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.