Big GST Overhaul Ahead? Govt Likely To Push For Merger Of 12 And 18 Per Cent Slabs In GST Council Meeting In March

In what would be a major overhaul and simplification of the goods and services tax (GST) regime, the government is likely to push for a merger of the 12 per cent and 18 per cent tax slabs into a standard rate in the upcoming meeting of the GST Council in March, reports Times Now.

It should be noted that the 15th Financial Commission headed by N K Singh had earlier also suggested that the GST regime should be rationalised into a three rate structure, comprising a five per cent merit rate and 28-30 per cent de-merit rate.

The likely overhaul of GST regime comes after the GST collections have been on a continued upswing over the past few months. The collections in December 2020 stood at Rs 1.15 lakh crore, which further surged to a record high of Rs 1.19 lakh crore in January this year.

The collections have surpassed the Rs one lakh crore mark for the past four months in a row.