The 46th GST Council meeting held in New Delhi was chaired by the Union Finance Minister (FM) Smt. Nirmala Sitaraman. The meeting was also attended by the Union Ministers of State for Finance Shri Pankaj Chowdhary & Dr Bhagwat Kishanrao Karad, besides the finance ministers of the states and Union Territories (UTs) and other senior officers.
The FM pointed out that the 46th GST Council meeting was called under the emergency provisions with just two days’ notice. The FM clarified that it was a very brief meeting with the GST hike on textiles as the only item on the agenda.
The FM also said that Gujarat FM had written a letter on 29th December 2021 seeking to reconsider the 45th GST Council meeting’s decision to correct inversion in the tax structure of the textiles sector. Hence, the Council discussed this issue and decided to keep the GST hike on textiles from 5% to 12% on hold.
Also, the Council informed the Group of Ministers (GoM) to include the GST rate on textiles in their study and submit its report by February 2022.
The FM clarified that the GST hike on footwear was not on the Council’s agenda, and no discussion happened in this regard. So the new GST rate of 12% will apply to footwear from 1st January 2022.
The FM also clarified that the next GST Council meeting would be held at the end of February 2022 or early March 2022.
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DVSR Anjaneyulu known as AJ, is a Chartered Accountant by profession. Loves to listening to music & spending time with family and friends.