GST Council meet: No tax on Black Fungus drugs, 5% rate on COVID-19 vaccines unchanged

GST Council meet: No tax on Black Fungus drugs, 5% rate on COVID-19 vaccines unchanged

Addressing a press conference after the GST Council meeting, Finance Minister Nirmala Sitharaman said no tax will be imposed for medicines like Amphotericin B and Tocilizumab, used for treating Black Fungus (mucormycosis)The GST Council on Saturday cleared the GoM’s (Group of Ministers) recommendation on tax slab on vaccines and other COVID-19 essential items. The meeting chaired by Union Finance Minister Nirmala Sitharaman slashed taxes on hospital equipment, medicines, and other items.

The GST Council consented to stick to 5% tax rate on vaccines, while GST on ambulances has been cut to 12% from 28%, and on electric furnaces and temperature-checking equipment to 5%. Pulse oximeters, hand sanitisers, temperature check equipment and ambulances too will attract lower 5 per cent tax, while that on ambulances has been reduced to 12% from 28%.

Tax on medical grade oxygen, oxygen concentrators, ventilators, BiPAP machines and high flow nasal cannula (HFNC) devices has also been cut to 5 per cent from 12 per cent. Tax on Covid testing kits has been brought down to 5 per cent from 12 per cent.The tax cut is based on recommendations of GoM (Group of Ministers) amid the COVID-19 pandemic. Addressing a press conference after the GST Council meeting, FM Sitharaman said no tax will be imposed for medicines like Amphotericin B and Tocilizumab, used for treating Black Fungus (mucormycosis). While GST on Tocilizumab and Amphotericin B is slashed to nil from 5 per cent, the rate on Remdesivir and anti-coagulants like Heparin is lowered from 12 per cent to 5 per cent.

5% rate on COVID-19 vaccines unchanged

https://www.businesstoday.in/latest/economy-politics/story/gst-council-slashes-tax-on-black-fungus-medicine-other-covid-essentials-298531-2021-06-12?utm_source=btweb_story_share

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