GST Tax reduction was very necessary for the fields of milling, pharmaceutics, education, and the food industry. The government, we know, has announced a number of reliefs to taxpayers. These include programs for amnesty, midday meals, lower tax rates for COVID drugs, equipment kinds, and a range of others.
These reliefs seem to provide taxpayers comfort and optimism in the face of Covid-19’s severe second wave.
We will thus learn about GST tax relief in the fields of milling, pharmaceutical, educational, and food products in this post.
GST Tax relief in Milling Industry It has been made clear by the GST Council that no GST would be payable to a government by any individual for the purpose is to distribute that wheat flour to the public distribution system.
However, if the composite value of service exceeds 25 percent in milling of wheat into flour or paddy into rice will attract only a GST Tax rate of only 5%.
The impact on GST Registration companies would certainly be favorable. Under this clarification, taxpayers can now claim the tax benefit. In addition, taxpayers can request refunds on the basis of excess tax calculations.
GST Tax Relief in Education Sector It would be reasonable to remark in the context of the Covid-19 issue that citizens of the country look forward to the allowances and advances beyond the deadlines only. In the present scenario, the middle class of the country sustained considerable losses.
Millions of people would benefit from CBIC’s strong drive to give clarifications pertaining to the exemption of GST from different Central and State Board’s services, such as the National Review Board (NBE).
CBIC said that in conducting examinations for students, including admission examinations, it would not be charging GST on services supplied by central or state boards like NBE.
Furthermore, GST Tax relaxation is given to such boards for input services. For instance, admission or examination, such as online testing, published results, admitted cards, questions, etc. Hence, The decision will benefit millions of students plus it will further rationalize the cost of educational institutions. The benefit of which can be passed on to the households.