The 50th meeting of the Goods and Services Tax (GST) Council is scheduled to be held on 11 July. In this, tax rates can be reduced on many items. It is expected in the meeting that the council will reduce GST on the food and drink items available in the cinema hall and can also give tax exemption on cancer medicine.
According to media reports, it is expected that the council will reduce the GST on food and drink served in cinema halls from the current 18 per cent to 5 per cent.
Apart from this, if food items like popcorn and drinks are sold along with movie tickets, then it has also been suggested to levy tax on the basis of the original product. Theater owners were demanding this for a long time.
Demand to remove GST from cancer medicine
Cancer drug dinutuximab may also be declared tax free. The Fitment Committee says, ‘The medicine which costs 26 lakhs and the money has been collected through crowd funding, should be kept out of the purview of GST. The Group of Ministers has agreed on this. However, Goa has suggested 18 per cent tax on it. At present, 12 percent GST is levied on this drug.
Proposal to reduce tax on these also
The Fitment Committee consists of tax officers from the Center and various states. This committee has given many recommendations to the GST Council.
Products and drugs imported for special medical needs and treatments may also be kept out of the purview of GST.
Private comp.es providing satellite launching services may be kept out of the purview of GST and there is a demand to increase the cess to 22 per cent.
It will also be clear in the meeting whether GST will be levied on farmers selling cotton to cooperatives.
The council may also decide to levy 28% GST on online gaming, horse racing and casinos.
Along with this, clarity will also be given regarding GST on multi utility vehicles, papad, flex fuel, pan masala and tobacco.