New Delhi: During the 53rd meeting of the GST Council on Saturday, Finance Minister Nirmala Sitharaman indicated the possibility of bringing petrol and diesel under the ambit of GST. Following the GST Council meeting, Sitharaman stated that the central government has always intended to include petrol and diesel under GST. However, it is now up to the states to come together and agree on the tax rate.
She mentioned that former Finance Minister Arun Jaitley had already included provisions for bringing petrol and diesel under the GST law. The states now need to discuss and finalize the rate.Sitharaman said, “The intention of GST was to bring petrol and diesel under its purview. Now, states have to decide the rate. My predecessor’s (Arun Jaitley’s) intent was very clear; we want petrol and diesel to be under GST. When GST was implemented, the central government intended to include petrol and diesel under GST after some time. The provision to bring them under GST has already been made. Now, it’s just a matter of the states agreeing on a rate in the GST Council.”
GST Implemented on July 1, 2017
When GST was implemented on July 1, 2017, it subsumed over a dozen central and state taxes. However, it was decided that five items – crude oil, natural gas, petrol, diesel, and aviation turbine fuel (ATF) – would be brought under the GST law at a later stage.
Railway Platform Tickets Exempt from GST
The Finance Minister also mentioned that platform tickets, rest rooms, and waiting rooms provided by Indian Railways are exempt from GST. Additionally, the council has granted a monthly exemption of up to Rs 20,000 per person for hostel services outside educational institutions. This exemption applies to students or the working class who stay for a minimum of 90
