Integrating Petroleum Products, Electricity, and Real Estate into GST: A Step towards Economic Reforms
Newly appointed CII president Sanjiv Puri emphasizes the need to bring petroleum products, electricity, and real estate under the GST purview, alongside reforms to simplify capital gains tax and TDS provisions.
GstPetroleum ProductsElectricityReal EstateEconomic ReformsTax StructureCiiMopngReal EstateJun 13, 2024
Puri emphasized the need for a three-tier import duty structure, with raw materials at the lowest rate, followed by intermediates, and then finished goods. He also stressed the importance of rationalizing capital gains tax, which is part of the 14-point agenda of the new government. Moreover, he suggested laying down a roadmap for simplifying and rationalizing direct taxes, including capital gains tax and TDS provisions.
In a related development, the new Union Oil Minister, Hardeep Singh Puri, has announced that the Ministry of Petroleum and Natural Gas (MoPNG) will work towards bringing petrol, diesel, and ATF under the GST purview. The MoPNG will need to make a recommendation to the Finance Ministry, which will then present it to the GST Council for approval.
Currently, petrol and diesel are excluded from GST and are subject to Value-Added Tax (VAT), central excise duty, and central sales tax. States determine their individual tax rates for these fuels, as well as natural gas and aviation turbine fuel (ATF).
The Confederation of Indian Industry (CII) is a non-governmental trade association that works to promote the development of Indian industry. Sanjiv Puri, the newly appointed President of CII, has been a vocal advocate for economic reforms and simplification of the tax structure.
The Ministry of Petroleum and Natural Gas (MoPNG) is responsible for the exploration, production, and distribution of petroleum products in India. Hardeep Singh Puri, the new Union Oil Minister, has pledged to work towards bringing petrol, diesel, and ATF under the GST purview.
Frequently Asked Questions
What is the current status of GST on petroleum products?
Petroleum products are currently excluded from GST and are subject to VAT, central excise duty, and central sales tax.
Why is it important to bring real estate under GST?
Bringing real estate under GST will help to simplify the tax structure and promote economic reforms.
What is the three-tier import duty structure proposed by Sanjiv Puri?
The three-tier import duty structure proposes raw materials at the lowest rate, followed by intermediates, and then finished goods.
What is the role of the GST Council in levying GST on petroleum products?
The GST Council is responsible for approving the levying of GST on petroleum products, following a recommendation from the Finance Ministry.
What is the significance of integrating electricity into the GST framework?
Integrating electricity into the GST framework will help to simplify the tax structure and promote economic reforms in the energy sector.
Related News Articles
Property Registration Scandal: 796 Documents Under Scrutiny for Violating Real Estate Laws
The registration department is investigating 796 property registration documents for non-compliance with real estate regulations, sparking concerns among developers and buyers.
Maharashtra Weather Alert: Heavy Rainfall Expected in Mumbai, Pune, and Other Districts
IMD issues yellow alert for Mumbai, red alert for Palghar and Pune; heavy to very heavy rainfall expected in the next 24 hours
Nagpur Townships Inspected by State-Appointed Panel, Issues Persist
A state-appointed panel inspected several townships in Nagpur, Maharashtra, but issues related to water supply, irrigation clearance, and inspection delays remain unresolved.
Indore Sees 12.8% Rise in Property Revenue During Festive October
The city of Indore recorded a significant 12.8% increase in property revenue during the festive season in October. According to Balkrishna More, the Deputy Inspector General of Registration for the Indore region, the surge in real estate activity can be a
Arvind Gurumurthy: A Renowned Legal Expert in M&A, Private Equity, and Corporate Law
Arvind Gurumurthy, a distinguished legal professional, has made significant contributions in the fields of M&A, private equity, and corporate law. With a successful seven-year tenure as Partner at Kochhar & Company, Arvind has extensive experience in hand
Arthur Laffer Buys $87,156 in NexPoint Diversified Real Estate Trust Stock: A Bullish Signal?
Arthur Laffer, the director of NexPoint Diversified Real Estate Trust (NXDT), has made a significant purchase of $87,156 in company stock. This move could signal his confidence in the company's future performance. Investors should consider this as a potential indicator of a bullish market play.