The 43rd GST Council on Friday took several important decisions including exemption of duty on import of Covid-related items, and an amnesty scheme for small and medium taxpayers to reduce late fee burden on them. The online meeting was chaired by Union Finance Minister Nirmala Sitharam and attended by Minister for State (MoS) for Finance Anurag Thakur, finance ministers of states and UTs and senior officers from Centre and states.
Speaking to reporters after chairing the 43rd GST Council meet, she said, “One of the biggest decisions today is reduction of compliance burden of small taxpayers and medium-sized taxpayers. Late fee and amnesty-related matters were also decided upon. To provide relief to small taxpayers, an amnesty scheme was recommended for reducing late fee payable in these cases.”
According to her, taxpayers can now file their pending returns and avail the benefits of this amnesty scheme with reduced late fees. “Late fees have also been rationalised. The rationalised late fee and the decision to reduce the maximum amount of late fee for small taxpayers will come into effect for future tax periods. This will provide a long-term relief to small taxpayers,” she said.
The Centre is in touch with suppliers/manufacturers including the Japanese and European Union for Covid-19 vaccines and a sum of Rs 4,500 crore has already been paid to two vaccine manufacturers as advance payment, said Sitharaman.
Speaking to reporters after chairing the 43rd GST Council meet, the Finance Minister said, “Rs 4,500 crores were paid to two vaccine manufactures, as advance payment. The country is engaging with suppliers/manufacturers including Japanese, European Union for vaccines. In the coming months, supply will be more than what it is.”
She further informed that due to rising cases of black fungus, Amphotericin B has also been included in the exemptions list. She also stated that issue of Covid-related equipment was one of the items on the agenda that was discussed. “Issues of Covid-related equipment were one of the items on the agenda that was discussed. Many issues were raised and discussed… The council has decided to exempt the import of relief items till 31 August 2021,” she said.
The Finance Minister said, “Ad hoc exemptions have been given for Covid-related equipment. The council has decided to exempt the import of many of these items with exemption extended to August 31, 2021.”
Sitharaman announced that a Group of Ministers has been formed who will submit their report within 10 days on whether any further reductions need to be done. “We’ve decided and announced in council that a Group of Ministers will be quickly formed who will submit their report within 10 days on or before 8 June, so that if there are any further reductions which need to be done will be done, in the sense, that rates will be decided by them,” she said.