GST Council stated that in times of epidemic, gasoline and diesel cannot be brought under GST

The 45th GST Council has agreed that petrol, diesel, and ATF would not be subject to GST until India has overcome the COVID-19 pandemic. The decision to apply GST on petroleum goods has been put on hold, according to government officials, due to the current COVID scenario.

Furthermore, if implemented, the move could have significant revenue ramifications, necessitating further discussion before a decision is made.

Petroleum items like as gasoline, diesel, and ATF are required by law to be included in the GST Act, however it is up to the Council to decide whether or not these products should be included.

After the 45th GST Council meeting in September, Finance Minister Nirmala Sitharaman stated that now is not the proper moment to bring gasoline goods under GST, but she did not provide an explanation. The matter had also came up for discussion during the meeting, according to the FM.

“I would like to make perfectly clear that this topic came on the agenda for today’s discussion on petroleum products,” she had remarked earlier. She referenced a Kerala High Court judgement in which the court ruled that gasoline products should be included in the GST. “The court has recommended that the matter be referred to the GST Council. As a result of the court’s directive, it was brought up for consideration today “In September, she stated.

The members of the Council had made it clear that they did not want petroleum goods to be subject to GST. The meeting took place because the court had instructed the GST Council to report back in two months on its judgement.

As a result, the GST Council resolved to inform the Kerala High Court that it was not yet time to bring petroleum items under GST.