The GoM meeting held on 25th September 2024, ended without a final decision on the proposal to reduce GST rates on life and health insurance. According to sources, the discussion touched on various aspects but was deferred for further deliberation in the next meeting, scheduled for October 19 in New Delhi.
The GoM, chaired by Bihar Deputy Chief Minister Samrat Chaudhary, plans to address insurance-related matters, including proposals for senior citizen medical insurance, life insurance, term life insurance, and group insurance. Recommendations are expected to be finalized during the October 19 meeting and submitted to the GST Council, which will review them in November.
The proposed committee also failed to agree on the abolition of GST rate brackets, with West Bengal and Karnataka among the states that remain opposed to the shift. It would now be interesting to see what more the GoM has in store for the logical subsequent move of rate rationalisation at the GST Council meeting.
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