Article 279A of CoI : Article 279A: Goods and Services Tax Council.

Explanation using Example

Example 1:

Scenario: Introduction of a new tax rate for luxury goods.

Details: The Goods and Services Tax Council (GST Council) is convened to discuss the introduction of a new tax rate for luxury goods such as high-end cars, yachts, and private jets. The Union Finance Minister, the Union Minister of State in charge of Revenue, and the Finance Ministers from all the States are present.

Process:

1. The Union Finance Minister chairs the meeting.
2. The Council discusses the need for a higher tax rate on luxury goods to increase revenue.
3. The Council recommends a new GST rate of 28% for luxury goods.
4. The recommendation is put to a vote. The Central Government's vote has a weightage of one-third, and the State Governments' votes together have a weightage of two-thirds.
5. The recommendation passes with a three-fourths majority.

Outcome: The new GST rate for luxury goods is implemented, and businesses dealing in luxury goods must now charge 28% GST on their sales.

Example 2:

Scenario: Exemption of essential goods from GST.

Details: The GST Council meets to discuss exempting essential goods such as rice, wheat, and pulses from GST to make them more affordable for the common people.

Process:

1. The Union Finance Minister chairs the meeting.
2. The Council reviews the impact of GST on the prices of essential goods.
3. The Cou...

Login to access all pages and read more content.

To disable ads and read rest of the premium content, subscribe to KanoonGPT Pro.