- Fitment Committee of the GST Council likely to reconsider GST on insurance, especially health insurance
- Committee has rejected revision in rate on three occasions due to concerns about tax structure distortion
- Committee comprises officers from Central GST, State GST, and GST Council
- Proposal to reduce tax rate on insurance services from 18% to 5% was not accepted by the Committee
- Committee recommended against reducing GST on insurance due to potential revenue loss to the government
- Proposal to remove GST on life and health insurance was also rejected by the Committee
- Committee considered proposal to exempt GST on premium for group insurance policy for senior citizens and reduce GST on health insurance premium
Source: a2ztaxcorp.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
