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There are proposals about replacing the current four-slab GST structure with a simplified two-tier system of 5% and 18%, along with a 40 per cent special rate on a handful of ‘sin’ goods such as pan masala, tobacco and online gaming.
If cleared by the GoM, headed by Bihar Deputy CM Samrat Choudhary, the proposal would move nearly all items currently taxed at 12 per cent to 5 per cent, and a bulk of those in the 28 per cent slab to 18 per cent. The recommendations would then go before the GST Council, chaired by Sitharaman, for final approval next month.
China’s Foreign Minister to conclude India visit
Today marks the last day of China’s foreign minister’s visit to India. He was on a visit from Monday to Wednesday (Aug 18-20) for the 24th round of talks with Indian National Security (NSA) Advisor Ajit Doval to resolve their decades old border dispute.
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During his visit India and China has announced major outcomes from strengthen border management and peacekeepin to curb restrictions on rare-earth magnets, fertilisers, and tunnel boring machines (according to media sources).According to Reuters, India and China have also agreed to resume direct flights, reopen border trade points, and boost investment flows as they seek to rebuild ties strained since the 2020 border clash. Both sides also agreed to set up a working group on border affairs and hold the next round of talks in China in 2026.
Prime Minister Narendra Modi, who is scheduled to visit China later this month for the SCO summit, said stable ties between the two Asian giants would aid global peace. The talks also covered India’s concerns over China’s mega dam on the Yarlung Zangbo river in Tibet, with Beijing agreeing to share emergency hydrological data and engage an expert-level mechanism on cross-border rivers. China also pledged to address India’s needs for fertilisers, rare earths, and tunnelling equipment as part of efforts to strengthen economic cooperation.