29 Jan 2018Posted By: Mudit Handa

25th GST Council Meeting paves way for a Consumer-friendly Union Budget 2018

It's undeniable that the GST Department has all the more sought to pose the consumer as the king of the Union Budget 2018. In its 25th meeting that was held at Vigyan Bhawan, Delhi the GST Council had revised the GST rates for many essential commodities as well as forthcoming civil projects.

The council in its meeting had substantially lowered the rate of GST on as many as 29 goods and 53 services prior to the upcoming Union Budget 2018. Very significantly, the GST Council had lessened the GST rate on the impending metro rail and monorail projects. Apart from that, the council has taken a positive initial step to bring petroleum under the purview of GST by drastically reducing the GST cap from 18% to 5% on the transportation of three crude-oil products, viz. MS (Motor-spirit/gasoline), HSD (High-Speed Diesel) and ATF (Aviation-Turbine Fuel). Moreover, the council had announced that the decision to include the other petroleum products under GST will be soon implemented at the 26th meeting, the date of which is yet to be scheduled.

The revised GST Rates have been implemented with effect from 25th of January. A few imperative areas where the percentage of GST has been lowered are listed below:

  • GST Rate has been lessened 12% from 18% on Public Works Contract Services that are provided by sub-contractor to the main contractor who will, in turn, impart such service to the Central or State Government, Union territory or a local administration. This also includes construction of metro rail and monorail projects.
  • The council has slouched GST Rate for transportation of three crude-oil products, viz. MS (Motor-spirit/gasoline), HSD (High-Speed Diesel) and Aviation Fuel from 18% to 5%, in case the vendor has not availed input credit and 12% if he has.

  • There is a provision of concessional GST @ 12% on construction, erection, commissioning, installation, repairs & maintenance, and/or renovation of building for mid-day meal schemes.
  • The aforesaid concession will be also imposed on mining or exploration services of petroleum, crude oil, and natural gas and in respect to drilling services.
  • 5% GST will be charged for small housekeeping services that are availed without input credit.
  • GST has been drastically reduced to 5% from 18% for tailoring and boutique services.

Apart from the concessions that have been provided on the essentialities discussed above, the government will also give some relief to the entertainment-lovers, such as-       

  • Reduction of GST from 28% to 18% on the entry in theme parks, water-parks, fun-rides, merry-go-rounds, go-karting, and ballet.

  • Keeping in mind the upcoming FIFA world cup 2018, the government has exempted services provided by/to FIFA and its subsidiaries, in case any of its events is hosted by India.
  • GST rate of 5% on travel packages in case the services have been provided by a tour operator service with input credit.


Furthermore, the GST Council has made it that in the next meeting it will introduce additional measures like including petrol & diesel under GST purview, alongside the introduction of new and simplified GST return online filing model.


These measures will only pave way for a consumer-friendly budget, but will also induce the traders to get a GST registration.


To know more about GST


If you have any doubt regarding GST registration procedure or need any assistance with filing of GST return online, feel free to contact us at 8881-069-069.    


Give a Reply

Fill up the form

E-startupIndia Mobile App


Download our free Android App and get realtime update on your order status.
Easily connect with our professionals handling your order over chat & mobile.
Never miss business compliances due date with advance notifications.

Get E-startupIndia in your mobile

Why Choose Us

e-startupindia member of GOOGLE

Serving business owners with an Average 4.8+ Google Rating.

e-startupindia certified #AxixBank

Trusted by Axis bank to cater its clients all licensing & compliance needs.

e-startupindia NG Alliance Partner

Providing lending solutions for business needs with NeoGrowth.

e-startupindia Google Partner

Open Neo bank account worldwide & provides cross-border remittance solutions.

e-startupindia member of CII

E-startupindia is a Proudly Member of Confederation of Indian Industry.The CII is a premier business association in India which works to create an environment.

e-startupindia certified #Etstartupindia

E-Startup India is duly certified under GOI's Startup India scheme and is renowned for our tech-driven solutions for business & legal services requirements for MSMEs.

e-startupindia Google Partner

E-Startup India is a Google Partner, which implies we are rigorously involved in assisting SME businesses to market their presence in the digital world.

Popular Services

Private Limited Company | Public Limited Company | One Person Company | Limited Liability Partnership | Partnership Firm | Sole Proprietorship Firm | Section 8 Company Registration | USA Company Registration | UK Company Registration | UAE Company Registration | Singapore Company Registration | Company Registration Hong Kong | Import Export Code | IEC Modification | AD Code Registration | Spice Board Registration | US FDA Certification | ISO 9001 2015 | ISO 14001 EMS | ISO 22000 FSMS | ISO 27001 ISMS | ISO 50001 Energy Management | ISO 45001 | ISO Surveillance | ISO Certification | MSME Registration | FSSAI Registration | Shop Establishment Registration | Barcode Registration | Coffee Board Registration | Startup India Certificate | ZED Certification | Trademark | Trademark Objection Reply | Trademark Opposition | Trademark Hearing | Trademark Formality Check Fail | Website Development | Patent | Copyright | Design Registration | Business Name Suggestion | Logo Designing | Trademark Assignment Service | GST Registration | GST Modification | GST Cancellation | GST Return Filing | GST Invoice Software | UIN Registration | Income Tax Return | Income Tax Notice | Income Tax Refund | Income Tax Assessment | TDS Return Filing | Form 15CA / CB | Professional Tax Registration | 12A and 80G Registration | FCRA Registration | CSR Registration | Project Report | Pitch Deck | Seed Fund Startup India | Accounting for Ecommerce | Virtual cfo services in india | Bookkeeping & Accounting | Private limited Company Annual Compliance | Form INC-22A | Form 15CA / CB | Company Strike Off | Commencement of Business | Fssai annual return | Online CA Consultancy | Income Tax Return Filling | LLP Annual Compliances | Form DIR-3 KYC | Virtual Office for Company Registration |


  • e-startupindia South Asia's Leading Multimedia News Agency
  • Business Standard
  • e-startupindia Outlook
  • e-startupindia Htmedia
  • e-startupindia Yahoo News
  • e-startupindia New Delhi Times
  • e-startupindia India.com
  • e-startupindia IBTN9