FM Nirmala Sitharaman addressing media after GST Council Meeting on June 2253rd GST Council Meeting: FM Nirmala Sitharaman announced several decisions of the GST Council.53rd GST Council Meeting: The GST Council on Saturday announced various recommendations relating to taxation, ITC claims and demand notices.GST Council recommended a uniform rate of 12% on all milk cans. Waiver of interest on penalties on tax demand notice was also recommended by the Council.Announcing the decisions of the GST Council, FM Nirmala Sitharaman said, “Council recommended to prescribe a uniform rate of 12% on all milk cans meaning steel, iron, and aluminum which are irrespective of the use. They are called milk cans but wherever they are used that will be the rate applicable so that no disputes arise out of it,” FM said.Services provided by Indian Railways like platform tickets are also exempted from GST.Carton boxes and solar cookers will attract 12% GST. All types of sprinklers, including fire sprinklers will attract a 12% rate.Hostels located outside educational institutions for students are now exempted from the GST, subject to Rs 20,000 per person monthly rent and a stay of a minimum of 90 days.FM also announced the extension of the time limit for GSTR4 till June 30 from FY 2024-25 onwards.The Council also announced the insertion of functionality in GSTR1A for any omission in GSTR1.For 2017-18, 2018-19, 2019-20 for demand notices, interest and penalty will be waived off if tax is paid by March 31, 2025.To reduce litigation, the Council recommended a limit of Rs 20 lakh for the appellate tribunal, Rs 1 crore for the High Court and Rs 2 crore for the Supreme Court for filing of appeal.Abhishek Jain, indirect tax head & partner, KPMG, said, “Interest and penalty waiver for tax demands paid under notices issued under Section 73, is a very pleasing announcement and would go a long way in curtailing unwarranted litigations under GST.”“This would be specifically impactful for litigations which were majorly linked to interpretative issues specifically those for uncertainties involved with implementation of GST. It will be worthwhile to see the nuances of this amnesty specifically their coverage for cases where interest/ penalty has already been paid or taxes paid before issuance of notices.”FM also announced there will be a rollout of biometric authentication pan-India to check fake invoicing in a phased manner.“Pan India implementation of biometric-based registration in a phase-wise manner would help weed out fake registrations and fake credits. This measure would be a nip in the bud by the Government for bogus registration,” Jain added.Union finance minister chaired the 53rd meeting of the GST Council, at Bharat Mandapam, New Delhi, today.Along with her, MoS finance Pankaj Chaudhary, CMs of Goa and Meghalaya; Deputy CMs of Bihar, Haryana, Madhya Pradesh, and Odisha; besides finance ministers of states & UTs (with legislature) and senior officers from union government & states are attended the meeting.Saturday’s Council meeting was held after a gap of eight months. The 52nd GST Council meeting took place on October 7, 2023.The next Council meeting will be held in mid-August to discuss the remaining agenda.Namit Singh SengarNamit writes on personal finance, economy and brands. Currently contributing to News18.com as a Senior Sub Editor in the business vertical. Prior to t…Read More