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GST rate rationalization to be delayed on inflation concerns: Report

GST rate rationalization

GST rate rationalization to be delayed on inflation concerns

GST rate rationalization – The ecosystem is today highly charged as a result of rising inflation. The GST Council is also aware of the current context. “The committee of ministers tasked with rate rationalization has not yet submitted a report to the Centre,” a government source said. 
 
Since its formation in September 2021, the group of ministers (GoM) is said to have only convened twice. The GoM, led by Karnataka Chief Minister Basavaraj Bommai, has been unable to reach an agreement on modifying and rationalizing GST rates. They might get together by the end of the month to talk about rate mergers. 
 
Since its formation in September 2021, the group of ministers (GoM) is said to have only convened twice. The GoM, led by Karnataka Chief Minister Basavaraj Bommai, has been unable to reach an agreement on modifying and rationalizing GST rates. They might get together by the end of the month to talk about rate mergers. 
 
The 46th GST Council meeting in December resolved to abandon a plan to raise GST rates for most textiles items in the man-made value chain from 5% to 12%. The Council, on the other hand, did not reverse its decision to raise the GST on low-cost footwear.