GST Council postpones resolution to chop tax on life and medical health insurance

Additionally Learn: New Zealand falls into recession with abrupt financial slowdown

The fifty fifth assembly of the GST Council, chaired by Union Finance Minister Nirmala Sitharaman and comprising state counterparts, determined that some extra technicalities wanted to be ironed out and tasked the GoM for additional deliberations.

Bihar Deputy Chief Minister Samrat Chaudhary mentioned yet one more assembly of the GoM on insurance coverage is required to take a name on taxation of group, particular person, senior residents’ insurance policies.

Additionally Learn: Google proposes to loosen default search engine offers with Apple and others in US antitrust case

“Some members mentioned extra discussions required. We (GoM) will meet in January once more,” Chaudhary advised reporters.

A Group of Ministers (GOM) arrange by the Council beneath Chaudhary, in its assembly in November had agreed on exempting insurance coverage premiums paid for time period life insurance coverage insurance policies from GST.

Additionally premium paid by senior residents in the direction of medical health insurance cowl has been proposed to be exempted from the tax.

Additionally Learn: These 5 banks revise their fastened deposit rates of interest: Test particulars

Moreover, premiums paid by people, aside from senior residents, for medical health insurance with protection of as much as ₹5 lakh is proposed to be exempted from GST.

Nevertheless, 18 per cent GST will proceed on premiums paid for insurance policies with medical health insurance cowl of over ₹5 lakh.