GST on insurance may be slashed to 5%

The Goods and Services Tax ( GST ) Council may settle for a reduction in the tax rates on health & life insurance , instead of a full waiver. The GST, which now applies at 18% on gross premiums, is likely to be reduced to 5%, while retaining the facility of input tax credit, according to official sources. Most members of the Group of Ministers (GoM) that reviewed tax rates for health and life…