The GST Council on Saturday slashed tax rate on COVID-19 drugs such as Remdesivir and Tocilizumab as well as on medical oxygen and oxygen concentrators but ignored demands for reduction in taxes on vaccines.
The Council, acting on the recommendation of a group of ministers from different states, cut to nil GST on COVID-19 drug Tocilizumab and black fungus medicine Amphotericin B, from existing 5 per cent. Besides, hand sanitiser, pulse oximeter, BiPAP machine, testing kit, ambulance and temperature check equipment were among the 18 items on which GST rates were lowered.
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A 5 per cent GST levy on vaccines will continue which will allow manufacturers to get benefit of settling taxes paid on inputs.
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Highlights
The GST Council in its meeting on May 28 had decided to set up a Group of Ministers.
GoM will submit its report by June 8.
The GST Council on Friday left taxes on COVID-19 vaccines and medical supplies unchanged.
New Delhi: An eight-member ministerial panel under Meghalaya Chief Minister Conrad Sangma will examine the need for exempting GST or cutting rate on Covid essentials like vaccines, drugs, hand sanitisers, masks, PPE kits and oxygen related equipment.
The GST Council in its meeting on May 28 had decided to set up a Group of Ministers (GoM), which will submit its report by June 8.