GST Council fixes 28% uniform rate for lottery

Our Bureau New Delhi | Updated on December 18, 2019 Published on December 18, 2019

In a first since its inception, the GST (Goods & Services Tax) Council, through voting, decided to have a uniform tax rate of 28 per cent for lottery. The Council met here on Wednesday for the 38th time.

However, there was no decision on increasing the rate on any goods or services even though there were concerns about the dip in overall collection.

On lottery, 21 States voted in favour of uniform duty, while seven States and UTs voted against. Those who voted against the move asked for dual rates (12 per cent for state-run and 28 per cent on those from private players authorised by the State Government).

“Every attempt was made to keep the tradition alive, but eventually the council was reminded that the rules allowed [voting] and that tradition was not part of the rules. After taking sense of house, we went ahead with voting,” Finance Minister Nirmala Sithraman said.

The meeting deliberated upon the current position of revenue collection. Various measures including raising rates on some luxury items were discussed. However, no decision was taken. Detailed data were shared with the States and they were asked to come with suggestions for the next GST Council meeting.

Meanwhile, Opposition-ruled States were critical of the present status of the GST. West Bengal Finance Minister Amit Mitra said that the Centre’s projection made it appear that there will be no money left for compensation cess after February.

Published on December 18, 2019
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