Within a week of being set up, the group of ministers (GoM) on making the GST composition scheme more attractive held its first meeting in New Delhi. The 5-member GoM, led by Assam Finance Minister Himanta Biswa Sarma, has also been tasked to revisit Goods and Services Tax (GST) rates for restaurants.
With only over 15.50 lakh businesses out of 98 lakh registered under the GST regime opting for the composition scheme, the GST Council decided to set up the GoM to examine ways of making it more attractive.
Must Do Takeaways from the above News:
- The GST Council, chaired by Finance Minister Arun Jaitley and consisting of his state counterparts, had on October 7 constituted the GoM, which will submit its report by the end of November.
- Currently, GST is levied at 12 percent on non-AC restaurants while it is 18 percent for air-conditioned ones.
- The GST Council, in its last meeting, hiked the threshold for availing of the composition scheme to Rs 1 crore, from the Rs 75 lakh set earlier.
Source- The Economic Times