GST Rate Rationalisation: GoM Considers Scrapping 12% Slab, Next Meeting Set for October 20

The Group of Ministers (GoM) on GST rate rationalization is considering the removal of the 12% tax slab. This proposal aims to simplify the tax structure by reducing the number of GST slabs. The committee is exploring a two-tier structure, potentially reducing complexity for businesses and easing the administrative burden. The GoM’s next meeting is scheduled for October 20, 2024, where further discussions on the proposal will take place. This could lead to changes in tax rates on various goods and services, impacting both consumers and businesses. The rationalization is part of ongoing efforts to enhance the efficiency of the GST system, which is crucial for revenue generation and compliance.