All This mail did not make it to the list. Harish Quoting: [GST COUNCIL MEETS NEXT ON 4th AUGUST AT NEW DELHI] ---. Dear GST Council, Why a LUXURY GST rate on wheelchair parts and accessories? Pre-GST, all wheelchair and accessories/parts imports were excluded from any taxation and custom duty. Post GST implementation, the entire wheelchair industry is facing tremendous amount of confusion and uncertainty with respect to taxation being levied upon wheelchair parts and accessories. What's clear is that HS Code Heading 8713 by definition 'Carriages for disabled persons, whether or not motorised or otherwise mechanically propelled ' is applied for all wheelchair imports which attracts 5% IGST. However the confusion lies in the following : WHEELCHAIR PARTS There is ambiguity related to the imports of wheelchair parts as they have been classified under two different GST rates : * HS Code '90 or any other chapter' which by definition 'Parts of goods, namely crutches, wheelchairs, walking frames, tricycles, braillers and artificial limbs' attracts 5% IGST. * HS Code Heading 8714 by definition 'parts and accessories of vehicles of heading 8711 and 8713 ' which attracts 28% IGST.
Our concern is which HS Code would be applicable to wheelchair parts such as wheels, brakes, frames etc.? If "90 or any other chapter" is the correct classification, then we would like to request the relevant HSN Code (Is it 871390907?). Manufacturers are constantly on the receiving end when importing these items as the Custom Department levies variable GST rates and sometimes even duty which negatively impact business operations. WHEELCHAIR ACCESSORIES These include pressure relieving and positioning cushions and postural supports (backrest, headrest, harnesses etc.). These are clinically relevant interventions for people with disabilities which prevent any life-threatening secondary health complications such as pressure sores and posture deformities. As per GST guidelines, wheelchair accessories have been classified under HS Code Heading 8714 which attracts 28% IGST. Our concern is that luxury taxation of 28% has been imposed on wheelchair accessories. We request that wheelchair accessories rate should be harmonised along with the wheelchair (HSN 8713) which attracts 5%. We wish to eliminate any ambiguity related to import of wheelchair parts and accessories. This will allow companies serving people with disabilities to standardize business processes while avoiding any unwanted taxation imposed on people with disability. Sincerely, We the People (with disability) of India Why Tax Disability? Roll back GST for PwDs Disability in India --- IMAGE DESCRIPTION --- GRAPHIC : A price tag reading 'Special Divyang Rate' separates 2 images. The left is a cross section of a spinal wheelchair cushion. The right - cross section of a pressure ulcer. Text : Of course we're SORE @ 28% GST for wheelchair cushions! Spinal cord injured wheelchair users face much stress, warring pressure sores. Why add PRICE PRESSURE to wheelchair cushions that prevent deadly ulcers? Bad enough, > 99% of India is INACCESSIBLE and unfriendly to disabled citizens. Then you equate disability with DIVINITY. Now you tax disability as a LUXURY. Govt of India, stop PENALISING disability! www.bit.ly/whytaxdisability On Wed, Aug 1, 2018 at 10:59 AM Vaishnavi Jayakumar <[email protected]> wrote: Hi everyone, Time to revive GST action on the sector's end. 1. Amba, what about ebook copyright law exemptions for blind and GST wrt this press clipping? Printed and Braille books are at nil GST btw. 2. Nipun, what progress on the GST PIL? 3. Prashant, any update on the wheelchair accessory luxury tax of 28%? Any other developments post last year's campaign? Check archives at www.bit.ly/whytaxdisability to refresh your memory. --- GST cut for e-books, but publishers are not elated thehindu.com/sci-tech/technology/gadgets/gst-cut-for-e-books-but-publishers-are-not-elated/article24514391.ece Mumbai, July 25, 2018 23:17 IST * E-readers are popular, but e-books have weak sales in India * A lower tax rate is applicable if titles also have a print version, which has not excited the industry * What might have been a leg-up for book publishers to help reduce their carbon footprint, might just end being a weak announcement by the government. The GST Council has announced some 'relief' for publishers in the form of reduction in GST on e-book sales - from 18% to 5%. The reduction is applicable only to books that have a print version as well. The announcement has left publishers - who are usually busy thumbing through manuscripts and dealing with high production costs - perplexed because there appears to be little clarity on what the move means for the industry. Most publishers, concerned with spiralling costs, voice scepticism. Thomas Abraham, managing director, Hachette India, says, "The whole thing is a bit absurd. It would have made more sense if the rather draconian 12% new GST levied on royalties had been abolished, and the 12% GST on printing material was reduced, back to 5%. Both have come as a double whammy that have raised costs for publishers with no respite, as input tax credit is also not available for books, because books are GST- exempt." Sanjiv Gupta, COO, Penguin Random House, seems to concur with Abraham. "In India, typically the cost of an e-book is the same as the print book. It's a welcome step but they should reduce the tax on printing of books. We had VAT earlier and that was 4% to 5% and some printers were charging it and others were not. E-books worldwide have touched 35% of the total business but it has come down to 25%. In India, it has stayed from 5% to 7%." So will the new GST help? There are many questions. Will just one printed copy suffice for a book to qualify for the reduced GST? And since the announcement comes under Education/Training/Skill Development', will it apply to fiction and non-fiction? Waiting for the fine print Pratik Jain, partner and leader (Indirect Tax), Pricewaterhouse Coopers (PwC), says the notification does not apply only to educational books, "Let's see the wording of the notification to be issued. It's not limited to educational books as per the press statement. The only condition is that the print version should exist. Now, whether it does exist or not would depend on facts of the case. If only five copies are printed, there could be a case of evasion." While Oxford Univerity Press and Amazon Publishing declined to comment, Neelkanth Karinje, CFO, Juggernaut, thinks the announcement will have no impact on the company's digital publishing business. "We don't have a print version of text books or those related to education. It seems the government is in no mood to abolish GST on e-books, but only giving a concession to education sector," he said. ________________________________ Caution: The Reserve Bank of India never sends mails, SMSs or makes calls asking for personal information such as your bank account details, passwords, etc. It never keeps or offers funds to anyone. Please do not respond in any manner to such offers, however official or attractive they may look. Notice: This email and any files transmitted with it are confidential and intended solely for the use of the individual or entity to whom they are addressed. 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