GST Council approves E-Way Bill, decides rate for Job Work in Textiles and other Services

The GST Council in its meeting held on 05th August, 2017 has approved applicability of E-Way Bill from a further date to be announced later. However, the E-Way rules have been approved in principle.

The E-Way bill are supposed to be technology driven.To generate an e-way bill, the supplier and transporter will have to upload details on the GSTN portal, after which a unique e-way bill number (EBN) will be made available to the supplier, the recipient and the transporter on the common portal.E-Way bills are to be applicable when the consignment value exceeds Rs. 50,000/-.However it has been clarified that in no condition E-Way will be applicable for distance less than 10 Kilometres and not also in case of exempted goods.

Further, the rate of GST on job work for textile sector has been decided at a rate of 5% irrespective of the stage of product.

The Council also fixed GST rate for textile job works at 5 percent, and cut the rate for government works contract to 12 percent with benefits of input tax credit. The tax rate of job work for printing books and newspapers will be 12 percent if the service is supplied by someone else, while the GST rate will remain 5 percent if it is printed by the same organisation.

The Council also discussed the rules related to anti-profiteering. An “anti-profiteering” clause has been provided in the Centre GST (CGST) and State GST (SGST) laws, to ensure that business pass on the benefit of reduced tax incidence on goods or services to the consumers.

For agriculture services, tax rate of post-harvest and storage has been brought down to 12 percent from 18 percent. Similarly, tax rate for entry into planetariums has been reduced to 18 percent from 28 percent. In case of “rent a cab service”, GST rate will be 12 percent if the service provider does not wish to claim input tax credit (ITC), while it will be 5 percent if ITC is taken, Revenue Secretary Hasmukh Adhia said.



Share your views

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: