GST ON IMPORTED OXYGEN CONCENTRATORS
- May 22, 2021
- Posted by: OptimizeIAS Team
- Category: DPN Topics
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GST ON IMPORTED OXYGEN CONCENTRATORS
Subject: Economy
Context: IGST Imposition On Import of Oxygen Concentrators As Gift For Personal Use Unconstitutional: Delhi High Court.
Concept:
- It said that oxygen concentrators constitute a life-saving device during the COVID-19 pandemic and during a pandemic, a different approach needs to be adopted.
- The petitioner had challenged a May 1 notification that levied 12% GST on such imports from 28% earlier. He invoked Article 21 of the Constitution which enshrines the fundamental right to life.
- The court had asked the government to consider temporarily dropping the 12% GST levied on such imports altogether, citing the shortage of oxygen in the second wave of the pandemic.
IGST
- IGST or Integrated Goods and Services Tax is one of the three components of Good and Services Tax. It is levied on all the inter-state transfer of goods and services and is governed by the IGST Act.
- IGST will be applicable on any supply of goods and/or services in both cases of import into India and export from India.
- Under IGST,
- Exports would be zero-rated.
- Tax will be shared between the Central and State Government.