GST Rate Changes Await GoM Recommendations

The Central Board of Indirect Taxes and Customs clarified that the GST Council is yet to receive recommendations from the GoM on potential tax rate changes, such as increasing sin goods tax rates to 35%. The GoM is currently reviewing these suggestions before presenting them to the Council.

On Tuesday, the Central Board of Indirect Taxes and Customs (CBIC) announced that the Group of Ministers (GoM) on GST rate rationalisation has not yet presented its recommendations to the GST Council. The GST Council remains the ultimate authority on tax rate decisions.

In a post on X, the CBIC emphasized that the GST Council, led by the Union Finance Minister and state counterparts, has not discussed any potential GST rate changes. The GoM, comprising ministers from states like Bihar and Karnataka, serves only as an advisory body.

Finance Minister Nirmala Sitharaman highlighted that state ministers in the GoM are actively working on GST rate revisions. The Council plans to review these recommendations in their next meeting, once they have been formalized by the GoM.

(With inputs from agencies.)