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GST Council to decide on tax rate by Oct 20

With finance ministry given Nov 22 as the deadline for resolving all the issues, the upcoming meeting is significant

Policy Pulse
Publish Date: Oct 17 2016 4:32PM | Updated Date: Oct 17 2016 4:32PM

GST Council to decide on tax rate by Oct 20

The crucial three-day meeting of the all-powerful GST Council, starting from tomorrow and will decide on the tax rate and sort out issues like compensation formula for rollout of the new indirect tax regime.

 

At its previous meeting last month, the GST Council, which has all state finance ministers as members, had finalised area-based exemptions. 

 

The meeting focused on how 11 states, mostly in the North-East and hilly regions, will be treated under the new tax regime.

 

Tuesday's meeting will also deliberate on the vexed issue of the Centre retaining power to assess 11 lakh service tax filers under the new dispensation.

 

Finance ministry will try and reach a consensus on the key issues so that the subsequent central GST (CGST) and integrated GST (IGST) legislations can be introduced in the month-long Winter Session of Parliament beginning November 16.

 

With the finance ministry setting November 22 as the deadline for building consensus on all the issues in the Council, the upcoming meeting is significant as it will decide on the most crucial aspect of tax rate.