The GST Council on Saturday 3
June 2017 cleared the pending rules, including transition provisions and
returns, with all the States agreeing to July 1 roll out of the Goods and
We were discussing the rules
and (they) have been completed. Transition rules have been cleared and
everybody has agreed for July 1 roll out, Kerala Finance Minister Thomas Isaac
told reporters here.
The GST Council had last
month fitted over 1,200 goods and 500 services in the tax brackets of 5, 12, 18
and 28 per cent.
Finance Minister Arun Jaitley
on Saturday chaired the 15th meeting of the GST Council which is scheduled to
decide on tax rate of six items including gold, textiles and footwear.
West Bengal Chief
Minister Mamata Banerjee, however, had said earlier that her state would not
roll out the new indirect tax regime in its present form since it is not
suitable for all the sections of the society, especially the unorganized
sector. We have to continue with our
fight to bring down the tax rates on certain products.
the rates are reduced, they will adversely impact the state's economy and
employment," she had said.
West Bengal Finance Minister is however
attending the meeting.
As for the transition rules
approved by Council, the industry had been demanding some relaxation of the
provision of deemed credit.
The draft transition law
provided that once GST is implemented a company can claim credit of up to 40
per cent of their Central GST dues for excise duty paid on stock held by
businesses prior to the rollout.
Several dealers are choosing
to wait and watch rather than buy and hold on to inventories. They have lobbied
with the government seeking an increase in the credit limit.