Speaking during the price rise debate in the Rajya Sabha, Finance Minister Nirmala Sitharaman listed out some of the articles, including loose food items, which do not attract GST.
The finance minister clarified that GST tax is only on banks purchasing cheque books from printers. She said there is GST on customer cheques and on the withdrawal of cash from banks.
There is no GST on loose food items, she reiterated. “The 5 percent tax is only on pre-packed and labelled items”.
“All states at the GST Council agreed to the proposal to levy 5 percent GST on pre-packed, labelled food items; not one person who spoke against it,” the minister informed the House.
“No GST on crematorium; tax only on construction of new crematorium,” Sitharaman replied to debate on price rise in the Rajya Sabha.
She further said hospital bed or ICU, tax only on room with Rs 5,000 per day rent have been exempted from GST.
In a price-rise debate, the finance minister said the government has adopted a targeted approach, based on ground-level inputs, to tackle retail inflation which is ruling at around 7 percent. Sitharaman stressed that the fundamentals of the Indian economy are strong.
Partaking in the price rise debate in the Lok Sabha on Monday, the FM had said that “without undermining some of the points that many members have said, I find that it was more a discussion on political angles of price rise rather than ac-tually data-driven concerns about price. So, I too will try to reply a little politically”.
The finance minister emphasised that the central government has controlled its debt and that there is no question of the country slipping into a recession or stagflation.
On measures to rein in price rise, the finance minister said efforts are being made to bring down retail inflation below 7 percent. Citing GST and macro data, Sitharaman said the Indian economy is getting “more robust”.