3rd GST Council Meeting held on 18th & 19th October, 2016 in New Delhi

The third GST Council Meeting took place in New Delhi. Several key points were discussed which are follows:
1: The council was unable to  arrive at a final decision on whether how to impose a Cess or Additional tax demerit goods to fund compensation to states for tax revenue lost in the first five years of GST.
2: The proposed Cess will be levied over and above the GST  on luxury items like Big Cars and also Sin Goods.
3: The GST Rate Structure would be decided only after the source of funds for compensation has been finalised.
4: No concrete decision has been taken upon the fund mechanism for compensating states, whether it should be by way of higher tax or through a Cess.
5: Revenue Secretary Hasmukh Adhia reportedly said that the Council is considering 12 Percent and 18 Percent for the standard GST Rate, a low rate of 6 Percent and a high rate of 26 percent.
6: Finance Minister Arun Jaitley said that as per the Council's Decision an Assessee will be assessed only by one Authority - Either the State or the Centre.
7: Hon'bl Finance Minister further added and said "GST Rates will also dependent on sourcees of funds on the basis of which the compensation to the losing states will be funded. On this issue, we have virtually converged towards a concensus, the formal announcement of that, after working out for the same, the details shall be made made in the next meeting itself.