GST Council may Hike 5% GST Rate to 6%, 12% Slab may go to 18%

GST Council to Meet on 18 Dec

As of now, the GST has four slabs of 5 per cent, 12 per cent, 18 per cent and 28 per cent. The 5 per cent slab includes essential commodities such as food items, footwear and basic clothing

The 5 per cent slab includes essential commodities such as food items, footwear and basic clothing. According to the government data, this slab contributes to nearly 5 per cent of GST collection. The government's monthly GST collection target is about Rs 1.18 lakh crore.

The GST panel, chaired by the union finance minister and comprising finance ministers of states, will meet on 18 December to examine various measures to boost revenue collection, including review of the tax structure, compensation cess rates and exempted items. The GST Council secretariat has sought inputs from states on all these issues at the next meeting.