An important meeting of the GST Council is going to be held in Jaisalmer, Rajasthan on 21 December 2024. Many such big decisions can be taken in this meeting which will directly affect the pockets of the common people. From food delivery to electric vehicles and food in hotels, changes are expected in GST rates.

Zomato-Swiggy hopes for relief

There may be some relief news for food delivery companies Zomato and Swiggy. Currently, 18% GST is applicable on food delivery service. It can be reduced to 5% in the meeting. However, the benefit of input tax credit (ITC) will not be available with this. If this proposal is implemented then food delivery can become cheaper.

18% GST on electric and old vehicles

A proposal to impose 18% GST on electric vehicles (EVs) and old small vehicles may come up in the meeting. Currently, there is an 18% tax on the resale of big vehicles, but 5% GST is applicable on EVs and 12% GST on small vehicles.

Possibility of relief in cess on SUVs

The GST Council may decide the date for implementing 22% cess on SUVs. This will provide relief to automobile companies. This decision can prove to be a big positive step for the industry.

Food will be cheaper in expensive hotels

If the proposal is passed in the meeting, restaurant food in expensive hotels may become cheaper. Hotels with room rents of more than ₹75,000 currently charge 18% GST. This can be reduced to 5%. However, the benefit of input tax credit will not be available with 5% GST.

Relief on small card payments

Currently, there is 18% GST on card payments up to ₹2000. There is a proposal in the meeting to provide relief to RBI regulated payment aggregators. However, 18% GST will continue on the services of payment gateways.

Big relief for merchant exporters

It is proposed to reduce the GST cess by 0.1% for domestic suppliers. This step will be a relief for merchant exporters and will strengthen the supply chain.

will have an impact on the general public

The 55th meeting of the GST Council is expected to provide relief to both the general public and the industry. Changes in GST for food delivery, electric vehicles and hotels will have a direct impact on people's pockets. The upcoming decisions may provide some relief to the public.