Sushil Modi, Bihar Finance Minister who heads the group of State Finance Ministers said that the GST Council will consider bringing electricity, petroleum products, and some other items under the ambit of GST in future. He also added that the council may also bring down 28% tax rate.
The current GST regime has five tax slabs — 0%, 5%, 12%, 18% and 28%. An additional GST cess is also levied on certain products. Although the final decision would be taken by the Council. He said that the possible scenario could be that the current highest tax slab of 28% could be brought down to 25% and two tax slabs of 12% and 18% could be merged into one.
Defending Infosys which has designed the architecture and responsible for running GST backend, he said, “I can say with confidence that we have hired the best company for this.”
Last month, tax rates on over 200 items, ranging from chewing gum to chocolates, to beauty products, wigs, and wristwatches, were cut to provide relief to consumers and businesses.
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