Delhi Deputy Chief Minister Manish Sisodia and Maharashtra Finance Minister Sudhir Mungantiwar announced this on Saturday after a meeting of the GST Council. Previously, the sanitary pads were kept under the 12 per cent Goods and Services Tax (GST) slab.
Sanitary pads were placed in the 12% tax slab when the Goods and Services Tax was implemented on July 1, 2017, though several other products such as sindoor (vermilion) and bangles were declared tax-free.
"Refrigerators, small televisions, of up to 25 inches, lithium ion batteries, vacuum cleaners, domestic electrical appliances, such as food grinders, mixers.storage water heaters, immersion heaters, hair dryers, hand driers, electric smoothing irons, among others have been brought to the 18 percent slab", Goyal said.
GST rates for several items were rationalised by the GST Council today, out of which 17 saw tax rates slashed from 28 per cent to 18 per cent.
The value limit of footwear was enhanced from ₹500 to ₹1,000 for the 5% rate..
The GST rate on bamboo flooring, hand-operated rubber rollers and zip fasteners have been cut to 12 percent from 18 percent, while the GST rate on ethanol has been to cut 5 percent from 18 percent, a move aimed at encouraging higher ethanol blending in petrol and diesel. Mr Goyal said, return forms will be simplified into two formats - Sugaam and Sahaj.
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Goyal also said that the GST council has cleared 46 amendments which will be passed in Parliament.
► Rakhis exempted from GST, tax on ethanol cut to 5%.
It also eased the burden for hotels, the textiles sector and small businesses at a marathon nine-hour meeting. He will not have to file any more returns. "Besides revenue collection, the GST council will now focus on job creation as well", Goyal said. Also, rakhis, sal leaves, the raw materials used to make regular brooms have also been fully exempted from being charged under GST.
This is the fourth time since the roll out of the GST that the Council, chaired by Union Finance Minister and comprising state counterparts, has rationalised rates. A report has been submitted in this regard but no decision has been taken on sugar cess yet.
The Council has also made a decision to defer implementation of reverse charge mechanism (RCM) by a year to 30 September, 2019.