54th GST Council Meeting Highlights and Updates

Monday, 9 September 2024, 20:25

The 54th GST Council Meeting today witnessed crucial updates regarding GST on insurance and online payments. Nirmala Sitharaman highlighted the establishment of a state panel to deliberate on the future of the GST compensation cess.
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54th GST Council Meeting Highlights and Updates

Key Highlights from the 54th GST Council Meeting

The GST Council, during its live meeting today, made several pivotal decisions impacting the future of GST compensation cess. Finance Minister Nirmala Sitharaman reported the formation of a state panel to review GST on insurance and proposed changes to address concerns regarding online payments.

Decisions Surrounding GST Compensation Cess

The Council revealed that the GST compensation cess, initially set to conclude in March 2026, is under review for future collections. Sitharaman clarified that any surplus could potentially aid in clearing back-to-back loan payments.

  • Health insurance premiums might be fully exempted from GST.
  • The existing state panel for rate rationalisation will consider GST policy updates affecting life and health insurance.
  • A proposal for a GST rate revision on essential items was also discussed.

Implications for the Online Gaming Sector

Discussion regarding GST on online payments revealed a significant rise in revenues since the implementation of a 28% tax on online gaming.

Future Discussions and Reforms

In conclusion, the decisions made at the 54th GST Council Meeting underscore the Council's commitment to addressing the ongoing concerns in various sectors, ensuring that future GST policies promote economic growth.


This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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