Government has clarified that GST rate on sanitary napkins is same or less than the tax levied on it during the pre-GST period.<br/><br/>In a statement, Finance Ministry said, in pre-GST regime, sanitary napkins attracted estimated total tax incidence of 13.68 percent whereas now they attract 12 percent tax. The Ministry said, if the GST rate on sanitary napkins are reduced from 12 percent to 5 percent, it will put domestic manufacturers at greater dis-advantage as compared to imports. <br/><br/>It further said, reducing the GST rate to nil will result in complete denial of Input Tax Credit to domestic manufacturers and zero rating imports. The statement came in the wake of remarks made by various columnists questioning GST rate on sanitary napkins.
News On AIR | July 10, 2017 9:20 PM
Govt clarifiest GST rate on sanitary napkins is same or less than tax levied during pre-GST period