GST rates fixed for goods & services

GST is likely to be implemented from 1st July 2017. GST rates have been finalized for 1211 goods and 36 broad categories of services. Nearly 50% of goods fall under the 18% tax rate, 14% under 5% tax rate, 17% under 12% tax rate and 19% under 28% tax rate. In case of services, the majority of services come within the 18% tax rate.
GST rates for some Good and Services
0%
5%
12%
18%
28%
GST rates are yet to be decided
Fresh and pasteurized milk
Coffee
Chemicals
Pastries and cakes
Aerated drinks
Alcohol for human consumption
Curd
Tea
Agarbatti
Laptops & Desktops
Consumer Durables
Petroleum crude/Petrol/Diesel/ Aviation fuel/Natural gas
Fruits
Sugar
Toothpowder
Cornflakes, Pasta
Passenger  Vehicles
Bidis
Vegetables
Edible oil
Candles
Hotels with room rent Rs.2500-5000/day
Five star hotels
Footwear
Jaggery and gur
Coal
Dry fruits
Hair Oil
Movie tickets
Textiles
Food grains and cereals
Airlines (Economy class)
Airlines         (Business class)
Slag, ash and residues
Racing
Gems and Jewellery
Common salt
Railways(AC)
Bicycles and other cycles
Essential oils
Betting on racing
Education
On cab aggregators (Ola and Uber)
Tractors
Banking and insurances
Commercial Vehicles
Healthcare
Aluminum Ore
Electrically operated vehicles
Telecom
Three and two wheelers
Hotel and lodges with tariff below Rs.1000
Fish and Fish fillets L
Butter and other fats
Cable & DTH
Pan Masala
Butter milk
Transport of goods by rail
Sale of property
Restaurants/ Out-door Catering
Amusements parks/IPL
Note: rates above do not include cess
As the states would be losing out on revenues earned with the implementation of GST, the GST Council has planned to levy a cess over the rate of 28% on certain luxury and demerit goods for a period of five years in order to compensate states for any revenue loss on account of implementation of GST. Some of the compensation cesses are:
Pan Masala
60%
Tobacco and Tobacco products
71-204%
Aerated drinks
12%
Cars & UVs with engine >1500cc
15%
Coal, lignite and peat
Rs 400/tn
Sabyasachi Paul has been associated with equity research and advisory on equity markets in India for over 9 years & currently heads the equity research desk of Eastern Financiers Ltd, Kolkata.He also manages a portfolio on the online platform Kristal. Find link to the strategy named 'The Tortoise' 

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