Black fungus drug tax free, remedivisor, oxygen, testing kit rates reduced

New Delhi, Dt

The central government on Saturday lifted or reduced the rate of GST on several products related to the Koro epidemic. The GST Council has accepted the recommendations of the group of ministers on relief materials related to corona. The decision was taken at the 9th meeting of the GST Council. The GST Council, chaired by Finance Minister Nirmala Sitharaman, has exempted black fungus medicine. This decision will provide partial relief to patients affected by corona. However, no change has been made in the GST rate on corona vaccine. However, the council has clarified that the concession given in the GST rate will be effective till September.

The GST Council, chaired by Finance Minister Nirmala Sitharaman, on Saturday slashed tax rates on several other items related to corona. In view of the increasing cases of black fungus in the country, the council has reduced the rate of GST on amphotericin B drug used in the treatment of black fungus to zero. Tosilizumab, on the other hand, has also been taxed at zero. However, GST on other anti-coagulant drugs such as corona remedivir and heparin has been reduced from 21 per cent to five per cent.

The GST Council has also reduced the rates of GST on other relief materials related to corona. As a result, the GST rate on medical grade oxygen, oxygen concentrator, ventilator, bipep machine, high flow nasal cannula (HFNC) and covid testing kits has been reduced from 12 per cent to five per cent. As a result these things will be cheaper. At the same time, the rate of GST on hand sanitizers and thermometers has been reduced to five per cent. This is expected to directly benefit consumers.

However, the GST Council has not removed the five per cent GST on corona vaccines. After the meeting, Finance Minister Nirmala Sitaram clarified that under the National Vaccination Campaign, the central government was buying 5 per cent corona vaccine and paying GST on it. As well as giving free vaccines to people in government hospitals. Therefore, removal of GST on vaccines will not directly benefit the public. However, states like Delhi, West Bengal and Odisha have repeatedly demanded abolition of GST on corona vaccine.

Under the GST system, 5 per cent GST is applicable on vehicles and other luxury items. But in view of Corona's condition, the GST Council has excluded ambulances from the range. Ambulances will now be subject to 18 per cent GST instead of 5 per cent. However, this exemption is only valid until September. The GST Council has reduced the GST rate on Corona related relief items, black fungus medicine and ambulances till September 30, 2021 only. These new rates will be for newly made goods.

"There was only one agenda for today's meeting," Finance Minister Sitaram said. The meeting accepted the recommendations made by the group of ministers formed at the last GST meeting on tax relief on Koro related products. The notification regarding relief in GST rate will be announced by Sunday.