Black fungus drug tax free while vaccine will cost as much tax, Nirmala Sitharaman announces
Finance Minister Nirmala Sitharaman briefed the press on the decision taken in today’s meeting.
Finance Minister Nirmala Sitharaman briefed the press on the decision taken in today’s meeting. At today’s meeting, the rate of GST on ambulances has been reduced to 12 per cent and GST for temperature checking equipments to 5 per cent. The Finance Minister said that the notification of exemption on the material on which exemption has been given will be made public tomorrow. This rate of GST will be applicable till September 2021.
No tax is levied on black fungus medicine
Finance Minister Nirmala Sitharaman said the council has decided to reduce the rate of GST on ambulances to 12%. Until now, ambulances were charged GST at the rate of 28%. Tocilizumab and amphotericin-B are used in the treatment of black fungus. The council has decided to take GSTin on these drugs.
Also reduced tax on these items
Reduced from 12% to 5% on the oximeter
Reduced from 12% to 5% on the ventilator
12% to 5% on remedivir
Reducing medial grade oxygen from 12% to 5%
Tax on BiPaP machine was reduced from 12% to 5%
The pulse oximeter was taxed at 12% to 5%
Approved the suggestions of the group of ministers
The GST Council, at its May 28 meeting, decided to form a group of eight ministers to consider tax rates on drugs and goods used to treat covid and black fungus. Finance Minister Nirmala Sitharaman said the minister has decided to reduce the approving rates following the group’s suggestions.
After the GST Council meeting, Nitin Patel made an important statement on it. He said that from now on all the cost of vaccination would be borne by the central government. At the same time amphotericin-B injection has been made tax free. Remedivir injection will now be subject to 5 per cent GST.
The Group of Ministers also includes Nitin Patel
Importantly, Gujarat DyCM Nitin Patel has been selected in the Group of Ministers Committee. Nitin Patel has been included in the committee for formation of GST exemption committee for Kovid relief materials. Eight members, including the convener, are included in the group of ministers. A committee has been constituted under the convener post of Meghalaya Chief Minister Conrad Sangma. Maharashtra DyCM Ajit Pawar, Goa Transport Minister Godinho are also included. The finance ministers of UP, Kerala, Odisha and Telangana have also been given seats.