Following the 55th GST Council meeting, Union Finance Minister Nirmala Sitharaman announced several major decisions to simplify the GST process for skill training providers and small businesses.

Finance Minister Nirmala Sitharaman announced that the council has approved the concept note designed to streamline the GST registration process for small businesses.

In another announcement from the Finance Minister will be exempt from the GST. She further mentioned that the notification would be issued for formalizing the exemption.

Compensation Cess

Speaking about the compensation cess, the Finance Minister mentioned that there is no such time period set for the Group of Ministers to address the issue. However, the Council has yet to lock any changes for compensation cess.

The Central Board of Indirect Taxes and Customs had made it clear that the compensation cess on the SUVs will only be applied going forward and it will not affect on vehicles which are already sold.

GST On Electric Vehicles

Talking about the GST structure for electric vehicles, Nirmala Sitharaman mentioned that the new EVs will have 5% GST.

However, GST will not be there EVs will be sold between two individuals. The electric Vehicles that are brought by the companies or modified by the sellers and then gets sold will be having 18% tax.