Finance minister Arun Jaitley has hinted that India could go for a single standard GST rate going into the future.
“A future road map could well be to work towards a single standard rate instead of two standard rates of 12% and 18%. It could be a rate at some mid-point between the two,” Jaitley said.
Further adding that such a scenario could materialize only when the revenue from GST collection rises significantly, Jaitley wrote, “The country should eventually have a GST which will have only slabs of zero, 5% and standard rate with luxury and sin goods as an exception.”
The 28 per cent GST slab could be phased out. This comes within days of the GST Council revising downwards the rates of 23 items leaving only 28 items in the highest category of 28 per cent.
Resource: Economic Times