Inclusion of natural gas within the purview of Goods and Services Tax (GST) will be proposed in the upcoming GST Council meeting. In a workshop organised by the PHD Chamber of Commerce and Industry, Joint Secretary of GST Council, Dheeraj Rastogi said that the inclusion of natural gas under GST will be a crucial consideration for all the State Finance Ministers. Also Read - GST Council Meeting to be Held Today: Here's What is on Agenda
A PHD statement quoted Rastogi, “Petroleum is a considerably larger source of revenue not only for the Centre but also states, and on natural gas front, there is some consensus for bringing it within the GST ambit and therefore, it could be the first petroleum product that could come in well within the GST network.” Also Read - Ahmedabad: Firm Promoter Arrested For GST Evasion of Worth Rs. 88 Crore
Rastogi has also favoured the inclusion of aviation turbine fuel (ATF), another petroleum product, within the GST ambit. Also Read - RCap invites Nippon Life to acquire its stake in asset management JV
However, he neither specified the time frame nor the probable GST rate for bringing both natural gas and ATF under the purview of GST.
The workshop was an analysis on the issues surrounding the ‘Levy of GST, supply, goods, services and time and place of supply.’
Rastogi hinted at redefining supply under GST and reviewing their various schedules after the Industry and trade sought for a clarification on this front. He also stated that the GST Council has taken several such initiatives to solve the confusion. Rastogi promised to centralize the policy decision that addresses the GST related issues rather than confining to a state advance ruling authority.
Chairman, Indirect Taxes Committee, PHD Chamber, Bimal Jain, also asked the GST Council to redefine the ‘supply’ under GST as it is “subjective, inclusive and wider”.