Food grains to cost less under GST tax regime
State commercial taxes commissioner J Syamala Rao said the AP government would lose a revenue of Rs 1,000 every year in the form of taxes due to tax exemption given to food grains as per the GST (Goods and Services Tax) to be implemented from July 1.
Vijayawada: State commercial taxes commissioner J Syamala Rao said the AP government would lose a revenue of Rs 1,000 every year in the form of taxes due to tax exemption given to food grains as per the GST (Goods and Services Tax) to be implemented from July 1.
Syamala Rao said food grains like rice, pulses, ravva are exempted from the tax. He addressed an awareness meeting on GST organised by the Andhra Pradesh Chamber of Commerce and Industry Federation (ACCIF) in a hotel here. Several hundred traders, mostly taxpayers, attended the meeting.
Giving details of GST, Syamala Rao said that the GST has been conceived with the objective of single taxation as well as to control the inflation in the country. He said inflation rate is measured based on the prices of 300 commodities, most of which are food items.
Referring to taxes, the commissioner said that the prices of tobacco products, soft drinks and luxury cars would increase as cess would be collected on these products rather than taxes.
He said the highest percentage of tax was fixed at 28 in GST with a composition of State Goods and Services Tax (SGST) at 14 per cent and Central Goods and Services Tax (CGST) at 14 per cent. The share of the state government in the CGST is 48 per cent and the Central government would take 52 per cent, he said. Central GST will go to the Central government and the SGST to the states, he added.
Syamala Rao explained that the tax on AC restaurants and star hotels would increase up to 12 per cent from the current five per cent.
Taxpayers can register their names with Goods and Services Tax Network (GSTN) portal online, he said and appealed to people to visit the commercial tax offices to get information in this regard. Chartered accountant P Lakshmana Rao explained the regime of GST.