GST Council

The 53rd Goods and Services Tax (GST) Council met under the Chairpersonship of the Union Minister for Finance and Corporate Affairs.

About GST Council:

• The GST Council, a constitutional body, was formed to make pivotal decisions on various aspects of the Goods and Services Tax (GST) such as tax rates, exemptions, administrative procedures, and revenue sharing between the Central and State Governments.
• It serves as a joint forum of the Centre and the states, established under Article 279A of the 101 Constitution Amendment Act, 2016.

Purpose and Function:

• The Council recommends resolutions on issues related to the implementation of GST.
• It decides on the goods and services that are subjected to or exempted from GST, and it formulates model GST laws.

Composition:

• The composition of the GST Council includes the Union Finance Minister as the Chairperson and the Union Minister of State for Finance from the Centre.
• Each state nominates a minister in charge of finance or taxation to the Council.
• Every decision taken at GST Council meetings must be supported by a minimum of 75% majority of the weighted votes cast by the council members.
• The vote of the Central Government carries the weight of one-third of the total votes cast, while the votes from the members of the State Governments have a weightage of two-thirds.