New Delhi: Goods and Service Tax Council is scheduled to take place on Wednesday which is expected to review the compensation cess rates on various items to boost the government revenue. Finance Minister Nirmala Sitharaman is expected to increase the GST rates and some changes in the GST slabs are also expected in today's meeting.
Many assumptions have arisen with this meeting as there have been talks of decreasing the number of slabs of the GST Tax rates which in turn would increase the rates of GST on several items. This is done to meet the revenue shortfall of the government. Finance Minister Nirmala Sitharaman will chair the GST Council meet. This would be the 38th meeting of the council after the implementation on one nation one tax system in the country.
Agendas of the Meeting:
Market ahead of GST Council Meet:
To be mentioned that ahead of the meeting the Centre has released Rs 35,298 crore as compensation to States and Union Territories to make up for the loss of revenue due to GST rollout as the Central GST collection had fallen short of the Budget Estimate by nearly 40 per cent during the April-November period of 2019-20. The Finance Ministry, thus, has set a Rs. 1.1 lakh crore monthly GST collection target for the remaining four months of 2019-20 financial year.