GST Concessional Rate On COVID Supplies Valid Till September 30: Finance Ministry

On June 12, the GST Council, chaired by the Finance Minister, reduced the tax rates on most COVID supplies and declared that no tax will be levied on medicines for treating Black fungus.

GST Concessional Rate On COVID Supplies Valid Till September 30: Finance Ministry

GST Council Meeting 2021: Finance Minister chaired the 44th GST Council virtually

The concessional rate of goods and services tax (GST) applicable on the COVID-related essential items will be valid September 30, 2021, said the Ministry of Finance. On Saturday, June 12, the GST Council, chaired by Finance Minister Nirmala Sitharaman, reduced the tax rates on most of the COVID supplies and announced that no tax will be levied on the medicines for treating Black fungus. The Revenue department of the finance ministry stated that the GST rates are lowered for 18 COVID-related supplies and concessional rates are applicable till September 30 (Also Read: GST Council Cuts Rates On COVID Supplies, No Tax On Black Fungus Medicine )

The GST Council, in its 44th meeting held on June 12, decided that no tax will be levied on the COVID-19 drug Tocilizumab and black fungus medicine Amphotericin B. Earlier, the GST rates on these medicines stood at five per cent.

The Council also cut rates on anti-coagulants such as heparin and Remdesivir - a drug for treating COVID-19, from 12 per cent to five per cent. Additionally, tax rates on gas/electric/other furnaces for the crematorium, including their installation were reduced from 18 per cent to five per cent. The GST rates on ambulances are reduced from 28 per cent to 12 per cent. The tax rates on hand sanitiser is lowered from 18 per cent to five per cent, while rates on temperature check equipment is reduced from 18 per cent to five per cent.

According to Finance Minister Nirmala Sitharaman, the GST Council meeting had a single-point agenda, deliberating on the recommendations made by the group of ministers - constituted to decide on the tax rates on COVID-related supplies. Meanwhile, the 43rd GST council meeting on May 28 after a gap of almost eight months.