You need to pay more for hotel and hospital rooms now, thanks to GST rate hike. See the list

The hiked GST rates that came after the 47th GST Council meeting will make your wallets lighter. Essential services like hospital and hotel room accommodations, prepacked and labeled food items, cheque books and LED lamps will become expensive.

Electronic vehicles, transportation by ropeways, truck rentals and some orthopedic devices have become cheaper.

As you may know, different GST rates are applicable to different goods and services depending on their nature, relevance, and impact. These rates are decided by the GST Council and can be changed over a period of time. Essential goods are usually charged at low rates like 0% (eggs, curd, fresh vegetables), 5% or 12% (butter or ghee). The slightly more luxurious goods are taxed at 18% and 28% (BMWs and aerated drinks). 

THE LATEST GST UPDATE 

The GST rates are usually decided or changed at the GST Council meetings. The latest GST Council meeting was the 47th meeting that happened on June 28 and June 29 in Chandigarh. Post the meeting, the government issued nine rate notifications on July 13, to be effective from July 18. This is how the GST rates have changed starting today: 

Here's what is cheaper from July 18, 2022:

1. Select imported medicines - Diethylcarbamazine (DEC) for National Filariasis Elimination Programme 
2. Ostomy appliances (these are needed in cases of birth defects, cancer, or inflammatory bowel diseases)
3. Orthopedic appliances, artificial parts of the body, splints and other fracture appliances, body implants or appliances which are worn or carried, to compensate for a defect or disability.
4. Transport of goods and passengers by ropeways.
5. Renting of truck or goods carriage.
6. Import of particular defense items by private businesses or suppliers for end-consumption of defence.
7. Electric vehicles, irrespective of whether it is fitted with a battery pack.

Now, here's what's expensive (hint: pretty much a lot of things)

• 5% or below 

1. Cut and polished diamonds (GST at 1.5%)
2. Pre-packed and labeled food items (like curd, lassi, buttermilk, packed paneer, meat, fish, honey, dried leguminous vegetables, makhana, wheat and other cereals, wheat or meslin flour, jaggery, puffed rice (muri), all goods and organic manure and coir pith compost will have 5% GST) 
3. Hospital room rent (Earlier, there was no GST if your room rent was more than Rs 5,000 per patient day. Now, you have to shell 5% as GST). Note that this does not refer to ICU.

• 12% 

1. Hotel accommodation (earlier, there was no GST if your room tariff was below Rs.1,000 per day. Now you have to shell 12%).
2. Common bio-medical waste treatment facilities to treat bio-medical waste (from no GST to 12%).
3. Printed maps and similar charts of all kinds, atlases, wall maps, topographical plans, and globes (12% GST).
4. All forms of mango including mango pulp (12% GST). Note, this does include mangoes sliced and dried. Also, Raw or fresh mangoes continue to be exempt.
5. GST on solar water heaters and finished leather.

• 18% and Above

1. Cheque books and tetra packs (from no GST to a straight 18% GST)
2. E-waste (GST at 18%)
3. LED lamps, ink, knives, blades, pencil sharpener, blades, spoons, forks, ladles, skimmers, skimmers, cake servers; printing, writing, and drawing ink; fixture and their metal printed circuits board (GST at 18%).
4. Tax on milling machinery for cereals (GST at 18%).
5. GST on work contract services supplied to government and local authorities.
6. Services by RBI, IRDA, SEBI, FSSAI, and GSTN and renting of a residential dwelling to GST- registered businesses.
7. Transportation by rail or a vessel of railway equipment and material.
8. Storage or Warehousing of commodities (such as copra, nuts, spices, jaggery, cotton, etc) and fumigation in such a warehouse.
9. Services by the Cord blood banks for preserving stem cells.
10. Air transportation of passengers to and from north-eastern states and Bagdogra (except those traveling in economy class) 
11. Tar (From coal, coal gasification plants, or producer gas plants).

The hike in GST rates is just going to add up to our already inflated bills and if we can afford to pay for these things without flinching, we should be grateful.