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Hurting the GST regime with cess

Hindustan Times Rajasthan

|

June 17, 2025

Proposed cesses will complicate the GST framework, make doing business difficult

industan Times reported on Monday that the next GST Council meeting is expected to consider a proposal to add two new cesses — one for health and the other for clean energy. To be sure, the proposed cesses are unlikely to lead to a hike in tax rates because they will come into effect after the existing compensation cess is done away with; the two cesses will replace the latter. While details are awaited, the idea is not very inspiring, at least in principle. Here are three reasons why.

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