GST Relief on Insurance: The GST Council may finalize the reduction or abolition of GST on life and health insurance in its next meeting.
GST Relief on Insurance: The Insurance Regulatory and Development Authority of India (IRDAI) has put forward its point of view on reducing GST on health and life insurance premiums. A meeting of the Group of Ministers (GoM) is likely to be held in April regarding this. According to a Moneycontrol report, the council headed by Bihar Deputy Chief Minister Samrat Chaudhary may consider the proposals in its next meeting to be held in May.
GoM meeting may be held in April
The official said, IRDAI has given its opinion on reducing GST on life and health insurance. Now IRDAI has also joined this discussion. A GoM meeting may be held on this in April. After this, the report will be submitted to the GST Council. The GST Council may give relief on GST on life and health insurance in its next meeting.
This meeting will be held at the end of April or early May. Then perhaps this matter of insurance will also be resolved. There was a consensus among the states on completely abolishing the 18 percent tax levied on term insurance plans. The decision could not be finalised as IRDAI did not comment on it.
The report is expected to be finalised soon
The official said that it is important to include IRDAI in this entire discussion so that it cannot be alleged that they were not consulted on this issue. After reviewing the comments made by IRDAI, the Group of Ministers constituted under the chairmanship of Samrat Choudhary will finalise its report. The GST Council had earlier deferred the decision to exempt or reduce GST on health and life insurance premiums in its meeting on December 21 till further information was received from the regulator.
These are included in the GoM
The 13-member Group of Ministers includes Uttar Pradesh Finance Minister Suresh Kumar Khanna, West Bengal Finance Minister Chandrima Bhattacharya and Kerala Finance Minister KN Balagopal. Other members include Rajasthan Health Minister Gajendra Singh, Karnataka Revenue Minister Krishna Byre Gowda and Goa Chief Minister Pramod Sawant.
