The Goods and Services Tax (GST) Council, chaired by Union Finance Minister Nirmala Sitharaman, has fixed a uniform tax rate of 28 percent on both state and private lottery. The new rate for lottery will come into effect from March 2020. Currently, a GST of 12 percent is levied on state lotteries sold within a state and 28 per cent on those sold outside that state.
The 38th meeting of the Council has relaxed levy of penalty for non-filing of GSTR-1 from July 2017. It also agreed to rationalize GST rates on woven and non-woven bags to 18 percent with effect from March 1, 2020. Besides, it decided to exempt upfront amount payable for long-term lease of industrial/financial infrastructure plots by an entity having 20 percent or more ownership of Central or state government. This change shall become effective from January 1, 2020. Presently, the exemption is available to an entity having 50 percent or more ownership of Central or state government.
The panel was recommended to raise the GST to a uniform rate of 18 percent from 12 percent on all such bags falling under HS 3923/6305 including Flexible Intermediate Bulk Containers (FIBC), and this change shall become effective from January 1, 2020.
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