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2018

Major Decisions and Announcements of 25th GST Council Meeting

Major Decisions and Announcements of 25th GST Council Meeting

Ever since GST is introduced, the government has made many changes into the law with a view to respond to industry demand as well as for making GST more suitable in terms of compliance and ease of doing business. All such key decisions are taken during the GST Council meetings held from time to time. The 25th and the latest GST Council meeting was held on January 18, 2018 at Vigyan Bhavan New Delhi. Below are the key highlights of the decisions taken by GST council meeting.



Reduction in Tax Rates:

GST rates on 29 goods and 53 services are reduced. The new reduced rates will be effective from January 25, 2018.

Reduction of Late Filing Fee:

The government has also reduced the late filing charges for GST Returns. The details of revised charges are as follows:

Return Late Filing Charges 
GSTR-1  Rs. 50 per day
GSTR-5  Rs. 50 per day 
GSTR-5A  Rs. 50 per day 
GSTR-6 Rs. 50 per day
Nil Return Rs. 20 per day


Cancellation of Registration:

Any taxable person who has registered voluntarily under GST and is not otherwise liability to charge GST on outward suppliers can apply for cancellation of registration before the expiry of one year from the date of registration.

Form GST REG-29 - Due Date:

For migrated taxpayers who do not need to continue their registration can now apply for cancellation of registration in Form GST REG-29 on or before March 31, 2018. Earlier this deadline was 31st December 2017.

e-Way Bill:

It has already been decided to implement e-Way Bill from 1st February 2018. Currently, the facility for e-Way Bill generation, modification and cancellation is provided on the portal ewaybill.nic.in. It was announced that once fully operational, the e-way bill system will start functioning on the portal ewaybillgst.gov.in

Distribution of IGST Collection:

Approximately Rs 35,000 crore of IGST collections was lying idle with the central government. The council has decided to provisionally distribute it between the centre and states. The government hopes that this step will boost the indirect tax position of both the central and state governments.


Handicraft Goods:

Taking into consideration the report by Committee on Handicrafts, the GST council has categorised 40 items as handicraft goods. This is done with a view to promote export of such goods and also making them more competitive in International markets.

Click on below link to view complete list of goods and services whose rates have been reduced in 25th GST Council Meeting

Decisions relating to Services in the 25th meeting of GST Council held at New Delhi on 18.01.2018

Recommendations for changes in GST/IGST rate and clarification in respect of GST Rate on certain Goods.

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