The Goods & Services Tax (GST) Council has finalized a four-rate tax structure -- 5, 12, 18 and 28 percent, Finance Minister Arun Jaitley today announced at a press conference.
The FM said that the government has kept about 50 percent of products in the consumer basket, such as food grains, as "zero-rated". Jaitley further said that cost empowerment issue will be taken up tomorrow. White goods category, which is presently taxed at 30-31 percent level, will be under the 28 percent category.
These, however, will come with riders. While the cars will be under 28 percent category, luxury cars will be taxed much higher. Taxation on gold will be decided upon the revenue flexibility, Jaitley said.
