Smartphones to become costlier as GST hiked to 18%, ICEA calls move detrimental to ‘digital India’
The GST rates on mobile phones and allied parts will be hiked to 18 per cent from existing 12 percent with effect from April 1, Finance Minister Nirmala Sitharaman said on Saturday.
The decision came after a meeting of GST Council chaired by the finance minister. In the meeting, the decision to slash down the GST on maintenance, Repair and Overhaul (MRO) services of aircraft from 18 per cent to 5 per cent, with full input tax credit was also taken.
GST rate on hand-made and machine-made matchsticks was brought to 12 per cent, which earlier was 5 per cent for hand-made and 12 per cent for machine-made.
The council decided to extend the due date for the filing of annual return for financial year 2018-19 to June 30. It was also decided to levy late fees for taxpayers with turnover less than Rs 2 crore.
In order to make the GST Network more efficient and increase its capacity, the Council also asked Infosys to deploy more skilled manpower and make the system glitch-free by July 2020.
Responding to the council’s decision on rate hike on mobile phones, the India Cellular and Electronics Association (ICEA) said the decision would affect the consumption of product.
The 6 per cent GST increase will be detrimental to the vision of ‘digital India’,” said Pankaj Mohindroo, ICEA Chairman.
“Consumption will be stymied and our domestic consumption target of $80 billion (Rs 6 lakh crore) by 2025 will not be achieved. We will fall short by at least Rs 2 lakh crore,” he said.
Earlier on March 12, the ICEA had in a letter told the finance minister that the mobile handsets sector was in deep stress due to the supply chain disruption due to the deadly coronavirus.
ICEA termed the timing of the decision as ‘inappropriate’.
It said the GST hike might adversely affect the localization of manufacturing as well as popularization of the country’s digital payments objectives.
As per ICEA, around 32 crore Indians who buy the product in the country will be impacted by the government’s move.
Breaking News: Silicon Valley Bank’s Collapse Sends Shockwaves Through Financial World – Is India’s Banking System Next to Crumble?
Are Indian Banks Ready to Face the Heat of Rising Interest Rates?
As Silicon Valley Bank (SVB) faces the heat of collapsing amidst rising domestic interest rates, Indian banks are left wondering if they are next in line. With the Indian economy still recovering from the COVID-19 pandemic, the prospect of rising interest rates could lead to a devastating blow to the country’s banking sector. Will Indian banks be able to weather the storm or will they collapse like SVB?
Indian banks have already faced a tumultuous few years with multiple frauds and defaults taking place, leaving many questioning their resilience. With the Reserve Bank of India (RBI) indicating that it may hike interest rates in the near future, the pressure on Indian banks is set to increase. The question remains – are Indian banks prepared to face the heat of rising interest rates or will they buckle under the pressure? Only time will tell.
Delhi: Businesses can now remain open 24×7, over 300 applications cleared by L-G
From restaurants to transport services and BPOs to online delivery services, all those who apply for exemptions will be allowed to operate 24×7 in Delhi starting next week, with Lieutenant Governor V K Saxena approving the proposal to exempt 314 such places to operate all day long, some of them pending since 2016, officials said.
“The L-G has directed that notification to this effect be issued within seven days. The decision of providing exemption under Sections 14, 15 & 16 of the Delhi Shops & Establishment Act, 1954, is expected to boost employment generation and promote a positive and favorable business environment that is a prerequisite for economic growth. The decision will also provide a fillip to the much desired ‘nightlife’ in the city,” said an official.
Swiggy Instamart figures, Mumbaikars ordered 570 times more condoms in the last one year
Customers are also ordering medical-related things through online shopping platforms. In metros like Mumbai, Hyderabad, Delhi, and Bangalore, people are buying goods online in large numbers. People living in metro cities including Bengaluru, Delhi, and Mumbai ordered an average of 6 million eggs in the last year.
These days people are doing online shopping fiercely in the country. Through Grocery Service Platforms, the goods of need are easily reaching people’s homes. From vegetables to medicines, just a few clicks on the smartphone are reaching people’s doorsteps. According to a survey, Swiggy Instamart has provided service to more than 9 million users between June 2021 and June 2022. In metros like Mumbai, Hyderabad, Delhi, and Bangalore, people are buying goods online in large numbers.
Healthcare products orders
Customers are also ordering medical-related things through online shopping platforms. According to a survey, Mumbaikars have ordered 570 times more condoms in the last 12 months. At the same time, in 2021, Instamart received orders for about two million sanitary napkins, menstrual cups, and tampons. Apart from this, a lot of orders have also been received for grocery items.
56 lakh packets of noodles ordered
According to the survey, between April and June last year, there was a 42 percent increase in the demand for ice cream in these metro cities. It was also learned that most of the orders were placed after 10 pm. In metro cities, people have ordered 5.6 million packets of instant noodles. In Hyderabad, users ordered around 27,000 bottles of fresh juice during the summer months.
60 lakh eggs ordered
The demand for eggs has increased manifold in the last two years. People living in metro cities including Bengaluru, Delhi, and Mumbai ordered an average of 6 million eggs in the last year. According to the report, customers from Bangalore and Hyderabad ordered the maximum number of eggs for breakfast. At the same time, people of Mumbai, Jaipur, and Coimbatore have ordered the maximum number of eggs online at the time of dinner.
Demand for dairy products
There has been a huge jump in orders for both tea and coffee. According to the report, there has been an increase of 2,000 percent in its demand. At the same time, 3 crore orders of milk have come for milk. People from Bangalore and Mumbai have placed more orders in the morning. Regular milk, full cream milk and toned milk are the most ordered dairy products.
Ordering fruits and vegetables
Orders for 62,000 tonnes of fruits and vegetables have been received in the last year. With 12,000 orders, Bengaluru tops the list of organic product buyers. At the same time, Hyderabad and Bangalore together have ordered more than 290 tonnes of green chilies in 12 months. Over 2 lakh orders have been received for bathroom cleaners, scrub pads, drain cleaners, and more in the last year.
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