GST Reforms Will Cause ₹3,700 Cr Revenue Loss to Govt: SBI Report

The State Bank of India (SBI) in its latest research report said that reforms in GST through reduction in rates will cause a minimal revenue loss of Rs 3,700 crore.

- PTI

The government estimates the net fiscal impact of GST rates rationalisation will be Rs 48,000 crore on an annualised basis.

According to the report, given the growth and consumption boost, the minimal revenue loss is estimated at Rs 3,700 crore and will have no impact on the fiscal deficit.

At the 56th meeting of GST Council held few days ago, the current four-tier structure has been replaced with a two-tier one, with a standard rate of 18 per cent and five per cent, and de-merit rate of 40 per cent on selected few goods and services.