Prashant Deshpande, Partner, Deloitte India,

“Keeping only luxury, demerit and sin goods in 28 percent slab is the right decision. A broad base and moderate rate as it is an essential feature of a good tax system. The GST Council and Secretariat should not, in the first place, have gone merely by the revenue neutral rates for each commodity but were expected to arrive at a moderate revenue neutral rate considering the expansion in base, economic conditions and perceived revenue buoyancy. This is now happening in a real sense. The lowering of tax rates on a number of items will require those suppliers who are greeted with reduction in rates to pass on a commensurate benefit by way of lowering of prices. A uniform tax rate of 12 per cent doing away with tax rate distiction between AC and non AC restaurants is welcome; but the critical issue of input tax credit eligibility cannot be ignored.”

Saloni Roy, Senior Director, Deloitte India,

“An appreciative move by the GST council towards addressing criticisms is that the list of goods of daily use attracting 28 percent GST is being curtailed. A reduction in monthly household expenses will always be embraced. This is adjunct to another proposed measure to make eating out less steep expensive by reduction in rates on restaurant services. The medium and small scale industries are also expected to receive a fillip with certain favorable revisions in return filing norms along with revision in rates for assesses under composition scheme. Needless to say, this shall mitigate the hardships faced by the MSME sector in light of the multiple compliance requirements currently imposed.”  - Communications Today Bureau