Exempt research grant from GST: Arunachal Dy CM in GST Council meet

Syllad | The Rising MeghalayaSeptember 9, 2024

Arunachal Pradesh Deputy Chief Minister Chowna Mein urged the Central government on Monday to exempt research grants received by universities and institutions from the Goods and Services Tax (GST).

Mein argued that such exemptions would support educational and research activities by reducing the financial burden on these institutions.

Mein attended the 54th GST Council Meeting held at Sushma Swaraj Bhawan, New Delhi on Monday.

The meeting was chaired by Union Finance Minister Nirmala Sitharaman, and co-chaired by Union Minister of State for Finance Pankaj Chaudhary.

Putting forward his view, Mein stated that the nature of research grants may be treated as a subsidy owing to its overarching impact on the welfare and benefit of the public, without leading to commercialization or business.

“Furthermore, in a bid to streamline financial transactions, Arunachal Pradesh has integrated UPI, credit card, and debit card payment options. The state expressed support for the B2C e-Invoicing Pilot Project, which is anticipated to simplify invoicing processes and improve efficiency,” Mein said.

Additionally, Arunachal Pradesh endorsed proposals related to the ITC re-claim ledger and RCM ledger, aiming to resolve mismatch issues.

The state also backed the proposal for enhanced data sharing to optimize GST compliance and supported the exemption of individual health insurance premiums and pure-term individual life insurance policies, including their reinsurance.

The GST Council aims to streamline financial operations, improve compliance, and deliver broader benefits to the public by creating a more efficient and transparent tax system nationwide.

In the meeting, Arunachal Pradesh formally endorsed the minutes of the 53rd GST Council meeting and the decisions of the GST Implementation Committee (GIC) regarding deemed ratification. The state also supported the recommendations of the Law Committee, Fitment Committee, and IT Grievance Redressal Committee, particularly the proposed adjustments to GST rates for goods and services.

Among other dignitaries who attended, were Chief Ministers of Goa and Meghalaya, Deputy Chief Ministers from Bihar, Madhya Pradesh, and Telangana, as well as Finance Ministers from various states and Union Territories, along with senior officers from both Union and State governments.