Now bricks have also become expensive for building a house, the government has increased the rate of GST on kiln traders Government has increased the rate of GST on bricks

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bricke- India TV Paisa

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bricke

Highlights

  • Till March 31, 5 percent GST was levied on the manufacture and trade of bricks.
  • Now from April 1, the manufacturing of bricks has increased to six percent.
  • The hike in rates will affect the housing and infrastructure sector

new Delhi. The cost of building a house can increase further. This will happen due to increase in the price of bricks. Actually, the government has changed the rate of GST on the brick kiln trader. Till March 31, 5 per cent GST was applicable on the manufacture and trade of bricks. Now it has increased to six per cent from April 1. According to the information given, brick kiln traders can opt for a composition scheme to pay 6 per cent GST without Input Tax Credit (ITC) from Friday.

Businesses who do not opt ​​for the composition scheme will attract 12 per cent Goods and Services Tax (GST) along with ITC. The government notified the GST rates on March 31, which are applicable from April 1. As per the notification, manufacturers of bricks, tiles, fly ash bricks and fossil bricks can opt for composition scheme.

Till now, the manufacture and trade of bricks was subject to a GST of five per cent, and businesses were allowed to claim credit on inputs. In September last year, the GST Council had decided to bring brick kilns under the special infrastructure scheme with effect from April 1, 2022.

AMRG & Associates Senior Partner Rajat Mohan said inflation has already risen in India and at present, the housing and infrastructure sector will be affected by the increase in tax rates on essential infrastructure sector items.



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