(GSTmitraSeries-2019-“5″) 📒Change in GST Rate (Services) as Recommended by 31st GST Council Meeting

🌴 Service supplied by banks to basic saving bank deposit (BSBD) account holders under Pradhan Mantari Jan Dhan Yojna (PMJDY) shall be exempted.
🌴 Air travel of pilgrims by non-scheduled charter operations for religious pilgrimage facilitated by by the Government of India under bilateral arrangements attract the same rate of GST as applicable to similar flights in economy class (i.e. 5% with ITC of input services).
🌴 GST rate on cinema tickets above Rs. 100 shall be reduce from 28% to 18% and on cinema tickets upto Rs. 100 from 18% to 12%.
🌴 GST rate on third party insurance premium of goods carrying vehicles shall be reduced from 18% to 12%.
🌴 Services supplied by rehabilitation professionals recognized under rehabilitation council of India act, 1992 at medical establishments, educational institutions, rehabilitation centers established by Central Government / State Government or Union Territories or entity registrations under section 12AA of the Income-tax-Act shall be exempted.
🌴 Services provided by GTA to Government departments / local authorities which have taken registration only for purpose of deducting tax under Section 51 shall be excluded from payment of tax under RCM and the same shall be exempted.
🌴 Exemption on services provided by Central or State Government or Union Territory Government to their undertaking or PSUs by way of guaranteeing loans taken by them from financial institutions is being extended to guaranteeing of such loans taken from banks.
🌴 To clarify that with effect from 31st January 2018 degrees / diploma awarded by IIMS under IIM Act, 2107 will be exempt from GST.
🌴 To clarify that the services provided by IFC and ABD are exempt from GST in term of provision of IFC Act , 1958 and ADB Act, 1996.
🌴 To clarify the West Bengal that the services provided by Council / Board of Primary / Secondary / Higher secondary Education of conduct of examination to his students are exempt.
🌴 To clarify that “printing of pictures” falls under service code “998386: photographic and videographic processing services” of the scheme of classification of services attract GST @ 18% not under “998912 Printing and reproduction services of recorded media , on a fee or contract basis” which attract GST @ 12%.
🌴 To clarify leasing of pumps and reservoirs by the OMCs to petrol pump dealers is a mixed supply and the Licence Fee Recovery (LFR)charged foe the same shall be leviable to GST @ 28% the rate applicable to pumps. Leasing of land and buildings alone with the equipment shall fall under heading 9972 (real state services) and attract GST rate of 18%.
🌴 To clarify that the incentives paid by RBI to Bank under “Currency Distribution and Exchange Scheme “(CDES) are taxable.
🌴 To clarify under section 113(3) of CGST Act , 2017 that scope of entry for multi-modal transport with GST rate of 12% inserted w.e.f. date 26.07.2018, covers only transport of goods from a place in India to another place in India, that is only domestic, multi-modal transport.
🌴 To clarify that the nature of business establishment making supply of food, drink and other articles for human consumption will not determine whether the supply by such establishments is a supply of goods or services. It will be rather depend on the constituents of each individual supply and whether same satisfies the conditions / ingredients of a “composite supply” or “mixed supply”.
🌴 To clarify that GST is exempt on supply of food and drinks and educational institution when provided by institution ifself to its students, faculty and staff and is leviable to GST of 5% when provided by another person based on a contractual arrangement with such institutions.
🌴 To clarify that the banking company is liable to pay GST on the entries value of services charge to fee charged to customers whether or not received via business facilitator or the business corresponded.
🌴 To issue a clarification to Food Corporation of India (FCI) that the service provided by godown owner is case of lease with services, where the godown owner, besides leasing the warehouse , undertakes to carry out activities of storage and preservation of stored food grains, is the services of storage and warehousing of agricultural produce and the same is exempt.

 

 

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