Covid relief items: Meghalaya CM Conrad Sangma-led GOM to examine GST cut

The GOM will submit its report to the GST Council by June 8 for the Council's consideration.

An eight member group of ministers (GOM) led by Meghalaya chief minister Conrad Sangma will examine the need for reduction of or exemption from Covid vaccines and other related healthcare items from goods and service tax (GST).

“In pursuant of the decision of the GST Council at its 43rd meeting on May 28, 2021, a group of ministers has been constituted to examine the issue of GST concessions/ exemption to Covid relief material. The GOM shall examine the need for GST concession and make recommendations on Covid vaccines, drugs and medicines for Covid treatment and testing kits for Covid detection,” according to the GOM’s terms of reference.

“(To examine) medical grade oxygen, pulse oxymeters, hand sanitisers, oxygen therapy equipment such as concentrators, generators and ventilators, PPE kits, N95 masks, surgical masks, temperature checking equipment and any other items required for Covid relief,” it said.

The GOM will submit its report to the GST Council by June 8 for the Council’s consideration.

Besides convenor Sangma, the other members of the GOM are Gujarat deputy CM Nitinbhai Patel, Maharashtra deputy CM Ajit Pawar, Goa transport minister Mauvin Godinho, Kerala finance minister KN Balagopal, Odisha finance minister Niranjan Pujari, Telangana finance minister T Harish Rao and UP finance minister Suresh Kumar Khanna.

Currently Covid vaccines attract 5% GST for domestic supply and commercial import, the fitment committee is learnt to asked for retaining the rate. As for oxygen concentrators, medical grade oxygen, pulse oximeters and Covid testing kits, 12% GST exist on domestic supplies and commercial imports. The committee favoured cutting the rate to 5% till July 31. No change in rates was recommended by fitment committee on ventilators (12%), N95 mask/surgical masks (5%), RT-PCR macines (18%).