The first Goods and Services Tax (GST) Council meet of this financial year will take place today, chaired by Union finance minister Nirmala Sitharaman. Issues that will be considered, among others, include tax exemptions on various medicines, medical appliances and healthcare services.
The Council is also expected to discuss the compensation shortage to the states amid the coronavirus pandemic. The deficit in GST compensation payable to states in the current fiscal year is estimated at 2.7 lakh crore.
This May, the finance ministry had extended timelines of various GST compliance for March and April, taking in consideration the ongoing COVID pandemic. As many states have announced partial lockdowns, another extension for May and June is very likely.
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