GST Exemptions for Essential Goods (September 2021):
The Central Government, under section 11 of the Central Goods and Services Tax Act, 2017, exempts certain essential goods from excess central tax, based on recommendations from the Council.
Table of Exempted Goods:
Goods falling under specific chapters, headings, or tariff items are listed in the table with corresponding rates and exemptions.
Crucial Healthcare Items at Nil Tax:
Medical Grade Oxygen, Tocilizumab, and Amphotericin B are exempted from central tax, providing relief in the fight against the pandemic.
Reduced Tax Rates for COVID-19 Essentials:
Essential COVID-19 supplies such as Remdesivir, Heparin, Covid-19 testing kits, and Inflammatory Diagnostic kits attract a reduced tax rate of 2.5%.
Medical Devices and Equipment Exemptions:
Various medical devices like Pulse Oximeter, High flow nasal canula device, Oxygen Concentrator, Ventilators, and BiPAP Machine enjoy a reduced tax rate of 2.5%.
Sanitization and Safety Products:
Hand sanitizers, helmets for non-invasive ventilation, and temperature check equipment fall under the 2.5% tax category.
Supporting Healthcare Infrastructure:
By reducing taxes on crucial medical supplies and equipment, the government aims to bolster the healthcare infrastructure and make essential items more accessible to the public.