GST News: Given the increasing expenditure on medical treatment, it is very important to have a health insurance policy, especially for senior seats. This provides relief from the huge expenditure on treatment. Together, a person also considers himself a secure.
Meanwhile, Bihar Deputy Chief Minister and Finance Minister Samrat Chaudhary said that the Group of Ministers of GST Council will make an important proposal to give exemption on GST on the premium of Health Insurance and Life Insurance. Under this proposal, the GST on the premium of health insurance and life insurance will be recommended to be completely abolished.
Insurance product should be kept out of GST
At present, 18 percent GST is imposed on the premium of life and health insurance. Due to this, the premium is becoming so expensive, which is outside the reach of the common man.
Earlier, the Central Road Transport and Highway Minister Nitin Gadkari has also said that in today’s era, life insurance and health insurance is necessary for every person, so it is not right to put GST on such products. Talking to reporters today, Emperor Chaudhary said that the proposal of the Center is clear that the insurance sector should be exempted from GST. This has been discussed and the report of the Group of Ministers will be presented before the council.
Convenor of Emperor Chaudhary Group
He said, “All members of GOM have given their consent to reduce rates. Some states have also shared their views.” He further said that the final decision on the rates will be taken by the council. Let us know that Emperor Chaudhary is the convenor of the 13 -member ministry group formed on health and life insurance.
The proposal of the Center on Insurance is part of the overall GST improvement proposal of the next generation, under which the products will be levied on the basis of their merit and standard and the goods and service tax under two rates – 5 percent and 18 percent. The 13 -member Group of Ministers set up on health and life insurance was formed in September to suggest at tax rates.
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