Khandu inaugurates Arunachal Niwas, fourth facility in New Delhi
Assam-Arunachal border delineation exercise concludes in Lower Siang
ITANAGAR, May 28: Deputy Chief Minister Chowna Mein today participated in the 43rd GST Council meeting held in a virtual mode, chaired by Union Finance Minister Nirmala Sitharaman.
While deliberating in the meeting, Mein informed that Arunachal Pradesh agrees in principle with the decisions of the GST Implementation Committee (GIC) like reduction in late fee for non-filing of FORM GSTR-4 for the quarterly tax periods from July 2017 to March 2019 and FORM GSTR 10, the one-time amnesty to clean up pendency in return filing in GST regime, extension of due date for filing Annual Return for 2018-19 FY, enabling the provision for power to exempt issuance of e-invoice on recommendation of the Council and related issues, amendments to rules for smooth implementation of e-invoice, reduction of IGST on oxygen concentrator imported for personal use from 28% to 12% and bringing the rate at par with commercial imports of oxygen concentrators applicable up to June 30, 2021.
On the proposal of the Fitment Committee to reduce GST on medical oxygen, oxygen concentrators and other oxygen-generating equipment, pulse oximeters and Covid testing kits from 12% to 5% till July 31, 2021, the house saw diverse views. Mein proposed for acceptance of the Fitment Committee recommendation and urged that the date may be extended for a further period. Later, the house approved for formation of a committee of Group of Ministers (GOM) as there was no consensus on the issue and the Chairperson requested the GOM to submit its report within 8 days, adding that till such time the rates proposed by the Fitment Committee will be applicable and concession will be extended till August 31, 2021.
On the agenda of concurrence for levy of COVID cess on power and pharmaceutical sector in Sikkim, Mein supported the proposal of Sikkim, urging along with that small states like Arunachal Pradesh may also be allowed to levycess, keeping in mind the financial crunch the state is facing and its dependence on the Centre for 90% of its finances.
On the issue of applicability of GST on Extra Neutral Alcohol (ENA), the DCM strongly observed that ENA be kept outside the ambit of GST as this would result in loss of revenue as presently Arunachal Pradesh is already levying VAT on ENA. Moreover, the power of taxing alcoholic beverages for human consumption is vested with the states and ENA is an input for manufacture of alcoholic beverages for human consumption, he said, adding that such a move will hamper developmental activities in the state, already facing a financial crunch due to limited individual resources. To justify his view, DCM informed that Arunachal Pradesh is geographically a big state but sparsely populated and it’s challenging to reach out to the remote parts for any developmental works. “The state humbly requests to maintain the status quo on ENA,” Mein appealed. Most of the states were also of the view that taxation of ENA should be left out to them. The meeting then unanimously agreed to maintain the status quo for the time being.
The 43rd edition of the GST Council meeting which went on for 9 hours also deliberated on many core issues including grant of compensation cess to the states. DCM Media Cell