The GST council, which was scheduled to hold its 48th meeting via video conference next week (Dec. 17), is likely to discuss cutting the GST rate on health insurance from the current 18 percent to 12 percent now, according to a FE report. It added that the Council would also consider two reports: on the establishment of appeal bodies and the decriminalization of criminal offences.
During the meeting, the Council, which is led by the Minister of Finance of the Union and consists of representatives of all states and UTs, can also decide on matters such as the GST levy on casinos, online gambling and horse racing, tariff rationalization and cryptocurrencies. . decisions.
The last meeting of the GST council, the 47th meeting of the GST council, was held in Chandigarh on 28-29 June. During the meeting, the top body GST had decided to accept the interim reports of the group of ministers on the correction of inversion and duty exemption. Pre-packaged and pre-labeled retail packages, including curd, lassi and buttermilk, were brought under GST.
The GoM on GST levy on casinos, online gaming and horse racing will submit its report to the GST Council next week, Meghalaya Chief Minister Conrad Sangma said Friday. The Sangma-led Group of Ministers (GoM) held its final meeting on the issue earlier this week and is said to have recommended a 28 percent GST levy on online gaming, whether it be a game of skill or chance.
In the absence of consensus on whether the tax should be levied only on the fees charged by the portal or on the full fee, including the amount of the bet received from participants, the GoM has decided to accept all suggestions referring to the GST Council for a final decision.
Currently, online gaming attracts 18 percent GST. The tax is levied on the gross gambling income, which is the costs charged by online gambling portals. The GoM, in its earlier report submitted to the board in June, had proposed a GST of 28 percent on the full value of the consideration, including the match entry fee, paid by the player without distinction, such as skill or games of chance. However, the council had asked the GoM to reconsider its report.
How is health insurance calculated?
Suppose for a health insurance policy worth Rs 10 lakh you have to pay a premium of Rs 22,000. The GST is imposed on the premium amount – 18 per cent of Rs 22,000. The total amount including GST that you have to pay for the health insurance is Rs 25,960 (Rs 22,000 + Rs 3,960).
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