The government on Saturday reduced the GST rates on several products related to Covid-19. These decisions have been taken in the 44th GST Council meeting. These decisions will give some relief to the patients affected by Covid. However, there is no change in the GST rate on the Covid-19 vaccine. It will continue to attract 5% GST as before. The Finance Minister said that the recommendations of the GoM to reduce rates on products related to Covid-19 have been accepted.
The new rates will be effective at least till September 30, he said. The Finance Minister was giving information about the decisions taken in the 44th GST Council meeting by holding a press briefing. He said that now there will be no GST on the black fungus drug Amphotericin B. Also, there will be no tax on Tocilizumab.
Reduced tax on remdesivir
The GST Council has also reduced the tax on Remdesivir. The council has reduced the tax on it from 12 per cent to 5 per cent. The Finance Minister said that the GST rate on ambulances has also been reduced to 12 percent.
ventilators will be cheap
The Finance Minister said that the GST on ventilators, medical grade oxygen, COVID-19 testing kits, oxygen concentrators and BiPAP machines has been reduced to 5 per cent from the existing 12 per cent. The Finance Minister said that GST has also been reduced to 5 percent on hand sanitizers and temperature checking devices. He also informed that GST on pulse oximeter, HFNC devices has also been reduced to 5 percent.
Discussion on the recommendations of the GoM
Finance Minister Nirmala Sitharaman said in the press briefing, 'Today's meeting had only one agenda. In the meeting, the recommendations regarding tax relief on products related to Covid-19 by the Group of Ministers (GOM), which were constituted in the last GST Council meeting, have been considered.
The Finance Minister said, “The Chairman of the GoM submitted the report on June 6, two days before the due date. In today's meeting, the Finance Ministry has discussed these recommendations. The Finance Minister said, “The recommendations of the GoM have been accepted. The rates on only 3 items were considered and the period for which it will be valid has also been slightly modified.
The GST Council meeting was held on Saturday under the chairmanship of Finance Minister Nirmala Sitharaman. The Finance Minister was to hold a press conference at 2:30 pm on the decisions taken in the GST Council meeting. But the press conference got delayed due to the long-running of the meeting.
Let us tell you that in the meeting of the GST Council on May 28, it was decided to constitute a Group of Ministers (GOM) to consider the demand for abolishing GST on medicines and other items related to vaccine and corona treatment. In the meeting of the GST Council held today, only the recommendation of the GoM has been discussed mainly.