tomorrow', strongly recommended pegging the peak indirect tax rate, including cesses, to 18 per cent. This will in one stroke remove anomalies such as inverted duty structures, cut down grey and illegal markets, reduce litigation and compliance burdens, and restore credibility to the GST system, it said. It is noted that the high-powered GST Council, chair

GST Council meet should promote federalism, not just grab headlines: Cong

Opposition-ruled states have extended their support to cut the number of GST rate slabs and the rates for mass consumption items, while demanding a mechanism to ensure the benefits get passed on to consumers, Congress leader Jairam Ramesh said on Saturday. He also said the Congress hopes that next week's GST Council meeting would not be just a "headline-grabbing exercise so typical of the (Narendra) Modi government". According to Ramesh, the eight opposition-ruled states have also demanded compensation to all states for a period of five years, with 2024-25 as the base year, since their revenues are bound to be adversely impacted by the rate cuts. They have demanded additional levies on 'sin' and luxury goods over and above the proposed 40 per cent be fully transferred to states, he said. "Eight Opposition-ruled states -- Karnataka, Himachal Pradesh, Jharkhand, Kerala, Punjab, Tamil Nadu, Telangana, and West Bengal -- have extended their support to the reduction in the number of GST

GST rate reforms: Oppn-ruled states call for additional levy for 5 yrs

At a consultative meeting in the capital, ahead of the GST Council's meeting on September 3-4, these states supported the Centre's proposal for rationalisation

Oppn states demand compensation for revenue loss due to GST reform proposal

Opposition-ruled states on Friday said the Centre's proposal for GST rate rejig could result in a revenue loss of about Rs 1.5 crore to Rs 2 lakh crore and demanded compensation for the losses incurred by them. Finance ministers from eight states -- Himachal Pradesh, Jharkhand, Karnataka, Kerala, Punjab, Tamil Nadu, Telangana and West Bengal -- decided to present their proposal to the GST Council at the next meeting on September 3 and 4. Their proposal for balancing rate rationalisation and revenue neutrality suggests levying an additional duty on sin and luxury goods in addition to the proposed 40 per cent rate to maintain the current tax incidence. The proceeds from this levy should be distributed among states, the opposition-ruled states demanded. Briefing reporters after a meeting of the eight states, Karnataka Finance Minister Krishna Byre Gowda said each state is expected to lose 15-20 per cent from its current Goods and Services Tax (GST) revenue. "The 20 per cent GST reven

GST authorities uncover Rs 104 cr tax evasion in illicit tobacco trade

GST authorities have detected 61 cases of illicit tobacco products, including cigarettes and pan masala, involving tax amounting to Rs 104.38 crore in the first quarter of the current financial year, as per government data. The Directorate General of Goods and Services Tax Intelligence (DGGI) and other authorities have detected these cases during the April-June period, it said. Besides, it said, customs field formations and Directorate of Revenue Intelligence (DRI) have seized around 3.93 crore sticks of cigarettes in the current financial year up to June 2025. According to the DRI data, seizures of smuggled cigarettes have witnessed a sharp spike between 2019-20 and 2023-24, rising by over 107 per cent in volume and more than 110 per cent in value. High-margin goods like gold, tobacco, and alcohol are heavily taxed, creating strong incentives for smuggling and tax evasion. Their high value and steady demand make them prime targets for illicit trade, often fuelled by arbitrage and

Apparel makers urge govt to fix 5% GST on all garments, end duty issues

The apparel industry has sought a flat 5% GST across all garments to prevent under-invoicing, grey market activity, and inverted duty structure under the proposed GST reforms

From July 2017 to Diwali 2025: India's evolving GST journey explained

As PM Modi promises a fresh round of GST reforms, here's a look at how India's biggest tax reform began in 2017 and how it has shaped the economy over the years

Zomato parent Eternal gets over ₹40 crore tax demand from GST authority

In its late-night regulatory filing on Monday, the company said the total demand includes ₹17.19 crore in GST, ₹21.42 crore in interest, and a penalty of ₹1.71 crore

Best of BS Opinion: The RBI's current policy framework has worked well

Today's Opinion Page looks at the RBI's recent discussion paper on inflation targeting, OpenAI's plans for India, the role of institutions in growth, and the recent GST rate cuts boost to growth

CII suggests reforms in GST; trade policy, jobs to achieve 'Viksit Bharat'

Industry lobby CII on Sunday unveiled a reform roadmap to accelerate India's economic transformation, pitching for a simplified GST structure, expanded coverage to petroleum and real estate, rationalised tariff structure, national employment and gig economy policies. The Confederation of Indian Industry (CII) in its report "Policies for a Competitive India", presents over 250 actionable recommendations across 14 critical reform areas. Developed through wide-ranging consultations with industry leaders, economists, and policy experts, the blueprint is aligned with the government's Viksit Bharat vision, it said. CII President Rajiv Memani said, "These recommendations are closely aligned with the government's reform trajectory and are in support of the Prime Minister's call for bold and transformative change. As a live document, policies for a Competitive India will continue to evolve, bringing fresh ideas to support policymakers." The reform areas include fiscal prudence, inflation ..

GST rationalisation: GoM backs Centre's proposal to end 12%, 28% tax rates

The Group of Ministers on Thursday accepted the Central government's plan to replace current GST rates of 12% and 18% for most items with a much-lower 5% and 18% slabs, as well as a steep 40% levy on

US tariffs may lower India's growth by 30 bps over a year, says HSBC report

Along with the 25 per cent tariff in effect, the US had imposed an additional 25 per cent penalty on India for importing crude from Russia

GoM meet today: What's on agenda as Centre pushes 2-slab GST reform plan

Finance Minister Nirmala Sitharaman to explain Centre's plan for two GST slabs of 5 per cent and 18 per cent, with a 40 per cent rate on select goods

Datanomics: GST rate-cut move chases push akin to the Laffer curve

GST collections expanded just 1.7 per cent in July, the slowest growth rate since the Centre began publishing monthly net receipts

Real money gaming firms on shaky grounds after increased 40% GST

Real money gaming firms say a proposed 40 per cent GST could drive users offshore or force closures, adding to the stress already caused by the 28 per cent levy imposed in 2023

GST tweaks may impact electric vehicle demand, near-term car sales

Move likely to benefit smaller cars which have been under pressure

Mobile phone makers pitch for 5% GST in rate revamp to spur demand

Industry bodies representing device makers had earlier this year petitioned the finance ministry for a shift to 12 per cent, as the government reviewed GST rate slabs

Traders likely to keep input tax credit on old stocks in GST revamp

The GST Council is also likely to update the tax administration system to ensure a smooth transition and shield businesses from additional costs