GST Council Greenlights Dual-Tier Rate Structure

The GST Council has approved a two-tier rate structure of 5% and 18%, effective from September 22. The decision, agreed upon by all states, will incur a revenue loss of Rs 47,700 crore. Discussions continue regarding additional levies on demerit goods.

The GST Council, during its marathon 56th meeting, approved a two-tier rate structure of 5% and 18%, set to be implemented on September 22.

Bihar Deputy Chief Minister Samrat Choudhary confirmed unanimous state support for this rate rationalization, a decision reached through consensus.

West Bengal Finance Minister Chandrima Bhattacharya highlighted a potential revenue loss of Rs 47,700 crore due to the changes, while Uttar Pradesh Finance Minister Suresh Khanna noted that discussions on additional levies for demerit goods are still ongoing.

(With inputs from agencies.)