Jaitley informed that four different rate slab for services are 5%, 12%, standard rate of 18% and luxury rate of 28%. 5% mostly comprises of transport services.
Here are the excerpts from the briefing:
# Five per cent GST to be levied on cab aggregators like Ola and Uber
# Mobile services will be charged under 18% but they will get input credit. So the tax incidence may be at present or lower.
# Six category for GST has not been finalised today including gold and precious metal.
# Telecom, financial services to attract GST of 18 per cent; 28% tax for race club, betting and cinema halls
# Financial services and telecom will come under 18%.
# We have fixed the 15th meeting of Council on 3rd of June in Delhi
# Some catagory of goods has not been decided yet
# Work contracts for uniform rate will be 12% with facility of input credit.
# AC eateries and those with liquor license to charge 18% GST; 5-star hotels to levy 28%; hotels with tariff of Rs 1K-2.5K to pay 12% rate
# Restaurants with turnover of Rs 50 lakh or below to face 5% tax under GST; non-AC restaurant at 12%
# All the services which use petroleum will be levied 5% as they can't take input credit.
# All the exempted services will continue to be exempted
# GST in relation to service sector has been adopted today completely
# Four different rate slab for services are 5%, 12%, standard rate of 18% & luxury rate of 28%. 5% mostly comprises of transport services
# GST bill is going to be consumer friendly. Healthcare and education to be exempted