48th meeting of GST Council

Tags: Economy/Finance National News

The 48th meeting of the GST Council was held on 17th December via video conferencing.

Important facts

• The meeting was chaired by Union Finance Minister Nirmala Sitharaman.

• The meeting was attended by Union Minister of State for Finance Pankaj Choudhary, Finance Ministers of States & Union Territories and Senior officers from Union Government & States.

• In June 2022, the GST Council had its 47th meeting.

Agenda of 48th GST council meeting

• Certain offences relating to GST are expected to be decriminalised.

• A decision will be made in areas on online gaming, casinos, gambling, and horse racing.

• Establishment and powers of GST Appellate Tribunal in 2023.

• Reduction in GST rate on health insurance from 18% to 12%.

• To define the scope of CCI's power to act as an anti-profiteering authority.

• Applicability of the special composition scheme for selling brick kilns with a 6% GST rate without the input tax credit. 

• Converting to capacity-based GST valuation principles for tobacco taxes.

About GST Council

• To implement GST, the Constitutional (122nd Amendment) Bill was passed by both the Houses of the Parliament in 2016.

• The GST Council has been notified as a constitutional body to deal with issues related to GST.

• It is a joint forum of the Center and the States which was established by the President in accordance with Article 279A (1) of the amended Constitution.

Members of GST Council

• Union Finance Minister (Chairman), Union Minister of State (Finance) from the Centre.

• Each state minister in charge of finance or taxation or any other minister may be nominated as a member.

Functions of GST Council

• To make recommendations to the Center and the States on important issues relating to GST.

• It also decides on various rate slabs of GST. 

What is the Goods and Services Tax (GST)?

• It was introduced through the 101st Constitution Amendment Act, 2016.

• It is one of the biggest indirect tax reforms in the country and was introduced with the slogan of ‘One Nation One Tax’.

• GST subsumes indirect taxes like excise duty, value added tax (VAT), service tax, luxury tax etc.