Items and Providers Tax (GST) collections on medical insurance premium funds by shoppers have risen by greater than 54% between 2021-22 and 2023-24, yielding ₹8,262 crore final yr, with well being reinsurance levies delivering almost one other ₹1,500 crore, in keeping with knowledge shared by the Finance Ministry in Lok Sabha on Monday.
During the last three monetary years, GST levies on medical insurance premia added as much as ₹21,255.6 crore. Reinsurance premia paid by insurers yielded about ₹3,274 crore of GST revenues over this era, rising 79.7% between 2021-22 and 2023-24.
Responding to queries from MPs associated to the oblique tax, Minister of State for Finance Pankaj Chaudhary additionally acknowledged that representations had been acquired requesting for exemption or discount within the fee of GST on life insurance coverage and medical insurance.
“GST charges and exemptions are prescribed on the suggestions of the GST Council, which is a constitutional physique comprising representatives from each the Centre and the States/UTs,” Mr. Chaudhary stated.
On decreasing GST levies on uncooked supplies for fertilisers similar to sulphuric acid and ammonia, as advisable by a parliamentary panel, the Minister stated the GST Council had mentioned the matter on six events, together with its final assembly held in June, when it was referred to the Group of Ministers tasked with the speed rationalisation train.
