The Central Board of Indirect Taxes and Customs (CBIC) notified new goods and services tax (GST) rates for mobile phones, matchsticks and maintenance and repair operation services for aircraft.
Mobile phones will be charged 18% GST from April 1, compared to 12% earlier, while all kinds of matchsticks will be charged a 12% GST versus a range of 5% to 18%.
Maintenance and repair operations (MRO) services required for aircraft will be charged 5% GST, lower from the earlier rate of 18%, with full input tax credit, giving a fillip to the local industry and small scale businesses in the sector.
The decisions were taken by the GST Council earlier this month aimed at correcting the inverted duty structure that was being faced by several industries.
Finance minister Nirmala Sitharaman had said after the GST Council meeting that duty changes for other products such as fertilizers, man made yarn and footwear that were also impacted by the inverted duty structure would be taken up later.
Source: indiatimes.com
