Chaudhary said GST rates and exemptions on all services
(including GST on health insurance premium) are
prescribed on recommendations of the GST Council which
is a constitutional body comprising Union Finance
Minister and ministers as nominated by respective state
and union territory governments.
Sl"At present, Goods and Services Tax (GST) on health
insurance services is levied at standard rate, i.e., 18
per cent. Specific health insurance schemes catering to
the needs of economically weaker sections of the society
and differently abled, such as Rashtriya Swasthya Bima
Yojana (RSBY), Universal Health Insurance Scheme, Jan
Argoya Bima Policy and Niramaya Health Insurance Scheme
are fully exempt from GST," he said.
Further, he said, healthcare services are also exempt
from the GST.
Representations to reduce the GST on health insurance
were placed before the GST Council in its 31st meeting
held on December 22, 2018 and in its 37th meeting held
on September 20, 2019.
The GST Council did not make a recommendation for the
reduction of GST, he said.
Source:::THE ECONOMIC TIMES ,