NEW DELHI: The GST Council has decided to levy 18 percent tax on the sale of used vehicles and five percent tax on new electric vehicles. The 55th GST Council meeting in Rajasthan's Jaisalmer today chaired by Union Finance Minister Nirmala Sitharaman decided to postpone the change in tax structure on health and life insurance policy amount.

Nirmala Sitharaman said that Bihar Deputy Chief Minister Samrat Chaudhary has asked for more time for the ministerial committee to determine the changes in the tax on insurance products. There was also no decision on the proposal to include aviation fuel under the purview of goods and services tax. The finance minister also informed that the state governments are not in favour of the issue. The decision on taxation of online food delivery firms has also been deferred.

Major decisions

1. Tax on fortified rice will be reduced to five percent
2. Gene therapy exempted from GST
3. Amendment to change the definition of prepackaged and labeled products
4. Banks and financial institutions should not levy GST on late repayment penalty levied on customers.
5. 12% GST will be levied if more than 50% fly ash is added to ACC blocks
6. GST not applicable when farmers supply pepper to traders

12% tax on popcorn

12 percent tax will be levied on unpackaged and ready-to-eat popcorn. GST on caramelized popcorn will be 18 percent.