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Insurance cost to drop if GST Council lowers taxes: Finance Minister

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  Finance Minister Nirmala Sitharaman today said the cost of insurance would come down if the GST (Goods & Services Tax) Council recommended a reduction in the GST rate on health and life insurance policies.

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The article from Tribune India discusses Finance Minister Nirmala Sitharaman's comments on the potential reduction of insurance costs if the GST Council decides to lower the taxes on insurance products. Currently, insurance products are taxed at 18% under GST, which is considered high and impacts the affordability of insurance for the common person. Sitharaman highlighted that a reduction in GST rates could make insurance more accessible, thereby increasing insurance penetration in India. She made these remarks during a review meeting of the Department of Financial Services, emphasizing the need for insurance to be within reach of the average citizen to enhance financial inclusion. The article also notes that the insurance industry has been advocating for a reduction in GST rates to boost demand for insurance products.

Read the Full The Tribune Article at:
[ https://www.tribuneindia.com/news/business/insurance-cost-to-drop-if-gst-council-lowers-taxes-finance-minister/ ]